Washington DC based Living Social is Groupon’s largest competitor, but is less well known. In today’s splintered advertising and marketing world this shouldn’t be much of a shock to anyone. Even though Living Social does more direct advertising, Groupon has had a much larger push into the mobile market, via word of mouth, social media, and product reviews. This isn’t to say that Living Social is falling behind, it just means they are playing catch up and doing it with some very clever and unique advertising and marketing strategies.
One of Living Socials latest campaigns involves using a London Cab to spread the word virally to its target audience.
The cab is fully branded with the Living Social logos on the outside, but the experience continues once you enter the cab. Once passengers enter the cab they are told they can continue to their normal destination, or toss a pair of virtual dice to be sent to a new random location where they could try one of the Living Social daily deals. The experience is sort of like the “Cash Cab” TV show, and according to Living Social they had about a 30% acceptance rate. A rate that is actually pretty high when you think about what they are asking busy people to do. I’m not sure how successful the campaign has been so far but I would bet it’s been fairly high. I know the video only shows those people who accepted the challenge, but I would think even those that didn’t talked about the experience, and or posted about it on a variety of social media networks.
This morning when I checked my email, a friend had sent me a link to a great infographic about the value of Social Media. Not all of the figures in it are new, but some are, and all are pretty damn impressive. These are some pretty compelling statistics as to why brands are sitting up and taking notice of the potential Return On Investment that social commerce can drive for them. The infographic was created by Spinback, which is now part of Facebook marketing company Buddy Media.
One of the things that I like about this infographic is how the numbers have been grouped together. The groupings show how brands can start thinking about integrating social commerce into their marketing plans in a more effective way. And one thing that really stands out is the predicted revenue generated by social commerce is expected to be over 30 billion dollars by 2015.
That is a huge figure, and businesses are starting to take serious note of the potential here. We may not like it, and social commerce will definitely change your social media experience, but get used to it. With numbers like these there is no going back to the way things were.
This morning while rendering out some video, I decided to do a little web surfing and research. While cruising around Online MBA I came across this really nice infographic about the 4 big players in the online deals game. (I love the fact that they used House Industries, Sign Painter and Ad Art as their font choice).
The infographic focuses on the top 4 players; LivingSocial, Groupon, Facebook Deals and Google Offers.This shows off a really interesting comparison between the two orignal players, and the two new comers to the game. What I find interesting is the fact that Google, and Facebook are the 800 pound gorillas in terms of potential membership (Google 100-200m members. Facebook 600m plus). But regardless of user base, the real trick here will be getting people to switch from using their established application of choice and jumping ship to the new kid on the block.
In the end I think what will there is a real possibility that the market will become over saturated with multiple offers canceling each other out, or diluting the overall experience of deal hunting online which could play well for a larger organization.
As for me I am sticking with Groupon. It is where I am set up and I never really visit Facebook anymore. So unless Facebook or Google offer something really amazing I doubt I’ll jump ship to use their new service.