GROUP BUYING IS A BIG DEAL

Written on the 10 August 2012

GROUP BUYING IS A BIG DEAL

IN the fast-moving and highly competitive world of electronic “daily deals’’, Joe Brown (pictured) has almost reinvented the wheel.

His Voupons venture has enlisted dozens of businesses on the Gold Coast and offered hundreds of deals to potential customers in a new take on e-marketing and group buying.

The 34-year-old says Voupons is different from a string of other popular daily deal buying programs as it doesn’t take a cut of any merchant profits and is free for the shoppers.

“We have positioned ourselves as an alternative to some other daily deals,” says Brown.

“Shoppers only pay when they buy the product and businesses don’t have to hand over a percentage of their profits.’’

Brown concedes the daily deals market is crowded.

Well-known American-based operations like LivingSocial and Groupons churn millions of dollars of potential sales leads
each month.

But the industry also is weathering a backlash from some traders and patrons who have begun to question the effectiveness of some e-marketing campaigns promoted by some daily deal sites.

Billy Tucker, former CEO of Australian group buying website Cudo, recently warned businesses about the lack of control
in daily deals marketing.

He cited the example of a small Australian resort that signed up to a promotion deal and was overwhelmed when three million responses flooded in from around the world.

The resort was unable to honour the published offer to the majority of interested parties.

Brown, who has been working on his project for four years, insists the Voupons system is different and simple.

He says if customers looking on the Voupons website see a deal they like, they can request an SMS message be sent to their phone, which they take to the store to claim the deal. Businesses pay for the service by buying SMS credits.

Brown has also developed an iPhone application for Voupons that went live about three months ago. The system has gathered in excess of 600 downloads.

He is now working on an add-on that will activate a beeping noise on the phone if a customer walks within a certain radius of a Voupons-affiliated shop.

Brown wants to take Voupons Australiawide, but knows establishing a solid base on the Gold Coast is imperative before
expanding too fast.

“We want to focus on getting results for our customers here. Once we get those results we will look to expand,” he says.

Voupons client Leighton Breen from Govs Coffee in Miami says Voupons provided good value to his business.

“I looked at using the daily deals sites but I didn’t want to give away half my profit,” says Breen.

“I hear that there are so many deals and they don’t get much repeat businesses as the consumer just moved on to the next deal, with Voupons the clients pay me direct.

“This means I don’t need as many sales and make more profit.”


Latest News

DREAMWORLD PARENT COMPANY DEMOTES CEO DEBORAH THOMAS

ARDENT LEISURE, the parent company of Gold Coast's Dreamworld theme park, has reshuffled its core leadership w...

MELBOURNE SHOPPING CENTRE SELLS FOR $48m AS CHINESE DEMAND RAMPS UP

A MELBOURNE shopping centre has been sold for $48 million, bringing the total spent by Chinese investors on Victor...

HOW WEDDING WOES INSPIRED A BOOMING BUSINESS FOR MEGAN ZIEMS

WHEN she was dress shopping for her wedding in 2010, Megan Ziems (pictured left) was disappointed to discover a ma...

SPOTLESS REJECTS DOWNER'S 'HOSTILE' $1.2B BID AS IT PROMISES A STRATEGY RESET

CLEANING and catering services company Spotless has rejected a $1.26 billion takeover bid from mining services firm D...

Related News

FURNITURE DISRUPTOR SET TO SHARE HIS ONE OF A KIND BUSINESS MODEL

IT'S no secret that Australians love homemaking. Their ceaseless quest to create the perfect place to call hom...

WEEDING OUT THE ASX'S BURGEONING CANNABIS TREND: 8 COMPANIES TO WATCH

A NICHE is budding on the ASX in the form of medical cannabis, an industry which has been on the country's rad...

FRESH CLASS ACTION TO REVEAL ANOTHER SIDE OF SLATER AND GORDON DOWNFALL

ACA LAWYERS has issued a formal letter of demand to Andrew Grech (pictured), managing director of Slater and Gordo...

STARSHIPS WERE MEANT TO DELIVER DOMINO'S PIZZA

NICKI Minaj may have been off the mark when she declared 'starships were meant to fly'. However, she m...

EVENTS COMING UP

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter