We’ve grown up to view online business reviews and recommendations as something that gets accumulated into organized sources of browsable content. TripAdvisor and Yelp represent two highly successful cases-in-point of the power of critical mass to reviews.

The dominating model of shopping behavior goes something like this…

search > initial select > search again for opinion to test your decision > transact

As noted in Search Engine Watch, “the search continues because search engines aren’t the consumer’s most trusted source of advice”. As we all know, we’re spending more and more time socially connected.  This creates a new whole stepping off point for shopping behavior. In theory, the potential exists to invert the experience and infuse trust and recommendations into the front end of shopping.

when your friends are always live

So, as the new generation of  live + social + local approaches – will it make these models increasingly obsolete?  It’s creeping up on us – perhaps the most visible example today is seeing your friends instantly react to your Facebook posts from their desktop and mobile positions. Clearly, your social graph is a live organism, becoming more and more ready to add value to your shopping experience every day.

But, do we really believe NextWeb’s headline? “Facebook Acquires NextStop, It’s Lights out for Yelp“. The message is basically that once Facebook turns up it’s Question application for organized Q&A, it will begin accumulating opinion at a breakneck pace, and facilitate personalized opinion content and live Q&A with your social graph.  Combining this initiative with the team who created Nextstop, and you begin to get a picture of how Facebook aims to collect and apply a richer model of relevant opinion content.

inside or out?

Facebook’s bold Open Graph move, to invert itself and be embedded into any web site or service, implies that it’s a neutral party in the question of “where will the consumer prefer to engage”.  To their credit, Yelp boldly stepped forward, with a Microsoftesque “embrace and extend”  approach with this new dev utility.  Yelp is clearly aiming to extend the lead it has with a large base of consumers and their organized opinions. It’s model will allow you to integrate your own social graph and sift and interact with your friends viewpoints, whenever you want.  Best of both worlds is the theory.

Facebook will ratchet up its owned and operated product approach to live question services. As NextWeb implies, Facebook will probably aim to convince consumers to not bother “stepping outside” to the Yelp consumer experience, employing low resistance user experience techniques together with some new tricks (virtual currency, etc.).   Since opinion content is most valuable for a few months to a couple of years (depending on the category) an advantage today can systematically fade with time.

The evolution of both of Yelp and Facebook  on the parallel inside vs. outside paths will indeed be worth watching closely, as a bellwether for the evolution of socially-engaged local shopping.  And, it will presumably shed a leading light onto Facebook’s “neutrality” position and business model.