Social site waves white flag at Groupon, while still running Foursquare-like Check-in Deals.
On the heels of Facebook proclaiming commitment to its Check-in Deals marketing feature, the social giant is killing off Deals, its Groupon competitor. Four-month-old Facebook Deals has been live in five cities but apparently never gained traction in the crowded daily deals space.
In a prepared statement emailed to ClickZ, the Palo Alto, CA-based company said it was shuttering the project in the coming weeks. "We think there is a lot of power in a social approach to driving people into local businesses," the release said. "We remain committed to building products to help local businesses connect with people, like Ads, Pages, Sponsored Stories, and Check-in Deals. We've learned a lot from our test and we’ll continue to evaluate how to best serve local businesses."
It's a good sign for daily deals leaders Groupon and LivingSocial. And Facebook's departure might be a harbinger of things to come for big-name players that recently launched daily deals initiatives, such as Google Offers, Amazon Local, and Priceline. Just this past week, consultancy Forrester Research predicted that Groupon-like daily deals will eventually die.
So, Facebook will continue competing with Foursquare by still having a dedicated feature where local merchants and retail chains can run Check-In Deals. But Facebook will no longer chase Groupon's business. The development underscores the challenges that differientiate relatively lightweight self-service geo-social marketing platforms like Foursquare from daily deals services, which require an intensive national sales force.
Learn Digital Marketing Insights From Leading Brands!
ClickZ Live Chicago (Nov 3-6) will deliver over 50 sessions across 4 days and 10 individual tracks, including Data-Driven Marketing, Social, Mobile, Display, Search and Email. Check out the full agenda, or register and attend one of the best ClickZ events yet!
Christopher Heine was a senior writer for ClickZ through June 2012. He covered social media, sports/entertainment marketing, retail, and more. Heine's work has also appeared via Mashable, Brandweek, DM News, MarketingSherpa, and other tech- and ad-centric publications. USA Today, Bloomberg Radio, and The Los Angeles Times have cited him as an expert journalist.
Hong Kong, October 21-22
London, November 13-14
San Francisco, November 13-14
London, November 18-19
Google My Business Listings Demystified
To help brands control how they appear online, Google has developed a new offering: Google My Business Locations. This whitepaper helps marketers understand how to use this powerful new tool.
5 Ways to Personalize Beyond the Subject Line
82 percent of shoppers say they would buy more items from a brand if the emails they sent were more personalized. This white paper offer five tactics that will personalize your email beyond the subject line and drive real business growth.
October 23, 2014
1:00pm ET/10:00am PT