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10 Quick Facts
About How and Why
Consumers Use Daily
Deals




                      Consumerpulse
1. Consumers who sign up to receive Daily Deals end up
purchasing them


       •    Four-out-of-five Daily Deal subscribers have purchased at least
            one deal in the last six months

           Number of Daily Deals Purchased                                                             26%
100%                                                                                                of subscribers
                                                                                                   age 50-59 have
 90%
                           27%                                                                     purchased more
 80%                                                                                                 than 5 deals
 70%                                                                                                  In the last
                           21%                                                                        6 months
 60%                                              5 or more
                                                  3-4
 50%
                                                  1-2
 40%                                              0
                           31%
 30%

 20%

 10%                       21%

  0%
                     Base: Those who have signed up for a Daily Deal program Q40: How many deals
                     have you purchased in the last 6 months?
2. Recommendations from friends and family make
consumers more likely to purchase a deal from an
unfamiliar small business

  •    Word-of-mouth is key for the success of local deals


          Influence on Likelihood to Purchase a Deal from a
               Local Small Business (%8-10 Highly Likely)


  Deal is recommended by friends or
                                                                                50%
               family



 The deal comes from a national deal
   service (e.g. Groupon or Living                                   32%
                Social)



      Deal is recommended by a social
                                                 6%
                  media site


                      Base: Those who have signed up for a Daily Deal program
                      Q46: How will the following influence your decision to
                      purchase a deal from a local small business with whom
                      you’re not familiar with?
3. Personal endorsements drive deal purchases, especially
for women



           More Likely to Buy a Deal if it’s Recommended to Them by Someone they
                                  Know (%8-10 Highly Likely)                  35%
                    31%

                                                                  25%




                  Overall                                         Men                                         Women




             Base: Those who have signed up for a Daily Deal program Q41: When buying a Daily Deal, how much
             do you agree or disagree with the following? “If someone I know recommended the deal I am more likely
             to buy it.”
4. People are willing to share a deal if it’s great, regardless of
whether they are a current customer



                   Reasons for Sharing Daily Deals (%8-10 Strongly Agree)

                                                                                                      Women are
 I will share because
                                                                                 54%                   more likely
    it's a great deal
                                                                                                   (60%) to share
                                                                                                   a deal “because
                                                                                                   it’s a great deal”
I will share because I
know my friends will
                                                                                                        than men
                                                                        45%
         like it                                                                                        (46%)

  I am more likely to
  share a deal if I am                                      34%
  already a customer




                     Base: Those who have signed up for a Daily Deal program Q42: When sharing a
                     Daily Deal, how much do you agree or disagree with the following?
5. Familiarity and proximity matter: more than 1/3 of
consumers are more likely to buy a deal from a local small
business


   Reasons for Buying a Daily Deal (%8-10 Strongly Agree)



        It's something I already like to do                                60%




  If it comes from a local small business I
                                                                     43%
              am familiar with




         It's close to where I work or live                     39%




                  Base: Those who have signed up for a Daily Deal
                  program Q41a: When buying a Daily Deal, how much
                  do you agree or disagree with the following?
6. For nearly 60% of customers, even a good Daily Deal
experience doesn’t automatically equal loyalty




   Agree/Disagree: “If I like what I get from a
    Daily Deal I’ll become a loyal customer”




                                  Agree, 42%


            Don't
          agree, 58%




                Base: Those who have signed up for a Daily Deal program Q41a:
                When buying a Daily Deal, how much do you agree or disagree
                with the following? “If I like what I get from the deal I’ll become a
                loyal customer.”
7. More than twice as many consumers share deals via
email than on social networks



      Platforms for Sharing Daily Deals with Friends and Family
                                (%Yes)

                                                                                     Of those who
       Email                                                                   55%   have shared a
                                                                                     deal via email,
                                                                                         78%
                                                                                      have shared
    Facebook                                  27%                                    more than one



