I wouldn’t consider myself an “early adopter” of most new technologies or marketing tools – except for that of the Daily Deal.
Several years ago, when Daily Deals started to get hot, I was living in New York on a shoestring budget and Groupon offered me two things:
- Savings (let’s face it, who doesn’t like to save money?).
- New places, experiences, restaurants and foods to try with no time consuming research.
I loved it. I was being served up a new offer every day that would help me experience New York in a cost-effective way – great deals on everything from manicures to Ethiopian food. As a consumer, I think you adopt things like a Daily Deal easily because there is no catch. You prepay, you receive a voucher, and you present it at the time of purchase. Enjoy.
But is there a catch for brands that participate in this “revenue share”? Getting involved with a Daily Deal can be time consuming experience…but one that can ultimately pay off in a big way.
Here are some simple steps to follow to help you secure a Daily Deal for your company:
First: reach out to the company and speak to a sales representative, letting them know of your interest.
Second: collaborate with the rep in working out a “deal” for your brand, which typically includes the buyer paying a small dollar amount to receive a larger dollar amount toward your product or service.
Be warned: finding that magic number can be tricky. First, you have to be willing to create a “deal” that goes above and beyond your typical offering to interest the companies that run these Daily Deals. Second, you have to be willing to part with half of the revenue that is generated by the deal. So, if your deal is $10 and 10 are purchased, sales amount to $100, but $50 is given to whatever company runs that deal.
Third: Be patient and wait. With most of these Daily Deals, you don’t know when your deal is going to run until days before.
Once your deal does run, this is when the fun begins! You get to have your business exposed to dozens of consumers who may have never heard of your service or product otherwise. They get to learn about you, visit your website and ask questions. Expect and plan for an increase in traffic – and hopefully, sales!
Here is the best part: the deal acts as a third party recommendation. Big names like Groupon and Living Social go through a vetting process, so you’ve earned already earned credibility in the mind of the consumer. They trust you before they know. That sounds like a pretty good deal, and is worth the lengthy process required to set up the deal.
Written by Jamie Roser, Account Manager