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Yelp reportedly scaling back daily deals service

Published on .

San Francisco—Social networking and user review company Yelp Inc. is scaling back its year-old Yelp Deals service, following Facebook's abandonment of its own daily deals service this week. As reported by Bloomberg BusinessWeek, Yelp is reducing the service's sales staff and redeploying them to other areas. The daily deals arena is going through a tumultuous time. Facebook killed its Facebook Deals service Monday, four months after launch, while market leader Groupon, set to go public, has experienced a 50% drop in traffic since June, according to Experian Hitwise.
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