Transcription
Report onDaily DealsApril 2012
Methodology In January/February 2012, Edison Research andArbitron conducted a national telephone survey offeredin both English and Spanish language (landline andmobile phone) of 2,020 people aged 12 and over Data were weighted to national 12 population figures This is the 20th study in this series, dating to 1998
Nearly one-sixth of Americans 12 are registeredusers of at least one “Daily Deals” service“Are you a registered user of any ‘daily deals’ sitesor services such as Groupon or LivingSocial?”Yes15%No85%
Women are much more likely to use Daily Deals servicesComposition of “daily deals” usersMen34%Women66%
Daily Deals users are concentrated 25-54Age CompositionAge 25-3416%Age 35-4415%Age 35-4421%Age 25-3428%Age 45-5417%Age 12-2421%Age 12-2415%Age 55 31%U.S. Population 12 Age 45-5421%Age 55 15%Daily Deals users
A growth opportunity for Daily Dealsservices may exist in the Hispanic marketEthnic panic15%Hispanic8%Asian5%Asian2%White65%U.S. Population 12 Other/Refused5%White71%Daily Deals usersOther/Refused5%
Household income among Daily Deals users is higher2011 Household Income 50K- 75K17% 50K- 75K13% 25K- 50K21% 75K- 100K10% 25K- 50K21% 75K- 100K13% 100K- 150K6%Over 150K5%Under 25K20%Refused25%U.S. Population 12 100K- 150K11%Under 25K9%Refused21%Daily Deals usersOver 150K8%
Daily Deals services have caught on fastest in the S.Population 12 South45%Midwest20%West22%Northeast13%Daily Deals users
Groupon and LivingSocial are the most popularamong Daily Deals users“Which ‘daily deals’ services are you registered with?”83GrouponLivingSocial44Gilt Groupe2Rue La La1Other120102030405060708090% registered with siteBase: Registered user of “daily deals” sites or services
Two-thirds of LivingSocial users also use Groupon“Which ‘daily deals’ services are you registered with?”Also useLivingSocial37%Also useGroupon69%LivingSocial usersGroupon users
More than half of Daily Deals users joined in the past year“How long have you been a registered user of “daily deals” services?”6 months toless than1 year32%1 year to lessthan 2 years30%Less than 6months30%2 years ormoreDon’t Know6%2%Base: Registered user of “daily deals” sites or services
More than three-in-five increaseor maintain their usage over time“Compared to when you first started using ‘daily deals’ services, in general whichof the following best describes your current experience with these services?”Using about thesame amount aswhen you firststarted using them48%Using LESS oftenthan when you firststarted using them32%Registered butnever boughtanything(volunteered)Using MORE often6%than when you firststarted using them14%Base: Registered user of “daily deals” sites or services
Daily Deals services drive new business“In general which of the following best describes your experiencewith ‘daily deals’ services such as Groupon or LivingSocial?”Tried businesses or services for the firsttime because of the deal and continued tovisit that business without deal23%You were already a customerof businesses or serviceswhose deals you used28%Registered but never boughtanything (volunteered)15%Tried businesses or services the first timebecause of the deal, but generally haven’t returned30%Don’t Know4%Base: Registered user of “daily deals” sites or services
Groupon and LivingSocial are equally effectiveat generating return customers for businesses“In general which of the following best describes your experiencewith ‘daily deals’ services such as Groupon or LivingSocial?”Tried because of deal;Continued to visit businesswithout deal23%Were alreadya customer28%Tried because of deal;continued to visit businesswithout deal24%Were alreadya customer26%Registered butnever boughtanything(volunteered)15%Tried because of deal;generally haven’t returned30%Groupon usersDon’t Know4%Registered butnever boughtanything(volunteered)14%Tried because of deal;generally haven’t returned35%LivingSocial usersDon’t Know1%
Virtually all Daily Deals usershave a cell phone“Do you personally own a cell phone?”Yes98%Yes89%No2%No11%U.S. Population 12 Daily Deals users
Daily Deals users are somewhatmore likely to be “cell phone only”“Think about the telephone service you can be reached on at home.What type of telephone service can you be reached on in your home?”Only land line5%Both landlineand cellphone61%Do not own acell phone12%Only cellphone22%U.S. Population 12 Both landlineand cellphone71%Only land line1%Do not own acell phone2%Only cellphone26%Daily Deals users
Due to their youth and higher incomes, Daily Dealsusers own many electronic mobile devices“Do you currently own ”31Apple iPod22Android cell phone3217Apple iPhone3314Portable hand-held book readers2812Apple iPad7Android-based tablet0U.S. Population 12 25Daily Deals users1210462030% owning each item4050
Daily Deals users are more likely to own a digital video recorder “Do you currently own or use either a TiVo branded Digital Video Recorderor one supplied by a local cable company or satellite TV company?”No45%No55%Yes55%Yes45%U.S. Population 12 Daily Deals users
