Yes the hottest thing in online marketing is the daily deals at the moment and they are here to stay!. Groupon started this trend and they are still huge, and a millions copy cats have sprouted. Woot, was recently snapped up by Amazon.com for more than $100 million – can you believe that?
So how are those daily deals working out for the businesses that offer them? We have known for a while… Not to shit hot! BUT Voupons is the answer.
The business that offers a daily deal through one of these sites must provide a massive offer and then sometimes 50 percent off and a minimum number of customers must buy the deal, prepaying up-front and getting a coupon they present to the company.
The study, conducted at Rice University’s Jesse H. Jones Graduate School of Business by associate professor Utpal Dholakia, polled 150 businesses that did Groupon deal offers in the past year. The results: About one-third of participating businesses said their daily-deal offers were unprofitable.
More than 40 percent said they wouldn’t do a daily deal again. Business owners who were unhappy with their deal experience reported Groupon deal users didn’t buy additional items beyond the deal offer. They also reported the Groupon customers tended to be one-time visitors and didn’t become repeat customers.
Why is Voupons different?
The shopper pays the business directly. We use mobile digital Coupons and peoples mobile phones to connect the businesses!
Some of the study’s recommendations on how to make a Daily Deal promotion successful:
Design your deal so that it will appeal to new customers and not cannibalize sales to existing customers.
Know whether your business type is well-suited to benefit from a daily deal — the study found restaurants and education companies fared the worst, while salons and spas were the most successful.
Offer the deal on merchandise you’re looking to unload or underutilized services you want to grow
Design your deal to build a customer relationship. Make it good for $20 off on each of your next three visits instead of $60 off the customer can spend all at once.
Avoid offering a discount off the total bill — you may end up giving away too much margin, as you aren’t in control of the size of your discount.
Personal Trainer that did a daily deal on the Gold Coast.
Daily Deal sites seem to be the new craze when it comes to promoting your Personal Training Business and any other Business. Living social and Groupon and countless others promise massive exposure to a mass of potential customers. However, the bottom does seem to falling out slowly, with disgruntled merchants losing money and some actually going broke because they ran a daily deal.
So does this mean that you shouldn’t use a Daily Deal site?
Of course not and there are many other options popping up where you don’t have to pay ANY commissions and the shopper isn’t pressured into an impulsive buy.
Some things you have to do is:
- Research, know how much you will be making per unit sold and how much your costs are, and subtract the latter from the former.
- Daily Deal is a lead gen – not a sales gen – you need a solid upgrade process to turn them around from a deal hunter to a dedicated client and work out the life time value.
The dialy deal industry hasn’t been around that long but it is still huge in Australia
Australian consumers are fast becoming aware of the trap of subscribing to certain websites. They may be tempted by a bargain that appears too good to be true, or perhaps a social media offer for cheap fast food coupons on Facebook.
Many complainants will focus on the large number of emails people get. There have been heaps of other problems with the daily deals industry but it the online phenomenon is here to stay.
Voupons wants to bring an alternative to both shoppers and businesses. It is about time we thought outside the box and open our eyes to other options. The daily deal sites are the real winners and making Milions of $$ out of the shopper and business.
This is online competitions aggregator Competitions.com.au has collated this interesting infographic:
Her Voupons App on her phone alerts her that there is a discount over 50% off in that store. The Google indoor maps sends a geo fence alert and directs her to that store.
She goes to the shop window and there is an amazing dress for $100 and was $200. Save $100
She uses her voupons App and scans the QR code in the window. It takes her to the app and she purchases or saves that dress on her phone and it gets delivered to her safety box at her home.
She then walks past her favourite sushi place and is notified that is cheap Tuesday so she goes in and shows her phone to get cheap sushi.
Voupons saved Ava $120 with the Voupons app.
We accept Voupons here – Show your phone and save: Promote your sales, events or competitions
In-store offers will account for more than 40% of indoor location technology revenues in 2017
Google Won’t Dominate $5 Billion Indoor Location Technology Market
Indoor location is perfectly positioned to save the retail industry’s burning platform – bricks and mortar. Major US retail brands will all launch indoor location technologies in 2012 and 2013 to enable advances in customer analytics, store optimization, proximity advertising, couponing, and CRM. Competition is vicious, with over 30 big name IC vendors, start-ups, carriers, handset OEMs, and infrastructure providers (Wi-Fi, small cell, DAS, etc.) all fighting to win this space. While Google and other industry giants loom large, retailers will want to maintain control of in-store data, advertising, and CRM. As a result, start-ups and infrastructure providers will see significant success. Carriers will also have a role to play, particularly with the onset of small cells. http://www.abiresearch.com/press/google-wont-dominate-5-billion-indoor-location-tec
Voupons Geo Fence and Geo location Smartphone apps will play a part in delivering relevant coupons, events and competitions in this space.
