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Jonathan Marek

Senior Vice President
Applied Predictive Technologies

Small Merchants 'Bah Humbug' Daily Deals

November 29, 2012

FROM RETAILWIRE:
A RetailWire story back in July of 2011 looked at plans by consumers to use daily deal offers to save money on their holiday purchases. Now comes a report that small retailers have decided to take a pass on offering Groupons this holiday season. Is there a place in the daily deal space for special offers that satisfy customers while making business sense for merchants?      [more...]

MY COMMENTARY:

Not much of a place. As many of us have been saying for awhile, the daily deal business model just doesn't work most of the time. Does it work for a niche set of businesses sometimes? Sure, but so does sticking flyers on windshields and advertising on airport security bins. Those aren't bad things for some retailers to do. But rightly, neither of those ever got the hype or the valuation that Groupon did.

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