From the ashes of the meltdown of the 2008 and 2009 world economy comes a number of group and local deal services targeting local-based retailers and the people that shop there. It is truly the marriage between three rising trends - e-commerce, localization and social networking - wrapped up in a discount envelope. I've had no fewer than ten people ask me about the comparative strength of these services - apparently many of their sales teams are pitching superiority in their proposals.
I'm of two minds here. On one side, this is a heck of a lot better than targeting discounts and coupons through newspaper from an effectiveness, from a tracking and from a pay-for-performance standpoint. As a client interested in ROI or a retailer counting their pennies, this type of service gets a lot closer to knowing which part of your marketing spend is effective.
On the other side, I see a nation of retailers, from high end boutiques to low end discounters, training their clientele to shop based on price and ceding over their customer lists to others in the process. Is this just a better more contemporary, socialized version of the coupon that allows more real estate to promote your offering or is this the Walmartization of local merchant economy?
That economic and moral question aside, we have reviewed and rated 30 of the top deal services based on the following criteria:
- User Experience (20 pts)
- Quality of Deal (20 pts)
- Differentiation of Offering (15 pts)
- Design (15 pts)
- Socialness (10 pts)
- Breadth of Deals (10 pts)
- Number of Cities/Places (10 pts)
We'll release our ratings next week but hopefully give their founders and executive staff a chance to provide additional thoughts and highlight their strengths on their group wares. I'll individually evaluate each site in follow up posts.
In the interim, here is our preliminary rating of their Twitter presence. Twitter IQ scores were given based on number of followers, quality and frequency of posts, depth of engagement and smart Twitter behaviour (response/promote ratios, central and city-based pages):
Company |
Location |
Lead Account |
Following |
Followers |
Listed |
Tweets |
Twitter IQ Score |
Gilt |
NYC |
2499 |
11851 |
825 |
660 |
19 |
|
Living Social |
Washington |
3042 |
7516 |
480 |
2577 |
19 |
|
TeamBuy |
Toronto |
1876 |
1704 |
81 |
793 |
16 |
|
Scoutmob |
Atlanta |
4143 |
6077 |
305 |
2214 |
16 |
|
Red Flag Deals |
Toronto |
21 |
5904 |
246 |
6077 |
14 |
|
GroupOn |
Chicago |
3 |
5225 |
359 |
114 |
14 |
|
My Daily Thread |
Atlanta |
2001 |
1404 |
81 |
1312 |
14 |
|
Grooster |
Vancouver |
1446 |
1233 |
77 |
220 |
13 |
|
Webpiggy |
Toronto |
2001 |
1073 |
62 |
1189 |
12 |
|
Social Buy |
Los Angeles |
931 |
788 |
42 |
1111 |
10 |
|
Scoop St. |
NYC |
363 |
671 |
60 |
2341 |
10 |
|
TippR |
Seattle |
58 |
921 |
44 |
160 |
9 |
|
Twongo |
North Carolina |
1463 |
769 |
42 |
509 |
9 |
|
WagJag |
Toronto |
1976 |
1010 |
43 |
193 |
8 |
|
YipIt |
NYC |
460 |
594 |
44 |
336 |
8 |
|
Pricebunch |
Chicago |
802 |
297 |
19 |
63 |
6 |
|
DealOn |
NYC |
138 |
205 |
10 |
196 |
6 |
|
TownHog |
San Francisco |
359 |
154 |
14 |
72 |
3 |
|
At Cost |
Los Angeles |
266 |
85 |
10 |
22 |
3 |
|
Bloomspot |
Mountain View, CA |
0 |
72 |
5 |
202 |
2 |
|
Home Run |
San Francisco |
0 |
28 |
4 |
0 |
1 |
|
Adility |
San Francisco |
0 |
26 |
4 |
10 |
1 |
Congrats Gilt Groupe, Living Social, Team Buy and ScoutMob for passing our Twitter test with flying colours. Unfortunately Twitter socialness likely only counts for 3% of our total evaluation. For those who work at these companies, we'd love to evaluate your strengths firsthand, so drop us a line or leave a comment below.
We've also left 8 spots open for additions, so please provide us your best other group buying networks/websites for our total evaluation. Happy deals.
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