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Showing posts with label daily deal statistics. Show all posts
Showing posts with label daily deal statistics. Show all posts

August 22, 2011

Daily Deals Market Revenues To Grow 138% in 2011

This infographic (source :Dailybits ) takes a  look at what the biggest “daily deal services” sites do, which ones have gained most popularity and how they have achieved such viral success, along with analysis and comparisons between these main players 
Revenue from online daily deal and discounts sites including Groupon and LivingSocial will top $2.67 billion in 2011, up 138% from $1.12 billion in 2010, projects Local Offer Network Inc., which sells advertising and technology services to group-buying sites.
The company says at least 320 U.S. sites offer daily deals  and US Daily Deals sites in total offered 63,000 deals in 2010. That record will almost certainly be shattered this year, as Local Offer Network estimates that the first quarter of 2011 brought 40,000 daily deal offers to U.S. consumers. “This is driven by new deal brands and an increasing number of sites publishing multiple offers per day,” the report from the company says, adding that the average daily deal site in the United States serves at least 10 markets.

The most popular types of online limited-time deals in the United States remain those related to food and drink, which in the fourth quarter of 2010 accounted for 26% of such online discount offers.

Beauty, spa and massage offers continue to hold the second spot, with 20% of offers, followed by fitness and nutrition, 7%, and sports and recreation, 5%.Home products and services are making some of the most significant gains, reaching 6% in the fourth quarter from 3% in the third quarter. Offers related to clothing and accessories also are gaining importance, the report says, reaching 4% in the fourth quarter, up from 2% in the second quarter.
However not all is hunky dory with the Daily Deals Market.A recent study by Rice University found that, on average, just 55.5 percent of merchants made money via a Groupon deal, with salons and spas, plus restaurants, having the hardest time with a Groupon daily deal promotion. In fact, according to the survey, just 43 percent of restaurants earned a profit with a Groupon deal, prompting some to ask why Google even considered buying it in the first place.

March 28, 2011

Livingsocial worth $2 Billion ready to Challenge Groupon

Among the ever burgeoning  daily deal  and social shopping sites that have emerged  post  Groupon rise  There is only one 2nd Position who is ready to challenge the growing clout of Groupon, is  the group-buying site LivingSocial.

 The chart above shows  the marketshare of the  biggest e players in the social Shopping. daily deals categoryIf both companies continue to grow at their current rates, LivingSocial’s portion of sales will overtake Groupon’s in January 2012. LivingSocial began testing a new service last week that lets local merchants set up deals for specific days and periods of time using an Apple Inc. iPad.

Since  LivingSocial  launched in December 2009, the company has garnered a total of $232 million in funding — $175 million of it from Amazon.LivingSocial, the second-largest website devoted to daily coupons, is close to raising as much as $400 million in funding that would value the company at more than $2 billion.The Wall Street Journal reported yesterday that LivingSocial is in talks to raise about $500 million.

,According to BIA/Kelsey, publishers are betting on a fast-moving horse. The research firm estimates that the $873 million market in deal-a-day e-commerce in 2010 will reach $1.24 billion this year and accelerate to hit $3.9 billion in 2015. Groupon and LivingSocial control more than 90 percent of the daily-deal market,

Groupon’s decreasing market share in U.S. markets does not necessarily indicate decreasing sales. A leaked internal memo suggests that Groupon’s annual revenue grew from $33 million in 2009 to $760 million in 2010. The change in market share has more to do with the fact that LivingSocial is just growing faster. It had 10 million subscribers in December, and more than 24 million subscribers in March,2011.

A recent report from daily deal aggregator Local Offer Network says that group buying will grow 138% to $2.7 billion in 2011.