Instead of relying on one segment of group buying industry and sticking devotedly to it for drumming up business, Google, the world’s biggest internet search engine, seems to be sluing out of the traditional pathway and marking its own style in the daily deal ecosystem.
The recent jump of Google Offers in deal aggregation business deemed a face-saving action to make up for one’s failure in the daily deal industry within three months of operation, considering 23 per cent slump in its August revenue despite rise in numbers of deals.
However, this argument is squelched as the figures of December disclosed the radically improving condition.
The fledgling Google Offers saw a remarkable rebound in its revenue in December, recording 84 per cent straight surge to $488,000 from $265,000 in August, unveils the Yipit’s graph. It should be noted that the figure constituted only one per cent of Groupon’s December sales.
The increase was owing to addition of new markets (Austin, Boston, Denver, Seattle, and Washington D.C.). The group buying service provider was previously offering local daily deals to only Portland, New York, San Francisco, and Oakland, it suggests.
Google wanted to enter the daily deal field by acquiring group buying industry No.1 Groupon but the latter snubbed its reported six billion dollar offer.
Media reports said Google Offers are poised to enlarge numbers of deals for its subscribers. It will aggregate deals from 15 group buying sites that include Gilt City, kgbdeals, TIPPR, Plum District, and Juice in the City, Reuters reported. “Google will continue sourcing its own daily deals, but…can offer a lot more deals without expanding its sales force a lot,” the report added.
Of late, the company has teamed up with Dealfind to enhance variety of deals for its customers. Under the latest agreement, Google Offers agreed to publish offers of Toronto-based Dealfind that is covering 21 US and 28 Canadian cities. Since 2010, it has sold more than 1.4 million coupons and saved buyers plus $330 million.
“Through our partnership with Dealfind, we’ve expanded our collection of deals and are able to connect our customers with even more great deals in their area,” said Eric Rosenblum, Director of Product Management, Google Offers in a press statement.
Will it be a sound idea to hinge on two different sections of the daily deal ecosystem under the same brand name and with unchanged resources especially when each has its own peculiarities and merits dedicated focus—a question to be answered soon.
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