Startup creates Yelp-like site, but for business apps

G2 Crowd makes reviewers use their LinkedIn credentials to ensure fair play

By , IDG News Service |  Software

Business software purchasing, particularly at the enterprise level, can be a lengthy and difficult process, something startup G2 Crowd is hoping to alleviate with a new review site aimed at enterprise applications.

G2 Crowd has been in the works for some time, but on Thursday the company announced what amounts to a public beta, as well as the unveiling of some new features. "We think we're ready to go to the broader world," said co-founder Godard Abel, in an interview.

The site includes a rating system called the G2 Grid. 'We really think it's a better version of the Gartner Magic Quadrant," Abel said. That's because all of the data involved is sourced from end-user reviews and social media sites.

User reviews carry 70 percent to 80 percent of the weight in rankings, but social media traffic can provide some significant insights into which companies and trends are getting hot, according to Abel.

While G2 Crowd is aimed at customers from companies of all sizes, the startup wants to tackle the challenges particularly felt by large enterprises, which can spend three months building a short list of potential software vendors and ultimately spend 10 or 12 months making a final selection, he said. G2 Crowd's goal is to at least "collapse that short-list window from three months to three days," Abel said.

Sourcing software can also get expensive, and using G2 Crowd will help customers cut those costs significantly, according to Abel. The crowdsourced review model can also help them more easily discover innovative and new technologies, he added.

The notion of business application reviews isn't new but past attempts have tended to be "very vendor-driven" and too many reviews are done anonymously, opening the door for ratings to be pumped up or pulled down by individuals with an agenda, he said.

G2 Crowd requires users to log in with their LinkedIn credentials, helping to ensure reviewers are who they say they are, and give other users additional context. Users aren't allowed to review products their company sells, nor those of direct competitors.

In addition, G2 Crowd isn't going to sell sales leads or take payments from vendors for product placement, in order to build up a reservoir of trust, Abel said. "Some sites live off selling leads to Gartner."

Many end users' employers may restrict what they can say on social media sites, particularly concerning what type of software their company uses. G2 Crowd gets around that obstacle with the concept of "unattributed" reviews. "We always know who the user is, but if it's unattributed, no other user can see what company they're tied to," Abel said.

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