Different business categories have different issues when it comes to making smart use of Daily Deals. We’ve followed industry-specific rants and raves for some time and have seen that the deal math, return behavior marketing, and service management issues can vary significantly. Consider the difference between carpet cleaning and fitness classes, or between restaurants and retail boutiques.
Archive for December, 2010
December21
A Deal is Not a Deal is Not a Deal
Copy writing for a Daily Deal ranges widely, from elaborate descriptions about the business penned by hip urban writers to bare bones, just the facts ma’am, descriptions. I’ve even seen copy writing labeled a “secret sauce” ingredient for Daily Deal success.
The question is, how important is it, really?
Perhaps the biggest unknown going into a new Daily Deal campaign is the rate at which you will succeed in converting the coupon visitor into a returning customer. Some evidence suggests this can be the single biggest problem in the viability of Daily Deals. The fact is, at one level, the goal of the Daily Deal provider is somewhat competitive to your goals. Akin to a Tour Bus, the Deal provider aims to channel their consumers from deal to deal as frequently as possible. Conversion rates are critical to the value you derive from any Loss Leader promotion!
The Deal Purchaser List
Most Daily Deal providers do not share the contact information of the consumers who have purchased the voucher. While the name of the consumer may be shared for coupon redemption management, the business will not normally get contact information. Essentially you are “renting their list” as part of the service, and it’s your job to convert their consumers into return visits.