Only 9.4% of businesses have offered a daily deal with a group buying site.
But 77% of those businesses said they would do so again.
Of those, 58% said it was effective for customer acquisition.
24.3% even turned a profit.
THOUGHT: The Daily Deals have certainly caught the attention of consumers…and the attention of major internet players like Google and Facebook but with not even 10% of small businesses using them, it’s clear retailers are treading cautiously.
As they should.
I wonder, though, if the market is becoming too saturated with Daily Deals. I subscribe to Groupon, LivingSocial, CrowdCut and the Star Tribune’s Steals. I hear people complain that there are just too many and I gotta admit, my own experience tells me there are far too many deals that don’t apply to me than those that do.
The problem for any Daily Deals site is that the model is so easy to replicate and the logical next iteration of the Daily Deal is a more focused approach to reduce the noise I just spoke of. We’re already seeing this play out locally, with Twin Cities-based Latino Communications Network offering a Daily Deals service for their Minnesota Hispanics who read their Vida y Sabor magazine or La Prensa or Gente de Minnesota newspaper or listen to their La Invasora radio station.
(DISCLOSURE: Latino Communications Network founder and president Alberto Monserrate is a good friend of yours truly.)
How bout a Daily Deal for foodies or gadget geeks?
SUPER COOL TOOL TUESDAY: Penultimate – A very cool handwriting app for the iPad. It’s making me re-learn how to write.
Thank you for storm sirens.
GET THESE INSIGHTS DELIVERED DAILY TO YOUR INBOX:
- Consumers Finding & Sharing Daily Deals
- Daily Deals Online Behavior
- Small Business Online Marketing Tactics
- Music Marketing Through Blogs, or How I Tuned Out & Discovered New Bands
- Online Personas – Commonweath Club Panel Discussion