Comments on: Groupon: The Best Deal Of The Day http://www.adamkillam.com/groupon-best-deal-of-the-day/ Helping companies generate MORE TRAFFIC, MORE LEADS, & MORE SALES! Thu, 24 Nov 2011 17:24:50 -0700 http://wordpress.org/?v=2.8.4 hourly 1 By: Adam Killam http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-677 Adam Killam Tue, 23 Nov 2010 22:59:41 +0000 http://www.adamkillam.com/?p=658#comment-677 Hi Tony, Groupon requires that you offer a heavy discount in the range of 40-60% in most cases off your regular price. Then it takes 50% of what ever is left over revenue wise. This means that most merchants loose money on Groupon deals, at least on the first order. The idea is that they will likely expose you to a high volume of new potential customers and you have the ability to upsell once you land a customer by using them. Then there is the business that is generated from repeat sales. I think the percentage is negotiable but you'd have to verify that with Groupon. I spoke with them by phone when they got started in Vancouver and it looked like there was some wiggle room on the percentage. A savvy marketer using their system would make sure to have a well thought out and automated follow up process for all Groupons that get redeemed in order to make it a worthwhile investment. You would need to make sure you had repeat sales and upsells in other words. Hope this helps! Hi Tony,

Groupon requires that you offer a heavy discount in the range of 40-60% in most cases off your regular price.
Then it takes 50% of what ever is left over revenue wise.

This means that most merchants loose money on Groupon deals, at least on the first order.
The idea is that they will likely expose you to a high volume of new potential customers and you
have the ability to upsell once you land a customer by using them. Then there is the business that is generated
from repeat sales.

I think the percentage is negotiable but you’d have to verify that with Groupon.
I spoke with them by phone when they got started in Vancouver and it looked like
there was some wiggle room on the percentage.

A savvy marketer using their system would make sure to have a well thought out and automated
follow up process for all Groupons that get redeemed in order to make it a worthwhile investment.
You would need to make sure you had repeat sales and upsells in other words.

Hope this helps!

]]> By: tony http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-676 tony Sat, 20 Nov 2010 18:32:34 +0000 http://www.adamkillam.com/?p=658#comment-676 Adam: This is a very powerful advertising tool, it will be big. Question, If you are a business and promoting your 'say' restaraunt, at a 50% off groupon, and you get enough people to buy, what is the cut Groupon takes. And does the percentage varie amoung different deals. Thanks Tony Adam:

This is a very powerful advertising tool, it will be big. Question, If you are a business and promoting your ’say’ restaraunt, at a 50% off groupon, and you get enough people to buy, what is the cut Groupon takes. And does the percentage varie amoung different deals.

Thanks
Tony

]]> By: Eddie http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-675 Eddie Sat, 20 Nov 2010 09:53:25 +0000 http://www.adamkillam.com/?p=658#comment-675 Indeed - there seems to be a new daily deal negotiator coming out almost monthly; and even more aggregators coming out to bring them all together. I recently completed a Marketing assignment for a class analyzing ALL Group Buy/Daily Deal/Social Shopping Aggregators... there are as many aggregators as there are Group Buy Sites (no joke)! I think this may be where the Daily Deal business will be headed (not necessarily revenue-wise but perhaps traffic-wise) -- assuming collective buying is here to stay and not just a bubble waiting to burst . But deal tracking in social shopping is still young and I know many people who open up their mail boxes and are OK with having 10 new deals of the day appear, every day. The one aggregator that has been able to do this properly in my opinion is MiserMcGee.Com -- though they are probably a little late in entering the arena. They're currently the only aggregator that's been able to obtain full deal coverage in Vancouver (though they are only active in Vancouver and Calgary at this moment). I can see them becoming the 'Craigslist' of this arena if they keep doing what they do, check out there site here: <a href="http://vancouver.misermcgee.com" rel="nofollow">vancouver.misermcgee.com</a> Apparently the site is still in Beta (probably explains why there is no Marketing for the site at all) but they are the only site that has been able to grab ALL deals from ALL daily deal sites (trust me, I went to each site and noted down ALL deals, and then compared the results to ALL daily deal aggregators -- this is the only one that was able to track down every single deal). I think this is probably the Primary Benefit that users will seek (deal coverage)... but I guess the question is: how long will it be before dealradar, onespout, and all the other trackers are able to attain this and deal coverage no longer becomes a point of differentiation? Indeed – there seems to be a new daily deal negotiator coming out almost monthly; and even more aggregators coming out to bring them all together.

I recently completed a Marketing assignment for a class analyzing ALL Group Buy/Daily Deal/Social Shopping Aggregators… there are as many aggregators as there are Group Buy Sites (no joke)! I think this may be where the Daily Deal business will be headed (not necessarily revenue-wise but perhaps traffic-wise) — assuming collective buying is here to stay and not just a bubble waiting to burst .