Google’s indoor maps, currently only available on Google Maps for Android, enable users to delve virtually into places such as shopping centres, train stations and airports – predominantly in NSW and Victoria – to give users access to their floor plans.
At some places indoor maps can pinpoint users by using nearby mobile phone towers and Wi-Fi hotspots to triangulate their approximate location within a building. Wi-Fi and mobile towers are used to locate people as GPS doesn’t work indoors as roofs obstruct the view of the sky.
So far, Google has surveyed about 40 locations in Australia to enable users to pinpoint themselves while indoors. Some Sydney locations with this feature include Central Station, the Queen Victoria Building, IKEA Homebush Bay Drive and the Museum of Contemporary Art.
Google’s indoor map of the Queen Victoria Building, Sydney.
So how well does the technology work? I tested it out in Sydney at Central Station, the Queen Victoria Building (QVB), Harbourside Sydney and at the Museum of Contemporary Art.
At the QVB, floor plans showed the correct names of many of the stores inside, though did not include the names for all of them. Some stores, for example, were listed as an empty block, which happens when floor plans are uploaded to Google by businesses which are out of date.
The blue pinpoint showing where I was inside the QVB followed me as I traversed into the building and up its escalators, where it then automatically switched to the first level’s floor plan. It was, however, a little flaky at times and often showed me standing where I was a minute prior.
Google’s indoor map of Flinders Street Station, Melbourne.
At Central Station the only floor plans available appeared to be of the top entrance, where many intercity trains depart from. The detail of that floor plan was very basic and hardly useful if I wanted to catch a train from a certain platform, as many platform numbers weren’t listed and neither were the names of many shops, which are instead shown as their lot number.
Hungry Jacks was shown simply as lot “33”, even though it’s been there for many years (time to update your floor plan, Central Station?) and train platforms appeared as grey rectangles.
The pinpoint tracked me at the top part of Central Station quite well until I went to the suburban trains, where it then got lost as there may not have been enough Wi-Fi nearby to triangulate me.
Google’s indoor map of Melbourne Airport.
Also, when I stood next to the station manager’s office and attempted to navigate to it using walking directions, it directed me to go out of one entrance and come back into another. Google tells me this is because walking directions for the inside of buildings haven’t been switched on.
At the Museum of Contemporary Art the pinpoint initially worked well, but when it came time for it to transition to level 2′s floor plan once I got out of the lift I had to manually change to it. The plans at the art museum showed things such as galleries, screening rooms and toilets.
Where Google hasn’t surveyed a building and there isn’t much Wi-Fi around to help a user’s smartphone determine where it is, a big circle often appears on the screen, suggesting that the user is located somewhere within it. This is what I found when testing out indoor maps at Harbourside Sydney in Darling Harbour, one of the locations where Google Maps basically turns your phone into a map found at a shopping centre with no “you are here” pointer.
Google’s indoor maps of a number of places in Sydney’s CBD
Although still helpful for finding stores within the Harbourside shopping centre, without the pinpoint telling me where I was I had to constantly look for nearby shop names, like I would with a regular physical map plastered on a directory. How old fashioned and uncool!
In conclusion, Google’s indoor maps are a useful tool for commuters, shoppers and tourists, but rely heavily on many venue’s floor maps, which aren’t always detailed, meaning it’s sometimes easier to just use indoor signs. I was surprised that none of Central Station’s platforms were numbered on the indoors maps and that many of the food joints were only listed by their lot number.
The other downside I found while testing was that the pinpoint dot that is meant to follow you around didn’t always accurately locate me. Sometimes I would stand still and it would move me 50 metres away. Indoor walking directions also weren’t available a lot of the time.
Overall, it’s a little gimmicky, but still a cool feature to have built into Google Maps. If you’re a business you can help by uploading your indoor floor plans to maps.google.com/floorplans. You can also help make the pinpoint more accurate by using a smartphone app and walking around to map out nearby Wi-Fi like Google’s Street View cars did when taking photos of houses.
