Posts Tagged ‘living social’

Facebook: The New Groupon? By Marissa Gladstone

April 27, 2011 Leave a comment

You have probably heard that today, Facebook announced its launch of Facebook coupons. What does this mean for us as consumers and what does this mean for other coupon providers, namely, Groupon?

As we know, Facebook is a powerhouse. It has access to all our personal information and therefore has the ability to specifically target us with advertising and coupons that affect us, individually. Groupon, Living Social and others similar sites do not have such a luxury. They rely on us willingly providing our emails for the sole purpose of getting these coupons. This automatically eliminates people who don’t have the time, interest or energy to think about coupons. Facebook has already bypassed this step. Since companies know the amount of access that Facebook has to potential customers, will they abandon their current coupon companies and instead offer coupons exclusively through Facebook?

Well, that would seem to make the most sense. Why rely on companies that can only access customers that are actively looking for deals — those who have actually given their email addresses? Instead, why not specifically target customers who haven’t willingly given their email addresses for the sake of getting coupons, but are merely yet another Facebook user? This is a much larger customer base — more receptive and more accessible.

I’m excited and curious to see what is to come with Facebook coupons — mostly eager to see how Groupon and similar companies will stay alive. I believe they will; either because they were the originators or because Facebook coupons will be in such high demand that companies won’t even have access through this new provider.