But deal tracking in social shopping is still young and I know many people who open up their mail boxes and are OK with having 10 new deals of the day appear, every day. The one aggregator that has been able to do this properly in my opinion is MiserMcGee.Com — though they are probably a little late in entering the arena. They’re currently the only aggregator that’s been able to obtain full deal coverage in Vancouver (though they are only active in Vancouver and Calgary at this moment). I can see them becoming the ‘Craigslist’ of this arena if they keep doing what they do, check out there site here:

vancouver.misermcgee.com

Apparently the site is still in Beta (probably explains why there is no Marketing for the site at all) but they are the only site that has been able to grab ALL deals from ALL daily deal sites (trust me, I went to each site and noted down ALL deals, and then compared the results to ALL daily deal aggregators — this is the only one that was able to track down every single deal). I think this is probably the Primary Benefit that users will seek (deal coverage)… but I guess the question is: how long will it be before dealradar, onespout, and all the other trackers are able to attain this and deal coverage no longer becomes a point of differentiation?

]]> By: Shane http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-632 Shane Mon, 09 Aug 2010 19:32:03 +0000 http://www.adamkillam.com/?p=658#comment-632 I think the local ones will be able to use their local knowledge with the low-cost model and win eventually. I think the local ones will be able to use their local knowledge with the low-cost model and win eventually.

]]> By: Adam Killam http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-630 Adam Killam Thu, 05 Aug 2010 18:20:43 +0000 http://www.adamkillam.com/?p=658#comment-630 Yes, I agree. Groupon is seeing a rush of knock off companies trying to emulate their success. That's the nature of business and the web today. If something works, people will copy it. Not a bad thing necessarily because in a lot of cases the first movers don't make it. Look at Friendster. It was one of the original big name social networks and it couldn't cut the mustard. The founder ended up starting a restaurant afterwards :) Hope Groupon can keep it's momentum! Yes, I agree. Groupon is seeing a rush of knock off companies trying to emulate their success. That’s the nature of business and the web today. If something works, people will copy it. Not a bad thing necessarily because in a lot of cases the first movers don’t make it. Look at Friendster. It was one of the original big name social networks and it couldn’t cut the mustard. The founder ended up starting a restaurant afterwards :) Hope Groupon can keep it’s momentum!

]]> By: expressempression http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-629 expressempression Thu, 05 Aug 2010 18:17:17 +0000 http://www.adamkillam.com/?p=658#comment-629 Looking at the win win situation for everyone Groupon does seem to the answer for today's marketing. But looking at these sites increasing in number looks like competition is increasing for groupon. But for now it does seem to be doing good. Only time will tell. Looking at the win win situation for everyone Groupon does seem to the answer for today’s marketing. But looking at these sites increasing in number looks like competition is increasing for groupon. But for now it does seem to be doing good. Only time will tell.

]]> By: Adam Killam http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-572 Adam Killam Mon, 21 Jun 2010 15:02:01 +0000 http://www.adamkillam.com/?p=658#comment-572 Thanks for pointing out Indulgeliving Joe! Thanks for pointing out Indulgeliving Joe!

]]> By: Joe Benecher http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-571 Joe Benecher Mon, 21 Jun 2010 08:53:00 +0000 http://www.adamkillam.com/?p=658#comment-571 Groupon seems to have majority of the market in Vancouver Stealthedeal, wagjag, and grooster have weak sales.. and it looks like another local group buying site is popping up in vancouver http://www.indulgeliving.com . I think they are giving away $10 credits for people who sign up now? I wonder how many more of these sites are there gonna be? I think LivingSocial & Social Shopper is coming too? Groupon seems to have majority of the market in Vancouver
Stealthedeal, wagjag, and grooster have weak sales.. and it looks like another local group buying site is popping up in vancouver http://www.indulgeliving.com . I think they are giving away $10 credits for people who sign up now?

I wonder how many more of these sites are there gonna be? I think LivingSocial & Social Shopper is coming too?

]]> By: Group Buying – Power and Popularity | Adam Killam Internet Marketing http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-559 Group Buying – Power and Popularity | Adam Killam Internet Marketing Thu, 17 Jun 2010 18:24:29 +0000 http://www.adamkillam.com/?p=658#comment-559 [...] buying websites (such as Groupon, featured in my post earlier this week) were started in big, social media savvy cities with a [...] [...] buying websites (such as Groupon, featured in my post earlier this week) were started in big, social media savvy cities with a [...]

]]> By: Adam Killam http://www.adamkillam.com/groupon-best-deal-of-the-day/comment-page-1/#comment-545 Adam Killam Mon, 14 Jun 2010 21:40:37 +0000 http://www.adamkillam.com/?p=658#comment-545 Thanks for pointing these out Alex. I just noticed this one when I did a search for "Vancouver weather" in Google funny enough: www.LivingSocial.com. Thanks for pointing these out Alex. I just noticed this one when I did a search for “Vancouver weather” in Google funny enough: http://www.LivingSocial.com.

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