Yahoo is making a number of changes to its default search experience tonight to add more structured data to results. Yelp, Yahoo Local and LinkedIn SearchMonkey widgets are being added to search results automatically, eliminating the need for users to go into the search gallery and add them manually.

SearchMonkey is a key part of Yahoo’s attempts to embrace the semantic web and open standards in general.

With SearchMonkey, site owners create “applications” for Yahoo search that can be installed by users in the same sense that Facebook applications can be installed. Each application modifies results for a certain URL specification (for example, all reference pages on Wikipedia or product pages on Amazon). Modifications include both changes to the basic elements of a search result (the title and description) and additions such as an image, deep links, and key/value pairs.

Users can also add additional widgets via the Yahoo Search Gallery.

Here’s the Yelp search result example we used in our first post about SearchMonkey:

Yelp, a user-generated database of customer reviews of local businesses, first launched in October 2004. Users rate and leave reviews for local businesses, participate in forums, and can generally get social around local businesses.

Yelp almost immediately caught on organically in San Francisco, but founders Jeremy Stoppelman and Russel Simmons ran into some early criticism. Rumors circulated that they were paying people to leave reviews on the site. Some users were outraged, claiming that paid reviews couldn’t be untainted. Yelp claimed that they were only “marketing assistants” employed by the company to “get the ball rolling” in new cities, and the reviews themselves were honest.

2006 proved to be the year of new competition, with Judy’s Book receiving an $8 million round in November 2005, Intuit releasing Zipingo in October 2005, and idealab’s Insider Pages receiving a cool $8.5 million Series A in March 2006. A daunting situation for a new startup to be in. But Yelp pulled through it to secure a $10 million in a Series B from Benchmark Capital in October 2006 and was named one of the 50 coolest sites on the web.

Then the competition started dropping like flies. Insider Pages laid off 2/3 of their staff and sold quickly to CitySearch in February 2007, Intuit said “goodbye” to Zipingo in August 2007, and Judy’s Book closed their doors in October 2007. Yelp was the sole survivor.

When Yelp released their API in August 2007, they were doing pretty well, getting 1.4 million U.S. visitors and 6 million page views per month. They’ve seen rapid growth since, now at almost 15 million U.S. visitors per month, surpassing competitor CitySearch in March (via Compete). Yelp has raised $31 million in capital, and mainstream press is all over them.

All that press gives business owners the idea that they need to pay attention to Yelp. So they ask their customers to leave positive reviews. Those customers then become Yelp users, and may leave reviews on other businesses, too. A virtuous and self sustaining cycle is created.

But when can you truly say that a company has “made it?”

It’s when people start hating you, of course.

Sites like Yelp-Sucks and IHateYelp have been popping up, with the general theme being an angry business owner who was Yelped. Those business owners that think they must use Yelp for competitive reasons are getting frustrated over some of Yelp’s policies, and are starting to complain about it. Loudly.

The good news for Yelp is that when businesses are afraid of you, it’s only because they realize how much power you really have. See, for example, Paypal and Ebay, two of the most reviled and profitable businesses on the Internet.

The major complaint is negative reviews, and how to get rid of them. But business owners are also complaining that they can’t use their accounts to leave reviews on other businesses, as well as a number of other complaints.

Yelp CEO Jeremy Stoppelman said recently in the NY Times, “We put the community first, the consumer second and businesses third.” Their goal is clearly to make businesses need Yelp, but not to expect a lot of help when it comes to disputes. Complain all you want, you’re just proving that you need Yelp more than they need you.

If Yahoo Local were a standalone startup, it might look like Center’d. Partly that is because CEO Jennifer Dulski used to be the general manager in charge of Yahoo Local. Center’d, which publicly launches today, is a mixture of an event-planning/invitation site and a highly targeted local search engine, with a little social networking thrown in.

The entire site is set up to do two things: plan and explore. You import your email contacts, put in your zip code, and off you go. There is a calendar view for local events, and a map view for local destinations.

The company started out as FatDoor, a failed social network for neighbors. It took the $5.5 million it raised last October from Norwest Venture Partners and Keynote Ventures, and rebooted as Center’d. The chief technology officer is Chandu Thota, previously the lead developer on Microsoft Virtual Earth. I reviewed the site last April:

Center’d is both a local search engine and an event-planning application. You can search places for restaurants, hotels, schools, museums, stores, etc., and the results appear on a Google map. There is also a calendar view. Once you connect with friends on the system their events pop up in your searches. And you can also create your own events and get your friends to help decide the details. For instance, things like the location and date can be voted on. Want to have a party by the sea? Ask your invited guests if they’d rather go to Stimson Beach or Montaro Beach, and if next Sunday is better than this Saturday. You can also assign tasks for them to sign up for: bring lobsters, bring wine, bring volleyball.

The site is perfectly serviceable and looks like it will do a decent job with both event planning and local search. The interface is heavy on Ajax, with the screen telescoping open as you go through the options. It is very similar to Pingg in that regard, except it is much more limited in what it can do. But Center’d is also not doing anything appreciably different from many other startups on the event-planning side, including Pingg, Socializr, and MyPunchbowl. It does have the local search piece, but so does Yelp, Yahoo, and Google.

Still, when you are starting out with FatDoor, anything is an improvement.

