Effect of Business Hours on Yelp Ratings

Grace Pehl, PhD
November 9, 2015

Yelp Academic Dataset

  • 61178 businesses in 10 cities representing 4 countries
  • Business ratings + address, geocoordinates, open and closing times, business categories, specialties, ambiance, and parking availability
  • Business categories grouped into 23 families

Methodology

Question: Do businesses with limited hours receive lower ratings from Yelp users?

To quantify the affect of operating hours on business rating, construct a linear model with operating hours, city, and primary business category as predictors of business rating

Coefficients of the linear model should be statistically significant at the 95% level

In order to have practical significance the coefficient should have > 0.5 point change in rating

Business Rating v. Operating Hours

plot of chunk Plot

Results

Coefficients for operating hours, city, and most business categories did not meet the practical significance level.

Four categories have lower expected ratings.

Estimate Std. Error t value Pr(>abs(t))
Intercept Term 4.5791927 0.0273936 167.162903 0
Financial Services -0.4518986 0.0525262 -8.603298 0
Nightlife -0.5300272 0.0256768 -20.642244 0
Public Services & Government -0.4774489 0.0637302 -7.491725 0
Real Estate -1.0588747 0.0404786 -26.158870 0
Restaurants -0.5219202 0.0221207 -23.594247 0