Mumbrella360: Economics and impact of group buying
Group buying is Australia’s largest growing media sector and at Mumbrella360, the industry’s major players came together for the first time.
On the panel, Billy Tucker, CEO of Cudo; Dean McEvoy, CEO and co-founder of Spreets; Hezi Leibovich, joint founder, Catch of the Day and Scoopon; Colin Fabig, CEO Living Social Australia and New Zealand. Moderated by Mumbrella editor Tim Burrowes
Yeah Tim … ‘bubble’ was a bit harsh. It smells more like a fad.
Great to see a code of conduct emerging in the daily deals industry.
Tim is exactly right. It’s a bubble. That’s why they’re all selling themselves.
it will eventually become just another channel for clearing excess/obselete inventory
there’s nothing new about loss leading and deep discounting in retail.
there’s a reason why shops don’t regularly hang up 70% off signs outside their front door.
cheapskate customers cost just as much as full price and they can bankrupt small businesses
few businesses will do repeat offers and the group buying sites will find it harder and more expensive to replace them with new bunnies
Daily deals are definitely here to stay, but how much they turnover and what they do for hospitality and retail in particular will be very interesting to watch over the next 24 – 36 months.
Some excellent follow up reading on Mashable today “Are We Approaching the End of the Daily Deals Era?” http://mashable.com/2011/08/30.....aily-deals