Have Deals ‘Jumped the Shark’? Unlikely

There’s all kinds of news in the past few days about Groupon and LBS distribution. Last week Loopt announced that it was getting real-time deals via Groupon Now, which just launched in Chicago. Today there’s news that Groupon is going to do a similar distribution deal with Foursquare.

A few weeks ago LivingSocial launched (ahead of Groupon) its “instant deals” in the Washington DC area.

This “real time” presentation of daily deals content is effectively a repackaging of existing deals content. However with Groupon there is one relatively new element on the merchant side: SMBs can do deals spontaneously or schedule them for slow times. This is effectively merger of Groupon Stores and Groupon proper.

The tie in with Foursquare and Loopt adds more targeted mobile distribution. And there will be more such distribution deals. But is this the glorious dawn of “deals 2.0” or are deals starting to wear thin? Earlier today I saw two radically contradictory articles about the daily deals space:

Neither article is accurate.

Deals aren’t going to dominate the local advertising market, nor have they “jumped the shark.” First local channels have in most cases adopted deals as an adjunct to their existing ad packages.

For many merchants deals will be effective customer acquisition and loyalty tools. But because of some of the many problems we’ve discussed here they aren’t going to take over local.

Consumers will continue to look for ways to save money and use deals. While there may be burnout and “deal fatigue,” people will never get tired of saving money.

Related: Foursquare To Power INQ Mobile’s Location Based Services

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2 Responses to “Have Deals ‘Jumped the Shark’? Unlikely”

  1. Malcolm Lewis says at

    “Deal fatigue” is more a case of “daily deal email fatigue” imo – irrelevant or repetitive deals delivered to your inbox at the same time every day. Mobile delivery of targeted deals based on preference and proximity should take deal discovery and consumption to the next level – taking us a step closer to the impulse buying that drives a lot of shopping.

  2. Greg Sterling says at

    Agree that UX will improve when people are seeking out deals

  3. Interesting Google Places and Local Search Articles (22-29 May) « Google Places Optimization and Local SEO says at

    […] Have Deals ‘Jumped the Shark’? Unlikely Survey: 44% Buy Daily Deals at Least Monthly 14% Of Groupon/LivingSocial Subscribers Respond To Push Notifications Location-Based Marketing: The Convergence of Social and Mobile For Small-Business Marketers, Are Fewer Channels Better? Everyone Should Hire ‘Social Media Experts’ Friend Recommendations Drive Local Business Visits Discover more places you’ll like based on people who’re like you […]

  4. Interesting Google Places and Local Search Articles (22-29 May) » Local Search Marketing, Local SEO, Google Places SEO - NGS says at

    […] Have Deals ‘Jumped the Shark’? Unlikely Survey: 44% Buy Daily Deals at Least Monthly 14% Of Groupon/LivingSocial Subscribers Respond To Push Notifications Location-Based Marketing: The Convergence of Social and Mobile For Small-Business Marketers, Are Fewer Channels Better? Everyone Should Hire ‘Social Media Experts’ Friend Recommendations Drive Local Business Visits Discover more places you’ll like based on people who’re like you […]

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