where 2.0 presentation april 20
DESCRIPTION
Presentation from 2011 Where 2.0 on the convergence of Daily Deals and LBS.TRANSCRIPT
Adapting Daily Dealsto Live LBS.
Perry Evansfounder & ceo, Closely Inc.
Where 2.0April 20, 2011
our vantage point
< a screen shot of a Jabber IM client app circa 2003. Yep, we’ve been thinking about this space for awhile. >
Topics
• Obligatory Industry Fanboy Slides• Small Business Viewpoint• The |Blunt| Instrument of a Deal• Where Do | Will Deals Come From?• Where Do | Will Deals Go? • Tension + Leverage
Daily Deal Phenomenon
• ~$3B “Captured Spend”• Hundreds (and hundreds) of
daily deal sites/providers• 50-100K businesses in deal
distribution queue• ~80M opted-in consumers
WTF?
What’s The Formula
• Pent-up consumer desire– Get out again, without the expense of 2008– Hip to save, remove the embarrassment of coupons– “Group” key to concept/brand, now tangential
• SMB local lead frustration– Complexity & mediocrity of media and search– Zero risk model
• Perfect storm of timing (economy, social) + brand
SMALL BUSINESS VIEWPOINT
SMB Love Fest?
Lead GenerationSuccess
Pre-paid CustomersZero Risk
Deep Margin Cut
Tour Bus Consumer
Quantity& Timing Control
SMB Viewpoint
We Love This We Hate This
No Customer List
Featured Distribution
Position
Deal Design: Refinement, Complexity, Noise
Promotion Types & Use
Cases
Distribution
Self-serve
Shifting Deals Towards Live/LBS
THE |BLUNT| INSTRUMENT
Mainstream Daily Deal Today
• Fixed terms, time-limited offer, pre-purchase for print/mobile Voucher
• Customer Name & coupon identity in “redemption document”
Mainstream LBS Today
• Simple offers, accessed on check-in/place pages, fulfilled live via mobile/user action– Reward social broadcasting (implicit = sharing)– Loyalty-oriented– Modest fulfillment & tracking
• Mostly trial & learn– National local chains + edge case SMB’s
Expanding the Instrument
• Offers vs. Deals– Casual vs. Commerce– Specials + Activities/Events– Pre-purchased vs. Pull – Incentive vs. Reward
• Public vs. Private– Open to all– Selective to:
• Customers: Best, most frequent, most vocal… • Conditions: Time, events, referral, situational…
Deals shift to Self Administered Variable Value Live Social Promotional Units• Catchy, huh? – Yield management instrument– Business customized & controlled– Flexible connections to distribution
• Variable Value:– Day, time parting– Conditional: 4-top, frequency, etc
• Live: – Bonus alerts– API-driven bonuses
WHERE DO | WILL DEALS COME FROM?WHERE DO | WILL DEALS GO?
Where’s the Daily Deal Money? (via @Yipit)
Check-in Propensity[inclusive/social vs. individual/reserved]
Collapsing Distribution Silos:Stimulating Demand with/through Visitors & Customers
Intentioned, Discovered, Serendipitous
• Live Search Position/Tags• Live Display Feed/Ads• Daily Deal Campaigns• Paid Places Position
• Search, Map, Social, LBS Place Pages, SMB Site• API/Dev paths
We’re All Going to Live
• Self-serve + live media go hand-in-hand– Mobile is the obvious instrument of choice
• SMB Behavior is the big unknown• Product/design does not solve time/fear issues
Self-serve Aims for Mainstream
• GroupOn Live• LivingSocial Instant• Facebook Deals• Google Places Offers• Foursquare Specials• Yelp Specials & Deals• Closely ;)
Dashboard
Remote Control
Advancing the Self-serve Model (Some of our Work @Closely)
Distribution Simplicity• Single entry live publishing across social, search/places, deal
channels, business website, ad widgets• Customer selection & distribution models: view socialselect.com• Integrate self-served deals + organized campaigns
Self-serve Refinements• Remote control vs. dashboard user experiences• Create & save offers, turn on/off any time• Schedule & trigger based control of “live” and “post” actions
Shout out to Foursquare’s Progress with Specials in 3.0!
Industry Tensions to Watch
• Business Involvement Challenges– Access to Owner– Time Expectations– Measures ROI against “family time”
• Commerce Model Tug– Pull of pre-paid commerce models– Counter-current of live open local
distribution
< clouds breaking, angel singing >
