According to Fox Business, Groupon is currently testing an idea of offering discount deals without time limits. Well, we already tested it at BabyBluu.com and it works better for us than the time limited approach. As far as Groupon is concerned, the new strategy may be needed to lower the company’s costs associated with its large sales force. If the deals are time limited it puts a lot of pressure on the sales people to bring and negotiate new deals on a daily basis. On the other hand, there is not that much research suggesting that if a deal is time-limited then the customer creates purchase intent faster than vis-a-vis a deal with no time limits. In our opinion, it’s pretty much about the value proposition and not the time factor. Fox Business’s take on this is that: “Extending out its services to a more conventional model of selling goods online is not exactly disruptive and cutting-edge, but it is probably also a natural move for Groupon: the company already has extensive relationships with retailers and brands for its time-based daily deals, which cover not only events and services, but a range of physical products, too. Each product on the site comes with a list of “supplier details”: that might mean Groupon has a platform for third parties to upload products for sale.” Link
