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Daily Deals Sites - Industry Market Research Report

  • July 2016
  • -
  • Ibisworld
  • -
  • 30 pages

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Big deal: Operators are capitalizing on penny pinchers, but heavy competition will limit growth



Abstract

Daily Deals Sites

Daily deals sites have experienced astronomical revenue growth over the past five years due to a combination of factors. In particular, industry operators have taken advantage of lower disposable incomes and businesses trying to draw in customers. Furthermore, the growing number of mobile internet connections has promoted demand for daily deals sites. Nevertheless, as the economy continues to stabilize, revenue growth will wane and companies will shift their strategy to boosting their profit margins; therefore, over the five years to 2021, industry revenue is expected to grow at a much slower pace than it did over the previous five-year period.

This industry includes operators that generate the majority of their revenue through discounts on local goods and services for a limited time frame (typically 24 to 36 hours). Goods sold by the website are given as vouchers that consumers can redeem at local merchants for the physical good or service. Industry revenue comprises the price paid by the customer for the voucher or the coupon after paying an agreed-upon percentage of the purchase price to the featured business.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.



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