Austin360 blogs > Digital Savant > Archives > 2011 > January > 19 > Entry
The daily deal that got everyone’s attention
Groupon has gotten so huge that it was able to turn down a multi-billion dollar deal from Google to go it alone toward an initial public offering that could place its value at about $15 billion.
But other than Groupon, the rest of the daily deal sites that have flooded the web in the last two years blend together like so many mailbox circulars. I signed up for a few of them (I still clip paper coupons and get excited when Luby’s e-mails me a 50 percent offer; I’m weird like that), but have found that the deals are very often a little TOO hyperlocal. The ones I get in my inbox are typically for massage or spa treatments to places I’ll never visit, meals at very high-end restaurants where your bill will probably be more than $50 even with the coupon or tickets to events that, for one reason or another, I can’t make.
Today, Groupon competitor Living Social got the Internet excited (at least according to many people I follow on Twitter and friends on Facebook) by offering a $20 Amazon gift card for $10. The deal is limited — you can only purchase one gift card per account and the offer expires early Thursday.
One friend of mine said that 10 percent of her Facebook friends were posting the deal. According to the Living Social site, nearly half a million gift cards had already been purchased as of 11:30 a.m. Wednesday.
It’s doubtful the offer will bring Living Social much in the way of income (although Amazon’s investment in the company means the offer probably comes cheap to them), but they’ll make it up with all the new user accounts created to take advantage of the deal and attention this particular deal generates. It’s a very good move.
It’s great to offer local deals, but even better when an almost too-good-to-be-true deal is offered for a retailer that nearly everyone shops with.
So, listen up daily deal sites. Here’s what we frugal shoppers (“frugies?”) want:
- Local deals that aren’t just for expensive restaurants and little known-businesses that none of us frequent.
- Deals for online shopping at retailers that offer a wide variety of products.
- The option to purchase more than just one of a particular deal. Anybody can go and create a second or third account to take advantage of a deal again, so why not just offer the option in the first place? Limit it to 2 or 3 if you have to, but 1 is too limited.
- Give your users more reasons to buy daily deals more than once in a blue moon. Offer a “Buy 2 deals in one week get a bonus 3rd” or some kind of incentive for your most frequent customers.
How would you improve daily deal sites? Did you take advantage of today’s Amazon deal? Post in the comments.
(Updated at 11:54 a.m. to add Amazon investment link. Hat tip to Caitlin Davis for that.)
Permalink | Comments (4) | Post your comment Categories: Austin, Shopping
Comments
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By Omar Gallaga
January 20, 2011 12:44 PM | Link to this
No. They're not based in Texas nor do they have offices here to my knowledge.
By sara
January 20, 2011 11:55 AM | Link to this
Did you have to pay sales tax?
By Julie Gomoll
January 19, 2011 12:39 PM | Link to this
I so agree about homogeneity of the offers. Are there really that many people in Austin getting Brazilians?
I have social commerce fatigue, for sure. I did buy this one - it's the first I've purchased in months.
By Elizabeth
January 19, 2011 11:51 AM | Link to this
I bought one & my husband bought one! Super excited!