The Difference Between Groupon And Other Sites

The success of Groupon lies on the fundamental aspect of offering discount to consumers. They negotiate better deals with business houses that offer discounts and pass it on to consumers in the form of coupons which turns out to be a win-win situation for both business owners and consumers.

Ever since Groupon made it big on the online space, there are many daily deal websites competing for a sizable market share. More and more players are joining in the online group-buying market. Though sites like Living Social, and Restaurant.com have also made it big, but still Groupon rules the roast.

Groupon Phenomenon

What makes the phenomenon of Groupon so successful? Although there are many players competing aggressively in the space and more are coming in and offering deals, Groupon has emerged as the leader. Because Groupon’s strategy to offer the only the very best deals to its users.

Unique business model combined with excellent pricing mechanism, wider reach and exciting offers makes Groupon, the undisputed market leader in the group buying sphere. Besides, Groupon’s incredible ability to coordinate effectively covering a wide range of geographically localized goods and services across a wide spectrum of industries has resulted in creating a niche for Groupon and clearly sets it apart from the ever increasing competitors.

The Differences Between Groupon And Other Group-Buying Sites

Groupon is always open to reach out to businesses and services that have the potential to attract the subscribers. Over the years Groupon has expanded and extended its group buying phenomenon across thousands of merchants tapping even the smaller ones. Groupon has never hesitated in extending an invitation to those existing merchants who are keen to venture in to online group-buying service or the new breed entrepreneurs who are bitten by the bug of group-buying business or even the established business houses diversifying in to group buying activities.

Groupon’s five pronged strategies that helped it to achieve a formidable position of strength:

Coordination Strategy

Groupon’s strength lies in its strategy based on powerful analysis on various goods and services that would be engaging and appealing to the subscribers. Once identified the right goods and services then the company dons the role of powerful intermediary in the group-buying activities by coordinating effectively the whole process including initiating, negotiating, arranging, and execution.

Pricing Strategy

Groupon’s adopts a different pricing strategy for the deals. As mentioned in its website, “We only win if you win”, Groupon makes it clear that the focus is making the subscriber happy. Based on this policy, Groupon has a fixed price for all the deals it offers on its website. The pricing is not limited to any time frame but it is valid till a fixed minimum number of subscribers accept the deal. The subscribers can enjoy the deal at the discounted price, only after the fixed minimum number of subscriber is reached for the particular deal.

Advertising Strategy

Another business strategy adopted by Groupon is that the company never charged the business houses for advertising their goods and services but instead demanded a fixed percentage of the revenues generated by each deals sold by the business houses as its profits.

Product Offering

Groupon offers a wide range of products than most of its competitors. The products are categorized into customer packaged products under several headings for ease of subscribers. Groupon does undertake lot of research and carefully examines the preference of the people catering to the local market. Based on the geography of its operations, Groupon cleverly decides on the deals with specific product for those shoppers in that local area.

Groupon’s provides lots of information about the products on its auction page and also highlights each featured auction to show its specific advantages. Further, it provides links of the featured companies (if any) and maps their exact locations. By providing a special link called “Join the Discussion”, Groupon encourages the subscribers to share their opinions and comments about the products.

Special Features

Apart from the traditional email distribution activities, as a measure of widening its reach to attract new consumers, Groupon has extended its links to social network sites such as Facebook, Twitter and FeedBurner so that the subscribers can share Groupon with their friends and convince them to subscribe and share links to other groups. Besides Groupon suitably awards its subscribers through an initiative titled “Refer Friends, Get $10″. Groupon is continuously engaged in enhancing its personalization process to meet the ever raising user needs and striving hard to better them every time.

Did you like this? Share it:
This entry was posted in Group Buying Sites. Bookmark the permalink.

14 Responses to The Difference Between Groupon And Other Sites

  1. Jancy says:

    Truthfully, Groupon and LivingSocial sites are completely different in Daily deal marketplace. both sites have some great deals. According to me buyers don’t care where the deal comes from, Should concentrate on best deals. Make sure the deal is good.

  2. alex says:

    That is a good tip especially to those new to the blogosphere.

    Simple but very accurate information… Appreciate your sharing this one.
    A must read post!

  3. anjahan says:

    A clear and informative post about Groupon alternatives! As we know that Groupon is biggest deals sites and fast growing company. but today’s Groupon has a lot of competition out there. They are also offering great deals to the customers in every country.

  4. National Air Warehouse Coupon Code says:

    Magnificent beat ! I wish to apprentice while you amend your web site, how could i subscribe
    for a blog web site? The account aided me a acceptable deal.
    I had been tiny bit acquainted of this your broadcast offered bright clear concept

  5. tristan says:

    I am really impressed with your writing content and also with the layout on your weblog. I agree that Groupon is a popular group buying site by offering useful deals. The only website have great customers base and choice to the customers and more importantly allows them more frequently reason to buy!

  6. clair says:

    I’ve learn several excellent stuff here. Definitely worth bookmarking for revisiting. I wonder how a lot attempt you put to make any such wonderful informative website.

  7. sabin says:

    I like the valuable info you provide in your articles.I’ll bookmark your blog and check again here regularly.

    I am quite sure I’ll learn lots of new stuff right here!Best of luck for the next!

    Great comparison between two eCommerce sites.

  8. mickey says:

    Great differences you have penned down about the Groupon and other daily deal websites. The special features define it very well and the Groupon phenomena also explained in a well manner. Any newbies can understand in a good way

  9. kathrin says:

    Groupon, offering daily deals, has ended up being uncontrollably famous with customers. Extraordinary rebates are given for restaurants, retail locations, spas, theaters and much more.are given for restaurants, retail locations, spas, theaters and considerably more. Its a great site for small medium business

  10. Helen says:

    These are really impressive ideas in on the topic of blogging. You have touched some nice factors here. Any way keep up writing.

  11. Mia says:

    Way cool! Some extremely valid points! I appreciate you penning this post and the rest of the site is really good.

  12. Maud says:

    Just wanted to say I lve reading through your blogg and look forward to all
    your posts! Keep up tthe great work!

  13. Veera says:

    Appreciate this post. Let me try it out.

  14. Vicky says:

    That’s is a really good tip particularly to those fresh to the blogosphere.Simple but very precise information . Many thanks for sharing this one. A must read post!

Leave a Reply

Your email address will not be published. Required fields are marked *

*


*

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>