The Daily Deals Bandwagon Dissected

DEALS! DEALS! Deal of the day websites have exploded in popularly in recent years, offering both a great way to save on everyday goods and services and an avenue for retailers to reach out to new markets. But a field once dominated by two major players is about to be shaken up by Facebook with its 600M-strong user base, and Google with its online ubiquity and deep pockets. So how do the major services compare? Here's a breakdown: Deals! and more deals.. livingsocial GROUPON facebook Google FACEBOOK DEALS GOOGLE OFFERS Company 2007 2008 2011 2011 FOUNDED In.. FACEBOOK: 2004 GOOGLE: 1996 Revenue! : $50m $100M TBA TBA FACEBOOK: S170+M PER MONTH PER MONTH PER MONTH GOOGLE: $2.86B "estimated PER MONTH VALUATION Of Company $2.98 $6-15B $758 $1728 "estimated COMPANY YES! YES! YES! YEG! TAKES CUT OF DEAL? PLUS REVENUE FROM UNUSED PURCHASES BUT NOT FROM CHECK-IN DEALS Retailer's Cut 60% 50% TBA TBA Membership Base! 70M+ 600M+ 100- 200M 28M+ (POTENTIALLY) (POTENTIALLY) FACEBOOK WEB NEWSFEED ADVERTICINE! Web Email Web Email EMAIL DEALS PAGE AD NETWORKS SPONSORED UNITS NOTIFICATIONS GOOGLE READER MARKETS 200+ 565+ (SO FAR) (SO FAR) INITIAL LAUNCH IN BETA LAUNCH IN WORLDWIDE WORLDWIDE ATLANTA, AUSTIN, DALLAS, SAN DIEGO NYC, SAN FRAN- CISCO, OAKLAND, AND PORTLAND, OR. AND SAN FRANCISCO. MINIMUM PURCHASE REQUIRED? NO YES! NO YES! DEAL BECOMES FREE IF 3 FRIENDS BUY IT iPhone APPS AVAILABLE! TBA TBA iPhone Android Blackberry Paperdoss Vouchex Option- YES! YES! N/A YEG! FACEBOOK WALL POST FACEBOOK FACEBOOK FACEBOOK WALL POST SHARING FEATURES WALL POST WALL POST FACEBOOK 'LIKE TWITTER TWITTER TWITTER FACEBOOK PRIVATE EMAIL EMAIL EMAIL MESSAGE GOOGLE BUZZ EMAIL Debit Payment Оpiйнs! Debit Debit Debit Credit Card Credit Card Credit Card Credit Card FACEBOOK CREDITS GOOGLE CHECKOUT (ONLY WORKS FOR VOUCHERS So FAR) FACEBOOK WILL FOCUS ON SOCIAL DEALS! L.E. CONCERTS & EVENTS FAMILY EDITION! ADDITIONAL FEATURES! OFFERS FAMILY- ORIENTED DISCOUNTS. (IN 58 MARKETS AS OF 04/11) N/A N/A FACEBOOK CREDITS! INSTANT DEALS! RECENTLY LAUNCHED IN A TEST MARKET BLURS LINE BETWEEN VIRTUAL CURRENCY & REAL WORLD GOODS/SERVICES Competitive Advantage! Complete integration with Facebook INTEGRATION WITH OTHER GOOGLE SERVICES Brand loyalty Established deal brand First-mover HUGE RESOURCES advantage BRAND RECOGNITION FACEBOOK'S THE COMPETITION Bottom LIVINGSOCIAL IS POTENTIAL REACH THE REACH OF IS HEATING UP AND GROUPON IS LIMITLESS, & IF THEIR CONSUMERS PROVE THAT THEY WANT GOOD ADJUSTING TO GOOGLE IS MIGHTY, THE COMPETI- THOUGH WITH NO ISN'T DEVIATING TION BY VARYING ITS OFFERINGS TRULY INNOVATIVE FROM ITS ORIGI- FEATURES, IT LOOKS LIKE GOOGLE HAS ITS ROAD CUT OUT NAL BUSINESS Line LIVINGSOCIAL MODEL. WILL THE AGGRESSIVE GROWTH PLANS BE ENOUGH TO KEEP GROUPON ON TOP? DEALS TO SHARE ESTIMATES WITHIN A SOCIAL CIRCLE, FACEBOOK WILL BE TH FORCE TO BE SURPASSING GROUPON'S REV- FOR THEM IN THIS ENUES IN JANU- ARY 2012. COMPETITIVE MARKET. RECKONED WITH IN THIS INDUSTRY. CREATED BY! www.OnlineMBA.com References: http://www.nytimes.com http://www.techcrunch.com http://www.readwriteweb.com http://www.mashable.com http://en.wikipedia.org