Food Network creates "CityEats" which allows for online dining reservations

The Food Network has recently created a site called "CityEats" which allows customers to make dinner reservations online. There's only one problem-- there's already a company which has done this since 1998 called Open Table, Inc. One thing that the owner of the Food Network, Scripps, thinks is that since the website has the Food Network logo that it will attract more customers.

Many are skeptical that CityEats is facing an uphill battle considering Open Table already houses 17,000 restaurants through their site. The way it works is that the restaurant pays the company a start up fee, monthly fee, as well as paying the company $1 for every reservation that is made through them.

Scripps is trying to lure restaurants to their website by offering lower monthly fees, however, Open Table's senior vice president of marketing seems to not be worried.

Branding is a huge thing and Scripps thinks that by having the Food Network brand on their site, will be the lure to win customers and restaurants over. The reservation website is an effort by Scripps to diversity its TV business, which is facing more competition from online video. They are always looking for e-commerce opportunities.

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