Deal of the day: analysing purchase frequency-based subscriber segmentation

Deal of the day is a form of e-commerce in which an intermediary allows merchants access to a subscriber list, to promote their offerings at a discount.

Deal of the day: analysing purchase frequency-based subscriber segmentation

Edward Boon

KTH Royal Institute of Technology, Sweden

Nir Ofek

Glocals.ch/BuyClub

Introduction

Although daily deal sites such as Groupon and Living Social are no longer as much in the media spotlight as they were a few years ago, ‘deal of the day’ has become a permanent sales promotion tool for many merchants, and an opportunity for consumers to purchase leisure services such as restaurant meals and spa treatments at a discount. A few years ago a study by Local Offer Network (2011) found 320 deal sites in the US alone, and...

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