Today’s consumers are getting wiser, utilizing daily deals sites to purchase something they want or need. With daily deals sites like Goupon already having $644 million for their first quarter revenue of 2011, other daily sites are looking at strategies to meet even half of what Groupon has already achieved.
Affinion Group, a global leader in customer engagement solutions, has earned independent honors and analyst recognition for the success of multiple product lines. It’s latest move was the acquisition of Prospectiv Direct, which runs the daily deal site Eversave, for $30 million.
“Through Affinion’s existing programs and services, we provide consumers with a broader discount network than what is available through any other provider, and we offer more individual coupons than any other service, delivered conveniently to users via their mobile devices for use right at the point-of-sale,” said Nathaniel J. Lipman, Affinion’s Chairman and Chief Executive Officer.
“With the addition of Eversave to our portfolio, we have the opportunity to accelerate our vision of bringing this degree of convenience and scale into the daily deal marketplace, while also adding a world-class roster of clients in Prospectiv’s traditional lead generation business.”
The interesting thing about this acquisition is on Affinion’s part as not many companies have ventured into acquiring daily deals company.
“The acquirer in this case is the most interesting part. So far, a majority of the deals acquisitions have included the big players, like Groupon and LivingSocial, expanding internationally, or other players, like BuyWithMe, buying up players to expand into new U.S. cities. But so far, very few companies have acquired companies to enter the daily deals space for the first time, much less a marketing agency.” said Tricia Duryee of AllThingsD.
Other daily deals have tried their luck by expanding the scope of their deals, like Lot18 or the more clever strategy of DealsGoRound of reselling secondhand deals from other daily deals sites like Groupon and LivingSocial. Google is also joining the daily deals circle with their Google Offers, an update in their Google Shopper app.
Whatever direction daily deal sites may go, there’s only one thing that they should always bear in mind: Please the consumers with the best possible deals. Daily deal sites pop-up like mushrooms and they flood your inbox with offers. Consumers are already smart buyers, and getting smarter by the minute; they will subscribe to different daily deal sites and of course, pick the best one. These sites usually have the same offers, the price and the perks are what differentiate them, along with a personalized and highly targeted approach that makes it as useful as possible for the end user.
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