With the recent launches of heavyweight group buying brands such as TreatMe, Cudo and Yazoom the question is, can the smaller daily deals sites compete? And what about new sites that are planning to launch? Can they survive in this crowded, and competitive market? We at OneDayDeals.co.nz believe that new sites can do well…and be profitable.
There definitely is space for the smaller, and new sites to get in on the action. But if you are a new site or planning to launch soon, there are several steps you will need to take to grow, and gain some market share.
How to beat the larger group buying sites
Firstly, smaller sites can compete by taking a smaller commission on deals sold. The larger sites like TreatMe and GrabOne take between 20 and 50% of the deal price. When the deal is already 50% off retail, this commission level can mean that a deal is a loss leader for the advertising business. This can make it harder to get the deal agreed on by the business.
This is where smaller group buying sites can come in. Sure you can’t offer the level of customers that TreatMe and GrabOne could just yet, but smaller sites (with smaller staff levels and lower overheads) can conceivably charge less commission. The business advertising their deal, can keep more of the initial sale, and possibly breakeven on the deal. That means negotiating a deal is a lot easier. This is where to opportunity for smaller sites exists.
You must build up your Email Database ASAP
Secondly, and perhaps most importantly, smaller group buying sites will need a decent sized email database list, to ensure that deals run, actually sell good numbers. Hundreds of members are simply not enough. You need THOUSANDS on your database. As they say, the money is in the list! The level of potential customers you can offer the advertising business when setting up the deal, is extremely important.
There is no point going to the trouble of approaching a business and negotiating a deal, when you sell less than 50 deals for them. But there is an easy solution to sell more deals. It’s simply a matter of getting more customers on your email database.
But waiting for customers to find your site, and hopefully register, is a silly way to grow your database. Its way too slow, and not that effective anyway. To grow faster, you need to advertise. You need to cast your net wider.
Get an ad on OneDayDeals.co.nz for FREE
OneDayDeals.co.nz is now offering a service to smaller daily deals site. We can place a small advertisement on our site prompting our users to visit, and SIGN UP to your daily email list. Yes we can send users to your site that want to sign up! The best part about this service is that we don’t charge you to advertise!
Yes, that’s right, we place your ad up for FREE! Your special advertisement can remain on our site as long as you like, we simply ask you for a referral fee for each member that actually signs up to your database thru our link. There are several ways this can be tracked, and we work with you to ensure you are satisfied.
OneDayDeals.co.nz are already helping several group buying sites to build their databases every day. Don’t get left behind! To grow and make your site successful you need to build your email database. OneDayDeals.co.nz has thousands of visitors every day and we CAN help you grow. We ask for no money upfront. Why not give it a try for a week or two?
And remember, using this service on OneDayDeals works out way cheaper than Google Adwords. Don’t advertise to get users to your site once, then let them click away. Get them to sign up to your database so you can send them deals every day.
To find out more about how OneDayDeals can help you get more sign ups, please contact us thru: