Disclosure: I am very pissed at DealDey (http://www.dealdey.com). I think their service sucks.
DealDey is a clone of the Groupon Service. The first time I saw it, I thought, this is brilliant. Finally, we can get daily deals. I have never been more wrong.
The problem isnt solely with DealDey. They may have a bulk of the problem, but it isnt solely theirs. They (and their customers) do not understand the concept of a a deal-of-the-day. By definition, deal-of-the-day (also called flash sales or one deal a day) is an ecommerce business model in which a website offers a single product for sale for a period of 24 to 36 hours. Potential customers register as members of the deal-a-day websites and receive online offers and invitations by email or social networks. The deal-of-the-day business model works by allowing retailers to market discounted services or products directly to the customers of the deal company, who receives a portion of the retailer’s profit. This allows retailers to build brand loyalty and quickly sell surplus inventory.
The keyword, as highlighted above, is “discounted”. For a product or a service to be a deal, it has to be discounted. Not crippled. Not reduced. Discounted. Which means, a product I would normally buy for N500 would be sold at say N480 (or even less) for a period of time. The reduced price ought to encourage people to notify their friends and help to clear out inventory.
Many deals on DealDey still offer the products at the same selling price as non-deals.
Compared above is a deal on DealDey right now. Samsung Galaxy S4 for N95,000. The selling price on Konga.com is N95,000. The price on Jumia.com is N95,495. Slot is selling at N96,000. The question then arises, where is the deal? Why would I tell people to buy from DealDey when you can buy from Konga and receive points for your purchase which you can use to discount further purchases?
DealDey – Tecno Phantom A (Dual Core) = N35,500
Konga – Tecno Phantom A+ (Quad Core) = N35,900
Jumia – Tecno Phantom A+ (Quad Core) = N35,495
In the other scenario where the price is actually reduced, the service to be offered is also reduced. That isnt a deal, that is paying half price for half of the service. E.g http://www.dealdey.com/deals/final-touch-day-spa-pamper-spa-package
DealDey has a good concept, even if it isnt original, but the execution is terrible. If you must offer deals, ensure they are DEALS!.