Groupon is the new addictive thing today. I am not sure about you, but I am one of those people who intentionally wait until midnight every day before I go to bed just to find out what the new daily deals are on Groupon. Because Groupon is so successful, many Groupon copycats who follow the exact same concept, format and even Website layout have popped up over the last few months. I thought this copycatting behaviour was never going to end…
…until I learned that Facebook has poked into a whole different type of the Groupon trend: Facebook Deals. Facebook Deals doesn’t work exactly like Groupon; however, it has an even more interesting concept which social shopping sites like Groupon isn’t able to offer: what Elmer Sotto, the head of strategy at Facebook Canada calls “serenpidity”
As opposed to purchasing a Groupon or other vouchers in advance for a business you have to plan to visit at a later time, Facebook deals offers spontaneity. Consumers may just happen to be close by, check Facebook Places, and see a deal they would be interested in that is near by. This leads to a different type of consumer behaviour, such as those who might just think, “well, it’s just one block away, so I might as well go check it out!”
Facebook Deals is going to attract a whole new market of businesses who would prefer this type of tactic to help them increase traffic. Even though traffic and sales aren’t guaranteed as they would be if they had chosen Groupon, at least businesses wouldn’t be incurring potential losses by offering customers deep discounts and paying 50% commission to Groupon (or any other social shopping sites).
Facebook Deals is a clever way for Facebook to take a share of the social-shopping or deal-addictives industry. People are already checking into places for fun. Offering them sweet deals simply for checking in would be a great bonus for the consumers, and also beneficial for businesses who get free marketing that is potentially more effective than online banner or text ads, or even traditional print or media ads.
Why? Well, you would probably agree that it’s always more convincing when your friends are also doing it or have done it. It creates credibility and increases your likelihood of trying the same things they have!