      Twitter         6%




       Other         5%



                Base: Those who have signed up for a Daily Deal program
                Q43: In the last 6 months, have you shared a Daily Deal
                through any of the following? Base: Those who have shared a
                deal through email Q44: In the last 6 months, how many times
                have you shared a Daily Deal on [Email]?
8. Deals for restaurants and entertainment are the most
commonly shared


                           Top 5 Types of Daily Deals Shared (%Selected)


   Restaurants                                                                                      65%


 Entertainment                                                                     48%


Food & Grocery                                                    36%


        Travel                                     25%


  Spa & Beauty                                  23%




                 Base: Those who have shared a Daily Deal via Facebook, Twitter, Email, Google+,
                 or Pinterest in the last 6 months Q45: In the last 6 months, what types of Daily
                 Deals have you shared? Select all that apply.
9. Most people think Daily Deals are here to stay, under 10%
think they’re just a fad




        Agree/Disagree: “Daily Deals are a
                  Passing Fad”

                          Agree,
                           8%




          Don't
          agree,
           92%




                   Base: Those who have signed up for a Daily Deal program Q47: How much do you agree or disagree
                   with the following about Daily Deals? “The Daily Deals trend is a passing fad.”
10. Subscribers think Daily Deals help attract new
customers to local businesses




         Agree/Disagree: “Daily Deals are an effective way to
                      attract new customers”
  100%
   90%
   80%
   70%                     60%
   60%                                                 Agree (%8-10)
   50%
                                                       (%5-7)
   40%
                                                       Disagree (%0-4)
   30%
   20%                     36%
   10%
    0%                      3%



                   Base: Those who have signed up for a Daily Deal program Q47:
                   How much do you agree or disagree with the following about Daily
                   Deals? “Daily Deals are an effective way to attract new
                   customers.”
About this study




 Independent Research:
    Conducted through the CMB Consumer Pulse
    Supported by Constant Contact


 Methodology:
   Data collected from 1,433 consumers, age 18+ in the United States
    through the Research Now online panel
   Data was collected through a 15 minute online questionnaire fielded in
    Q1 2012.
Learn more




 Take a look at CMB and Constant Contact’s “Quick Facts” reports on
  consumers’ on email marketing, and social media behaviors :
Contact us




 Download our other Consumer Pulse research here
  www.cmbinfo.com/downloads

 Learn how to use social media marketing to grow your business at
  www.socialquickstarter.com

 For more information contact:
   Megan McManaman at Chadwick Martin Bailey
   Dave Gerhardt at Constant Contact

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10 Quick Facts About How and Why Consumers Use Daily Deals (Chadwick Martin Bailey) 2011

