Restaurant Closures: Google and Yelp Star Ratings- The Brutal Truth
Google and Yelp Star Ratings of Closed Restaurants: What the Data Shows
Restaurantdata.com analyzed Google and Yelp star ratings for restaurants that closed during the previous quarter and compared them with restaurants that remained open. Almost all of the closed restaurants were rated below 4 stars, while 87% of the restaurants that remained open held a rating of 4 stars or better. The comparison shows a pronounced relationship between public review ratings and restaurant operating status.
Key findings: Almost all of the restaurant closures examined occurred among locations rated below 4 stars on Google and Yelp. By comparison, 87% of the restaurants that remained open maintained a rating of 4 stars or higher. Across the locations studied, sub-4-star ratings were strongly associated with closure.
The Brutal Truth: Ratings and Restaurant Survival
The difference between the ratings of closed and operating restaurants was substantial. Restaurantdata.com’s analysis of locations that closed during the prior quarter found a consistent pattern across Google and Yelp:
- Restaurants that closed: Almost all were rated below 4 stars on both Google and Yelp at the time of the analysis.
- Restaurants that remained open: 87% maintained a rating of 4 stars or better across the review platforms examined.
- Rating threshold: The largest separation between the two groups occurred at the 4-star level.
Average Google and Yelp Ratings Across the Top 20 States
The table below shows average Google and Yelp ratings for closed restaurant locations across the 20 states with the highest closure volume in the analysis. Yelp ratings were generally higher than Google ratings within this group, although the size of the difference varied by state.
Source: Restaurantdata.com · Analysis of closed restaurant locations · Google and Yelp rating data · Top 20 states by closure volume
| # | State | Google Rating (Avg) | Yelp Rating (Avg) |
|---|---|---|---|
| 1 | Alaska (AK) | ~3.8 | ~3.9 |
| 2 | Illinois (IL) | ~3.6 | ~3.9 |
| 3 | Missouri (MO) | ~3.1 | ~3.9 |
| 4 | Indiana (IN) | ~3.5 | ~3.9 |
| 5 | Alabama (AL) | ~3.5 | ~3.9 |
| 6 | Washington (WA) | ~3.1 | ~3.9 |
| 7 | Kentucky (KY) | ~3.5 | ~3.9 |
| 8 | Colorado (CO) | ~3.5 | ~3.9 |
| 9 | California (CA) | ~3.6 | ~3.9 |
| 10 | Connecticut (CT) | ~3.6 | ~3.9 |
| 11 | Iowa (IA) | ~3.6 | ~3.9 |
| 12 | Kansas (KS) | ~3.6 | ~3.9 |
| 13 | Arizona (AZ) | ~3.7 | ~3.9 |
| 14 | Idaho (ID) | ~3.3 | ~3.9 |
| 15 | Maine (ME) | ~3.6 | ~4.0 |
| 16 | Arkansas (AR) | ~3.6 | ~4.0 |
| 17 | New Hampshire (NH) | ~2.7 | ~4.0 |
| 18 | Montana (MT) | ~3.0 | ~4.0 |
| 19 | South Dakota (SD) | ~3.6 | ~4.0 |
| 20 | Mississippi (MS) | ~3.2 | ~4.0 |
* Ratings are approximate and were read from the underlying chart data. Figures represent average ratings for closed restaurant locations in each state. Yelp ratings were higher than Google ratings across most states included in this dataset.
What the Rating Gap Shows
Public ratings provide a visible measure of customer experience, but they should not be read as the sole cause of a restaurant closure. Restaurants close for many reasons, including operating costs, lease conditions, ownership changes, capitalization, staffing, competition, and changes in local demand. Within this analysis, however, lower ratings appeared far more frequently among closed restaurants than among those that remained open.
For foodservice suppliers, distributors, and vendors, the distinction can add context when reviewing existing accounts or evaluating restaurant companies. A sustained rating below 4 stars may warrant closer review when considered alongside ownership changes, declining location counts, payment history, or other operating signals.
New restaurants present a different stage of the business cycle because they have not yet accumulated a meaningful body of public reviews. Restaurantdata.com follows these businesses through permits, filings, development activity, and verified openings. Additional context is available in the U.S. Restaurant Openings and Closures analysis and the overview of weekly pre-opening restaurant research and the existing restaurant database.
Restaurant Opening Research
Restaurantdata.com tracks verified restaurant development and new opening activity across the United States. Records are researched before or near opening and include independent operators, small restaurant groups, regional companies, franchise organizations, and national chains.
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Preferred citation: “Source: Restaurantdata.com, Google and Yelp Star Ratings of Closed Restaurants: What the Data Shows.”