5 Key Daily Deal Sites

A VISUAL GUIDE TO 5 KEY DAILY DEAL SITES FACEBOOK DEALS BROUGHT ΤΟ ΥΟυ BY ТЗ LIVING AMAZON LOCAL GOOGLE OFFERS GROUPON SOCIAL Daily deal sites deliver personalized deals that are limited in number to customers. Key differences among the most popular sites are visually outlined below. Last updated gust 2011. MARKETS Facebook Deals · 5 Google Offers · 6* Amazon Local · 14 Facebook Deals · Atlanta, Austin, Dallas, San Diego, San Francisco Google Offers · NYC (Uptown, Midtown, Downtown), San Francisco, Oakland, Portland *Coming soon to Austin, Boston, Denver, Seattle, Washington DC (July 2011) Amazon Local · Palm Beach, Boise, Chicago, California (7), Washington (4) LivingSocial · 54 cities in Europe, 44 cities in Australia, 316 cities in North America Groupon · 43 countries, 182 cities in North America LivingSocial · 200+ Groupon · 565+ SUBSCRIBERS 10MM %3D LivingSocial · 40MM Groupon · 83MM Google Offers · 200MM* Facebook Deals · 600MM* Amazon Local · N/A (beta) *Google and Facebook accounts needed to receive deals. Having an account results in automatic subscription. DEAL TYPES FOOD SERVICES TRAVEL FAMILY/GROUP EVENTS Facebook Deals Groupon LivingSocial Groupon LivingSocial Groupon LivingSocial LivingSocial LivingSocial Facebook Deals Facebook Deals Amazon Local Amazon Local Google Offers Google Offers NUMBER OF DAILY OFFERS MOBILE APPLICATIONS INTEREST PERSONALIZATION Mobile Web iPhone Android BB *Google Offers does not currently have mobile apps but will likely offer iPhone and Android. ONE MULTIPLE YES NO YES NO Groupon LivingSocial Google Offers Groupon Groupon LivingSocial Google Offers* Google Offers Amazon Local LivingSocial Amazon Local Amazon Local Facebook Deals Facebook Deals Facebook Deals SOCIAL COMPONENT FREE SOCIAL SHARING REFERRAL DISCOUNT GROUP BUYING REFERRAL 3 FRIENDS BUY=FREE MONEY Groupon LivingSocial Groupon Facebook Deals Groupon LivingSocial Facebook Deals Amazon Local Google Offers U.S. SITE SNAPSHOTS Google Offers is in its elementary phase but has potential when combined with Google Wallet. Groupon led the daily deal site trend LivingSocial is more selective and is in the most markets with the with merchants and skews toward younger, more active and social customers, with bigger ticket items. Family deals are unique to LivingSocial. highest number of subscribers. Facebook Deals gives every Amazon Local will likely continue to essentially serve as an extension of LivingSocial, with its key differentiator being shorter expiration dates. Facebook user automatic access. Its success will depend on customer willingness to purchase in a purely social setting. BEST PRACTICES DEFINE GOALS UP FRONT PREPARE FOR THE DEAL NEGOTIATE SMARTLY Everything is negotiable: from the percent the deal site takes, to expiration dates, to payment. Understanding the terms of competing deal sites will aid in negotiation. Merchants often run deals with the hopes of gaining new customers, only to realize that they essentially gave their existing customers a 50%+ discount. Determine whether driving immediate sales or gaining new life- long customers is the goal. Then structure your deal accordingly. Ensure that there are enough staff members and supplies to support the deal redemption. Train staff on daily deal redemption and customer service. Remember, if the goal is to gain long-term customers, a poor first experience is hard to overcome. T3 © August 2011. This only shows the major players. There are hundreds of other daily deal sites worldwide. Find us online @T3ThinkTank and www.T-3.com +++