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Thursday, October 10, 2002

At Zagat.com no longer a free lunch review

Zagat.com is following the subscription trend starting last Friday according to this Wall Street Journal story (subscription required) last week:

Nonmembers can still search the restaurant database to view addresses for a specific eatery or browse listings in a particular neighborhood. But access to Zagat's survey results -- based on a 30-point scale and including average prices for meals -- will cost $14.95 for a one-year subscription. (Zagat is offering charter membership for $9.95 during the next month.)

...Mr. Zagat said charging for membership services was necessary because it hopes to offer more robust offerings in coming months. For example, reviews will be available for 70 cities by the end of 2002. Subscribers will also receive a monthly e-mail newsletter with tidbits about new restaurants; chef changes and special promotions; access to online reservations; discounts on books; and online dining diaries from fellow subscribers.

As of Friday evening, more than 10,000 people had subscribed to the service, Mr. Zagat said.

Many struggling Internet sites have turned to subscription fees to bolster their business amid a tepid advertising climate. But Mr. Zagat said instead of being an economic drain on their closely held business, the Web site has fueled the company's growth. Online voting has allowed Zagat to process its surveys more efficiently and economically, he said. Also, its reviews reached a wider audience through the Internet. It took more than 20 years to sign up 200,000 voters for its surveys; now there are more than 750,000 voters, he said.

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