  • 1. 10 Quick Facts About How and Why Consumers Use Daily Deals Consumerpulse
  • 2. 1. Consumers who sign up to receive Daily Deals end up purchasing them • Four-out-of-five Daily Deal subscribers have purchased at least one deal in the last six months Number of Daily Deals Purchased 26% 100% of subscribers age 50-59 have 90% 27% purchased more 80% than 5 deals 70% In the last 21% 6 months 60% 5 or more 3-4 50% 1-2 40% 0 31% 30% 20% 10% 21% 0% Base: Those who have signed up for a Daily Deal program Q40: How many deals have you purchased in the last 6 months?
  • 3. 2. Recommendations from friends and family make consumers more likely to purchase a deal from an unfamiliar small business • Word-of-mouth is key for the success of local deals Influence on Likelihood to Purchase a Deal from a Local Small Business (%8-10 Highly Likely) Deal is recommended by friends or 50% family The deal comes from a national deal service (e.g. Groupon or Living 32% Social) Deal is recommended by a social 6% media site Base: Those who have signed up for a Daily Deal program Q46: How will the following influence your decision to purchase a deal from a local small business with whom you’re not familiar with?
  • 4. 3. Personal endorsements drive deal purchases, especially for women More Likely to Buy a Deal if it’s Recommended to Them by Someone they Know (%8-10 Highly Likely) 35% 31% 25% Overall Men Women Base: Those who have signed up for a Daily Deal program Q41: When buying a Daily Deal, how much do you agree or disagree with the following? “If someone I know recommended the deal I am more likely to buy it.”
  • 5. 4. People are willing to share a deal if it’s great, regardless of whether they are a current customer Reasons for Sharing Daily Deals (%8-10 Strongly Agree) Women are I will share because 54% more likely it's a great deal (60%) to share a deal “because it’s a great deal” I will share because I know my friends will than men 45% like it (46%) I am more likely to share a deal if I am 34% already a customer Base: Those who have signed up for a Daily Deal program Q42: When sharing a Daily Deal, how much do you agree or disagree with the following?
  • 6. 5. Familiarity and proximity matter: more than 1/3 of consumers are more likely to buy a deal from a local small business Reasons for Buying a Daily Deal (%8-10 Strongly Agree) It's something I already like to do 60% If it comes from a local small business I 43% am familiar with It's close to where I work or live 39% Base: Those who have signed up for a Daily Deal program Q41a: When buying a Daily Deal, how much do you agree or disagree with the following?
  • 7. 6. For nearly 60% of customers, even a good Daily Deal experience doesn’t automatically equal loyalty Agree/Disagree: “If I like what I get from a Daily Deal I’ll become a loyal customer” Agree, 42% Don't agree, 58% Base: Those who have signed up for a Daily Deal program Q41a: When buying a Daily Deal, how much do you agree or disagree with the following? “If I like what I get from the deal I’ll become a loyal customer.”
  • 8. 7. More than twice as many consumers share deals via email than on social networks Platforms for Sharing Daily Deals with Friends and Family (%Yes) Of those who Email 55% have shared a deal via email, 78% have shared Facebook 27% more than one Twitter 6% Other 5% Base: Those who have signed up for a Daily Deal program Q43: In the last 6 months, have you shared a Daily Deal through any of the following? Base: Those who have shared a deal through email Q44: In the last 6 months, how many times have you shared a Daily Deal on [Email]?
  • 9. 8. Deals for restaurants and entertainment are the most commonly shared Top 5 Types of Daily Deals Shared (%Selected) Restaurants 65% Entertainment 48% Food & Grocery 36% Travel 25% Spa & Beauty 23% Base: Those who have shared a Daily Deal via Facebook, Twitter, Email, Google+, or Pinterest in the last 6 months Q45: In the last 6 months, what types of Daily Deals have you shared? Select all that apply.
  • 10. 9. Most people think Daily Deals are here to stay, under 10% think they’re just a fad Agree/Disagree: “Daily Deals are a Passing Fad” Agree, 8% Don't agree, 92% Base: Those who have signed up for a Daily Deal program Q47: How much do you agree or disagree with the following about Daily Deals? “The Daily Deals trend is a passing fad.”
  • 11. 10. Subscribers think Daily Deals help attract new customers to local businesses Agree/Disagree: “Daily Deals are an effective way to attract new customers” 100% 90% 80% 70% 60% 60% Agree (%8-10) 50% (%5-7) 40% Disagree (%0-4) 30% 20% 36% 10% 0% 3% Base: Those who have signed up for a Daily Deal program Q47: How much do you agree or disagree with the following about Daily Deals? “Daily Deals are an effective way to attract new customers.”
  • 12. About this study  Independent Research:  Conducted through the CMB Consumer Pulse  Supported by Constant Contact  Methodology:  Data collected from 1,433 consumers, age 18+ in the United States through the Research Now online panel  Data was collected through a 15 minute online questionnaire fielded in Q1 2012.
  • 13. Learn more  Take a look at CMB and Constant Contact’s “Quick Facts” reports on consumers’ on email marketing, and social media behaviors :
  • 14. Contact us  Download our other Consumer Pulse research here www.cmbinfo.com/downloads  Learn how to use social media marketing to grow your business at www.socialquickstarter.com  For more information contact:  Megan McManaman at Chadwick Martin Bailey  Dave Gerhardt at Constant Contact