Since then, the site has been improved. Places can be saved and commented on. And it lets you connect to people through places, such as schools, stores, or museums. Social + local. Isn’t that the original definition of community?

Smalltown, a company out to help local businesses establish themselves online, is spreading its reach on the web and in the real world by founding a new site at WebCards.com.

We first reviewed Smalltown in October 2006 when it launched a destination site for so-called “WebCards”. These compact mini-sites provide overview information about businesses located in any of 6 Bay Area cities. They are categorized according to business type and designed to show up highly in search results, despite being based entirely in Flash.

By default, they show information leased from a local data source and are displayed for free. However, businesses can claim their webcards for $600/year, thereby taking control of them and gaining the ability to add special content like videos, photos, coupons, and contact forms.

Until now, these webcards could only be found in the areas of Smalltown’s destination site designated for particular cities. But now with the launch of WebCards.com, businesses from the world over can create their own webcards and embed them anywhere on the web. Smalltown has also formed partnerships with companies like Trulia to distribute them more proactively to external sites. And when webcards are visited through search engine results, they’ll appear as standalone sites instead of just part of a local directory.

It’ll cost $9/month for businesses to create webcards on WebCards.com. The company plans to create more destination sites around particular cities on Smalltown.com; just which cities depends on those that accumulate the most webcards on WebCards.com. When new city destination sites are established, business owners will have the opportunity to pay extra and have their webcards posted on them.

CEO Hal Rucker says the new WebCards.com property constitutes a strategy to broaden the company’s scope, in contrast to the depth and focus of Smalltown.com. So far only about 600 businesses have created so-called “enhanced webcards” for $600/year. It’ll need over 60 webcards created on WebCards to make as much revenue as one on Smalltown, where these cards have higher visibility. Businesses will have to be convinced that the cards’ portable nature and SEO juice pays off, although $9/month isn’t a hard sell.

Smalltown differs from other sites for local business information like Yelp in that it focuses on merchant-created content. While Yelp has recently given more power over listings to businesses, it remains a consumer and reviewer-focused site.

Local businesses have a love/hate relationship with review site Yelp: The site sends new customer leads to the businesses reviewed. But businesses can also be reviewed (and trashed) without even knowing Yelp exists.

Businesses like Oakland coffee shop Cafe Rooz felt slighted by the ratings site when a few vocal customers posted poor reviews. They went so far as to declare No Yelpers. But still others have benefited. According to Yelp, Joe Alexander’s San Francisco based mattress store, Keetsa, gets 80 percent of its total monthly business directly from Yelp.

In either case it’s a sign of the influence the site has over businesses as a lead generation – or degeneration – tool. Now Yelp is releasing a suite of business tools to give business owners tools to participate more directly in the conversation.

The suite is available at biz.yelp.com and lets businesses:

• Message customers who have reviewed their business
• See how many prospective customers viewed their business page
• Update business information instantly (i.e. hours of operation, categories)
• Receive new review email alerts

Yelp, which has raised $31 million in venture capital, continues to grow briskly. Comscore says they have 3.7 million unique monthly visitors; Compete says it’s more like 9 million.

Yelp, the popular local review site, will soon announce a new $15 million dollar round of financing led by DAG Ventures. The valuation is rumored to be in the $200 million range. Yelp says that they will be using the money to expand geographically, add onto their sales team, and establish an office in NYC (they are based in San Francisco). This is Yelp’s fourth round of funding since their founding in 2004.

Yelp is also boasting some impressive stats: 8.3 million uniques in the past 30 days and over 2.3 million reviews (with the 1 million mark being reached on May 2007) (these are internal Google Analytics stats that the company shared with us). Yelp is in a competitive space with InsiderPages (acquired by Citysearch), and YellowBot. The real competition, though, will eventually be Google Local and Yahoo Local.

With this latest round, DAG joins previous investors Max Levchin ($1 million, Summer 2004), Bessemer Venture Partners ($5 million, Q4 2005), and Benchmark Capital ($10 million, Q4 2006). The company has now raised a total of $31 million. Revenues are rumored to be sub $10 million/year.

Palo Alto-based Genie Town launches this morning. They’re trying to crack the local services nut – a huge market, but one that a lot of the big guys are eyeing, too.

The company says they are addressing the long tail of local services. The GenieTown site allows local service providers (plumbers, dentists, whatever) to put up a web presence. Users looking for providers can find them, based on their location and user rating.

The site competes on one end with services like (gulp) Google Local, Yahoo Local, Yelp and of course the Yellow Pages (both online and off). All of those services are great places to find local service providers.

Eventually GenieTown says they’ll integrate more closely with service providers to coordinate calendars and booking systems. At that point they’ll run into another group of competitors, including recently funded Liberysy.

If they are going to be successful in both carving out a niche and avoiding all those competitors, they’ll need to quickly get a lot of those service providers to start using their service. To concentrate their efforts they are rolling out the Bay Area only for now – service providers and users from anywhere can use the service, but the company will only market locally. They’ll grow from there.

And GenieTown is also trying to engage with users on more than just making introductions. The smartest part of the service, in my opinion, is a Q&A area that will do very will with search engine optimization.

The company has raised $2 million in a first round of funding from a number of angel investors, including Stanford professors Hassan Chafi (also the CEO) and Kunle Olukotun.