Nathan Barton submits:I'm compelled at my initial findings on this idea and wanted to share. As many of you know, there is a phenomenon known as Groupon that has been sweeping the nation and is now moving into other countries as well. For those unfamiliar, what Groupon does is negotiate one really great deal in your city each day at a huge discount (normally 30-90% off) and send it to you in a nice morning e-mail. These deals may be for local restaurants, spas, or fun activities.
Fewer and fewer consumers bother to open the daily deal messages plopped in their e-mail in-boxes, and fewer still follow through and actually bite on the offers. That’s why daily deal giants Groupon and LivingSocial are trying desperately to focus on other modes of netting sales.
Mobile Guru submits: A report today from BIA/Kelsey said that it expects U.S. mobile local advertising revenues to grow from $213 million in 2009 to $2.03 billion in 2014, at a 57 percent compound annual growth rate. This represents 44 percent of total U.S. mobile ad revenues in 2009, growing to 69 percent in 2014. Companies such as Groupon and LivingSocial both capitalize on local advertising by having deals of the day that offer discounts to people who opt in to certain deals.