and they use their DVRs to time-shift far more often“Thinking about all the times you watch TV, how often do you watchtime-shifted programming recorded from your DVR?”At least half thetimes26%Nearly all thetimes youwatch TV30%Never9%Rarely16%Less than halfthe times19%U.S. Population 12 At least half thetimes29%Nearly all thetimes youwatch TV46%Never3%Less than halfthe times14%Rarely8%Daily Deals usersBase: Own a DVR
Daily Deals users spend much more time online“In the last 24 hours, approximately how much time did you spend ”hours433:46U.S. Population 12 Daily Deals users3:342:562:252:072:0821:230Watching televisionOn the InternetListening to the radio:22Reading newspapers
More than four-fifths of Daily Dealsusers access the Internet at work“Do you currently ever access the Internet at work?”Yes85%Yes63%No37%U.S. Population 12 No15%Daily Deals usersBase: Employed full or part time
Daily Deals users are far more likelyto choose Internet over other media“Among the Internet, newspapers, radio and television,which one are you using more lately?”43Internet6838Television1814Radio8U.S. Population 12 33Newspaper0Daily Deals users10203040% choosing medium506070
Daily Deals users are far more likelyto choose Internet over other media“Among the Internet, newspapers, radio and television,which one is most essential to your life?”46Internet6635Television2112Radio9U.S. Population 12 4NewspaperDaily Deals users1010203040% choosing medium506070
Daily Deals users are more likelyto use every major social network“Do you currently ever use/have your own profile page on ”56Any social networking Web site8554Facebook13Linked In4010Twitter8Google Plus3Location-based services08320U.S. Population 12 20Daily Deals users81020304050607080% who currently use/have a profile page90
Daily Deals users are also using social networks more often“How often do you use social networking Web sites or services?”Several times per dayAt least once a weekLess than once per monthTotalDaily Deals users15Nearly every dayAt least once per monthNever use social networking sites12522541187414Base: Use any social network
Daily Deals users check Facebook more regularly“In the last 24 hours, approximately how many timesdid you check your Facebook account?”Mean times per day4.64.0TotalDaily Deals usersBase: Have a profile page on Facebook
Daily Deals users report having an averageof more than 250 Facebook friends“Approximately how many Facebook friends do you have?”Mean # of friends262255TotalDaily Deals usersBase: Have a profile page on Facebook
On average, LivingSocial users report having50 more Facebook friends than Groupon users“Approximately how many Facebook friends do you have?”Mean # of friends302251Groupon usersLivingSocial usersBase: Have a profile page on Facebook
Daily Deals users are nearly twice as likely tofollow brands or companies via social networking sites“Do you follow any companies or brands on anysocial networking sites such as Facebook or Twitter?”No82%No65%Yes35%Yes18%U.S. Population 12 Daily Deals users
Daily Deals users are much more likely to listen to Internet audioHave listened to radio over the Internet, Internet-only audio, or Pandora in the last weekNo72%No52%Yes48%Yes28%U.S. Population 12 Daily Deals users
A majority of Daily Deals users have listened to an audio podcastEver listened to an audio podcastNo72%No49%Yes51%Yes28%U.S. Population 12 Daily Deals users
Daily Deals users are far more likelyto watch video over the Internet“Have you viewed video over the Internet in the last week?”Yes61%Yes37%No63%U.S. Population 12 No39%Daily Deals users
Nearly all Daily Deals users have used Amazon.com“Do you ever visit the Amazon.com website?”No15%No48%Yes52%Yes85%U.S. Population 12 Daily Deals users
Daily Deals users are more than twiceas likely to subscribe to Amazon Prime“Are you a subscriber to the service from Amazon.com called ‘Amazon Prime’?”No92%No82%Yes18%Yes8%U.S. Population 12 Daily Deals users
Observations The “Daily Deals” space encourages trial, but loyaltyremains an opportunity There is also an opportunity for a “Daily Deals” offeringtailored to serve the Hispanic market
Observations The mobile-reliant profile of “Daily Deals” userssuggests opportunities for “Just-in-time” deals for local,instant conversions There is a natural affinity between “Daily Deal” usageand Internet audio usage, which leads to numerouscross-platform promotional opportunities
Observations “Daily Deals” users have higher income, and higheradvertising-avoidance behaviors, making these servicesa valuable marketing channel beyond the “deal” In fact, income figures and their higher propensity to joina premium service like Amazon Prime suggests that“Daily Deals” users are not price conscious, but valueseekers, which makes premium offerings feasible
Tried because of deal; generally haven't returned 30% Tried because of deal; Continued to visit business without deal 23% Were already a customer 28% Registered but never bought anything (volunteered) 15% Don't Know 4% Tried because of deal; generally haven't returned 35% Tried because of deal; continued to visit business without deal 24%