The right partnership with a coupon site can drive high volumes of visitors and sales for online retailers by taking advantage of the large number of people who are already members of various coupon sites. Smart shoppers are seeking out coupons before committing to a purchase, and research firm Frost & Sullivan is predicting that online spending in Australia will total $12 billion this year.
When done well, a coupon strategy also has the power to upsell customers to a more expensive item, help to preserve retailer margins, and increase Average Transaction Value.
So where are Australians finding the best online coupons, and how can you get in on the action?
Here, we review two of the biggest online social communities that are delivering large volumes of potential customers to brands offering coupons. We also show a case study about how an online marketing agency can help with a well planned coupon strategy, as we did with Dell.
Two engaging sites, OzBargain and RetailMeNot, enable their communities to share, rate and promote the best online coupons.
OzBargain aggregates coupons offered by everyone from Coles Supermarkets to Dell Computers. The essence of this site is captured in the words of its owner, Scott Yang. “OzBargain is a bargain sharing community,” he says. “People find great deals or new coupon codes either online or from bricks & mortar stores, and they share what they have found on the website so others can benefit. The community is mostly Australia, and is technical-biased – i.e. people who usually perform research online on products and shops before purchasing, and are comfortable to shop online, if that gives them a good price.”
The site is rapidly gaining momentum, as statistics from June 2010 (the end of financial year providing a rich source of sales and coupons) show:
6,000,000+ page impressions
about three pages/visit
more than six minutes of time on site
Yang believes that the benefits to the whole community are broad. OzBargain tells members when and where the sales are on. It is an extensive repository of online coupons, and more great deals are posted every day. “Many merchants and retailers are happy to offer exclusive specials for the OzBargain users,” explains Yang. “We are a community of shoppers, where people want to help each other find good deals and provide constructive reviews on products and retailers.” The site contains a forum and a wiki to help members conduct their research.
The site also has wide appeal to Australian retailers says Yang. ”We help Australian online retailers to tap into the biggest online shopping community. A good deal that gets lots of votes can send down a few thousand unique visitors to your website within hours. Our members are also providing helpful feedback and suggestions to merchants to help them improve in future.”
OzBargain is community moderated, which means everyone wields voting power. The more votes, the higher the post or comment will raise in the listing.
A recent campaign undertaken for Dell on OzBargain, demonstrates the volume of sales that can be generated within the shopper community. The Dell Wasabi was reduced in price to shift excess stock, so dgm seeded a coupon to communities such as OzBargain, knowing that the message would go viral and deliver large volumes of sales within a very short period of time.
Within hours of the $29 offer appearing on OzBargain, Dell experienced sales numbers (below) directly attributable to that community.
As further evidence of the growing popularity of online coupons, the OzBargain site has doubled in the past year, in both the number of users and page impressions. “This steep increase could be the natural growth of OzBargain,” says Yang, “or it could mean that Australian shoppers have smartened up to using the internet more for research purposes.”
Either way, according to Frost & Sullivan, online shopping in Australia continues to lag behind the US and UK, with an estimated 40 percent of e-tail spend going to overseas sites.
RetailMeNot is one of the globe’s leading coupon sites, with more than 15 million unique monthly visits, including 120,000+ unique visits in Australia. There are more than 500,000 offers on this site at any one time, from 70,000 retail stores; numbers that are doubling year-on-year both around the world and in Australia.
With the average user spending $150 per transaction and, according to RetailMeNot studies, saving an average of $29, it’s not hard to see why this site has garnered such a vibrant community.
RetailMeNot offers a deep directory of shopping coupons that are predominantly user submitted. The community continually tells the site’s coupon engine which are the best coupons by way of casting votes. As of June 2010, RetailMeNot was pushing through US$36 million in sales a month, to third party sites. Growth for the site has been driven by word of mouth, which is a testament to its usability.
While traditionally Australian shoppers have been accustomed to negotiating in store to get deals of this type, sites like RetailMeNotare shifting behaviour to online coupons.
Bevan Clarke, co-founder of RetailMeNot, points out that the future of online coupons is very bright indeed, harnessing many major retail brands in Australia that have recently launched or soon due to – the likes of Bing Lee, Big W and Dick Smith will all have a major part to play this Christmas.
In subsequent articles on this topic we will cover off:
Building a comprehensive online coupon strategy for the Australian market place
Coupon2.0 the future of coupon redemption strategies