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Showing posts with label living social. Show all posts
Showing posts with label living social. Show all posts

January 23, 2012

May 1, 2011

The Daily Deals Universe: Movers and Shakers

The Daily Deals Market is  dominated by Groupon and Living social  is now facing challenges from " the  Internet Heavyweights, Google and Facebook.Apparently, Google recently launched the BETA version of its very own Groupon called “Google Offers.” Launching in 6 different cities in United States, the Google Offers makes the search engine giant another company to watch out for in the local advertising market.

But Google is not the only company that is gearing up to challenge  Groupon’s business. The social networking giant Facebook also launched its own called “Facebook Deals.” Facebook launched its daily coupon deals product in 5 different cities in United States.Facebook is also   geared up to take on this " Social Shopping " Concept   and has recently started Facebook Deals, launched April 25, letting local businesses pitch deals to Facebook users living in Atlanta. Austin, Texas, Dallas, San Diego and San Francisco. the social network's riff on Groupon's local deals service, may have only launched as a test in five markets, but it's bursting with potential.

Online MBA created an infographic to show the brief “history” of the companies competing for the title of the “Daily Deals King.” From company’s valuation to payment options, the infographic also briefly explains why Google and Facebook can kill Groupon in the next coming years.

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.

March 27, 2011

Top 5 Insights on Daily Deals Sites

With Groupon generating multiple billions this year in sales, and on track for a $25 billion IPO,  businessinsider conducted a survery on how online  users  are really using the daily coupon service. what exactly are those   niche users " connect" that is making the ' Social Shopping and daily deal sites like Groupon the next big thing in the online space .

Last week BusinessInsider  surveyed readers about Groupon and daily deals sites.  and  the  result throws in some awesome insights, on how  social Shopping is much more than " a passing fad

Key Isnights on  User Consumption pattern for Daily Deal Sites
  • Groupon is in a very competitive space. Of the people that use Groupon, 72% say they subscribe to LivingSocial as well. Sounds bad, but this could be an industry with a few players, not a winner take all.

  • Groupon is generating over $50 per person in gross sales from 65% of the people which took part in the survey. Groupon's user base is around  50 million users

January 28, 2011

Living Social Takes On Groupon:

Living Social Vs Groupon Traffic
Two months ago, LivingSocial, the Chinatown-based group discount coupon site, was hardly a blip on Groupon's radar.Now, after a monster Amazon gift card deal that catapulted the company into the limelight, LivingSocial now sees more than half the visits that the industry leader Groupon does.

Last December Amazon had declared there $175 million investment in LivingSocial, to help the site locate in various other regions. On January 19th it gave away the best deal for Amazon. It had offered half Price deals in and in less that eight hours over 80,000 signed up for Amazon deals.

Recently LivingSocial deals for included the offer of getting a $20 voucher of Amazon in $10. Needless to say, the deal is a great hit and from the profit point of view the site is close to earning $4 million from the deal. This results in a net revenue of $2 million which will then be split between the two. 

When Experian Hitwise, analyzed visitors to the two sites a little under two months ago, Groupon visitors outpaced LivingSocial visitors at a rate of ten-to-one. A new analysis shows that, after the Amazon deal, the company saw a surge in subscribers that's continued to climb 80 percent. Meanwhile Groupon has seen its visitors decline by 20 percent.Hitwise suggests that means that “the race for dominance in the group coupon space is far from over.” Mashable opined that LivingSocial’s traffic is likely to return to Earth this week, although the company likely gained many new members and national attention, good and bad, from the deal.

However although LivingSocial, boosted its traffic by 80 percent selling a $20 Amazon card for $10 last week, but the deal spawned a rash of negative comments on the LivingSocial Facebook page and stories about the deal across the blogs comments.