Differences between five key daily deal sites and best practices for merchants interested in this service. Key Sites: Groupon, LivingSocial, FB Deals, Google Offers, Amazon Local. Read More: http://bit.ly/pghri7

1. A VISUAL GUIDE TO
5 KEY DAILY DEAL SITES
LIVING FACEBOOK AMAZON GOOGLE BROUGHT
GROUPON TO YOU BY
SOCIAL DEALS LOCAL OFFERS
Daily deal sites deliver personalized deals
that are limited in number to customers.
Key differences among the most popular
sites are visually outlined below.
Last updated August 2011.
MARKETS
Facebook Deals · 5 Google Offers · 6* Amazon Local · 14
Facebook Deals · Atlanta, Austin, Dallas,
San Diego, San Francisco
Google Offers · NYC (Uptown, Midtown, Downtown),
San Francisco, Oakland, Portland
*Coming soon to Austin, Boston, Denver, Seattle,
Washington DC (July 2011)
Amazon Local · Palm Beach, Boise, Chicago,
California (7), Washington (4)
LivingSocial · 54 cities in Europe, 44 cities in
Australia, 316 cities in North America
Groupon · 43 countries, 182 cities in North America
LivingSocial · 200+ Groupon · 565+
SUBSCRIBERS = 10MM
LivingSocial · 40MM
Groupon · 83MM
Google Offers · 200MM*
Facebook Deals · 600MM*
Amazon Local · N/A (beta)
* Google and Facebook accounts needed to receive deals.
Having an account results in automatic subscription.
DEAL TYPES
FOOD SERVICES TRAVEL FAMILY/GROUP EVENTS
Groupon Groupon Groupon LivingSocial Facebook Deals
LivingSocial LivingSocial LivingSocial LivingSocial
Facebook Deals Facebook Deals
Amazon Local Amazon Local
Google Offers Google Offers
NUMBER OF DAILY OFFERS MOBILE APPLICATIONS INTEREST PERSONALIZATION
Mobile
iPhone Android BB
Web
* Google Offers does not currently have mobile apps
but will likely offer iPhone and Android.
ONE MULTIPLE YES NO YES NO
Google Offers Groupon Groupon Google Offers* Groupon Google Offers
Amazon Local LivingSocial LivingSocial Amazon Local LivingSocial Amazon Local
Facebook Deals Facebook Deals Facebook Deals
SOCIAL COMPONENT
FREE
SOCIAL REFERRAL REFERRAL GROUP 3 FRIENDS
SHARING MONEY DISCOUNT BUYING BUY=FREE
Groupon Groupon Facebook Deals Groupon LivingSocial
LivingSocial
Facebook Deals
Amazon Local
Google Offers
U.S. SITE SNAPSHOTS
Groupon led the daily deal site trend Google Offers is in its elementary LivingSocial is more selective
and is in the most markets with the phase but has potential when with merchants and skews toward
highest number of subscribers. combined with Google Wallet. younger, more active and social
customers, with bigger ticket
Amazon Local will likely continue to Facebook Deals gives every items. Family deals are unique
essentially serve as an extension of Facebook user automatic access. to LivingSocial.
LivingSocial, with its key differentiator Its success will depend on customer
being shorter expiration dates. willingness to purchase in a purely
social setting.
BEST PRACTICES
DEFINE GOALS UP FRONT PREPARE FOR THE DEAL NEGOTIATE SMARTLY
Merchants often run deals with the Ensure that there are enough staff Everything is negotiable: from
hopes of gaining new customers, members and supplies to support the percent the deal site takes,
only to realize that they essentially the deal redemption. Train staff on to expiration dates, to payment.
gave their existing customers a 50%+ daily deal redemption and customer Understanding the terms of
discount. Determine whether driving service. Remember, if the goal is to competing deal sites will aid
immediate sales or gaining new life- gain long-term customers, a poor first in negotiation.
long customers is the goal. Then experience is hard to overcome.
structure your deal accordingly.
© August 2011. This only shows the major players.
There are hundreds of other daily deal sites worldwide.
Find us online @T3ThinkTank and www.T-3.com