Seth Priebatsch

Do Inverted Deals Mark the End of Daily Deals?

The secret is out: there’s a problem with daily deals. Groupon, LivingSocial, (the late) BuyWithMe, and the rest forgot a big lesson from Sales Promotion 101 when they debuted the daily-deal model: discounts should, in the long run, generate a profit for the business. It’s the loyal customers, not the deal hunters, who help drive a business forward.