Holiday Marketing to Moms: Daily Deals in Our Stockings?

December 13, 2010 § Leave a comment

The Intersection of Deals and Deliberately Smart Shopping.

With all the talk about Groupon, is Mom buying us a Daily Deal for our stocking?  She must be buying us a few daily bargains from sites like Groupon, LivingSocial and Daily Deals for Moms, according to research from Eversave.

It seems that smart shopping and group buying are a marriage made in heaven.  According to eMarketer,  44.7% of online buyers said they think such websites are a good way to shop, based on a survey from daily-deal site Eversave. And 42.5% said they would consider using such sites for gift giving this holiday season.

Have a Heart for Holiday Shopping

One of the most significant findings is that 40.2% of US online buyers would purchase a deal if a portion of proceeds would go to charity. That is a very interesting finding but it doesn’t really take into consideration the economics of most daily deal sites.  With most daily deals, the retailer must discount their product or service by 50%, and then half of discounted price goes to the deal site, leaving only 25% for the retailer.  Since the group buying concept serves as a new type of loss leader, there is very little room for proceeds to go to a charity.

It is important to remember that the target market for daily deals is a younger, college educated woman with $50k income.  And the most popular items on group buying sites have proved to be beauty products and services, group activities and entertainment.



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