, daily deal websites or Groupon as you may know it, is the in thing for all businesses small or large these days. This is basically where a large group of people get coupons to buy something from a vendor at a HUGE discount of upto 90%! For one day.

Both parties are winners as the consumers get the 90% off while the vendor gets a chance to shift some sticky stock very quickly. Of course there is no guarantee that they will do so in one day so usually they set a minimum number of purchases on the deal so the discount can “kick in”. At the end of the deal they get a quick load of cash to re-invest or try something else with.

Any businessperson will tell you that regardless of profit margins, it's always great to free-up some cash to work with instead of holding stock thats only good for “book value” and not liquid hard cash. So, after the deal the business owner can then start marketing to these new customers at full price and depending on the business they may actually get customers for life. Usually the daily deal is done on a commission only basis so they only pay commissions when their stock is sold. These commissions are usually 30% to 60% depending on the daily deal website used or the operator and the deal in question based on how saleable the stock is.

These daily deal websites have now sprouted up all over the place and this is not counting affiliate websites. Me and the wife dont buy anything full price anymore! One example is http://ekdailydeals.co.uk an outfit in East Kilbride in the Glasgow Scotland area. Go check it out http://ekdailydeals.co.uk

This will define how we shop for years to come. Just look out for the Christmas shopping stats this year. Come January 12th 2012 dont make say "I told you so!”.

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