Do Social Deal Sites Really Work?

Posted: 16 Aug 2012 Last revised: 20 Feb 2015

See all articles by Marco Bertini

Marco Bertini

ESADE - Ramon Llull University

Luc Wathieu

Georgetown University McDonough School of Business

Betsy Page Sigman

Georgetown University - Robert Emmett McDonough School of Business

Michael I. Norton

Harvard Business School - Marketing Unit

Date Written: May 1, 2012

Abstract

The stream of customers who visit Flanagan Theme Parks has started to dwindle. The fictional Australian company must decide, with the help of consultant Allie James, whether to try to attract a whole new crop of customers using DailyDilly, a fast-growing social-coupon venture. Allie and Ruth Davison, Flanagan's marking director, take a lunchtime tour of the marketing landscape to answer a key question for any company that is considering such an initiative: 'Are daily deal seekers the right kind of customers for our business?' Expert commentary comes from Gideon Lask, the founder of BuyaPowa, a UK-based social media business; and Al Bhakta, CEO of Genghis Grill, a Dallas-based restaurant chain. HBR's online readers also weigh in.

Keywords: pricing, e-commerce, social couponing

Suggested Citation

Bertini, Marco and Wathieu, Luc and Sigman, Betsy Page and Norton, Michael I., Do Social Deal Sites Really Work? (May 1, 2012). Harvard Business Review, Vol. 90, No. 5, 2012. Available at SSRN: https://ssrn.com/abstract=2130436

Marco Bertini (Contact Author)

ESADE - Ramon Llull University ( email )

Avinguda de la Torre Blanca, 59
Sant Cugat del Vall├Ęs, 08172
Spain

Luc Wathieu

Georgetown University McDonough School of Business ( email )

3700 O Street, NW
Washington, DC 20057
United States

Betsy Page Sigman

Georgetown University - Robert Emmett McDonough School of Business ( email )

3700 O Street, NW
Washington, DC 20057
United States

Michael I. Norton

Harvard Business School - Marketing Unit ( email )

Soldiers Field
Boston, MA 02163
United States

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