19 December 2010
Groupon+Flash Sales = Local Saviour?
Groupon is claiming to be the local small businesses' newest and best friend indeed savior so they claim. Indeed the growth of Groupon is explosive. And this is not just Groupon itself but all the Groupon Wannabees.
The growth of instant sales is also astonishing. Check out this chart from eMarketer.
The move to real time is one of my hot picks for 2011 (PLUG - The Professor's 2011 predictions will be due early this week).
But what no one is saying is where is this traffic coming from? I opine that there is no time left in anyone's calendar to take on more fire hose drinking. Therefore the switch TO something like these things have to be accompanied by a shift away from something else. I went to see if I could prove my point through GoogleTrends and Alexa. Not really but possibly. Check out for yourself (both images from Alexa for USAToday, Groupon, Craigslist and ebay).
A slightly different picture emerges when you look at search terms.
The long term effectiveness of these tools is going to be interesting. Personally I think the continued growth of community minded services will power the growth. IE a friend suggested using this particular groupon ad. ETC ETC