Daily Deal ads more popular with Canadians than Web site ads

ITbusiness.ca recently published a post discussing the popularity of Daily Deal ads as compared to regular web ads. The following is a copy of their post. They graciously mention our site as well. The full post can be found on itbusiness.ca

 

Group buying more popular with Canadians than Web site ads
Canadians have a lot of group coupon sites to choose from, and about four in 10 sign up for a subscription to at least one of them.

Just one-third of Canadians click on an online advertisement at least once a month, while almost two-thirds are aware of group coupon services, according to the 2012 Ipsos Canadian Inter@active Reid Report.

The annual review of Canadians behavior and activity on the Internet takes a look at the effectiveness of digital marketing techniques. It found that 31 per cent of Canadians said they clicked on an online ad at least once per month during 2011. But a majority of Canadians (65 per cent) are aware of group coupon Web sites like Groupon, and among those aware, 61 per cent subscribe to the notification alerts. That means that about four out of 10 Canadians are receiving the group buying deals, which often come in the form of a once-per-day e-mail message.

Group buying sites have become popular in Canada and a number of services have cropped up since 2010. The sites all use the same model – a business offers a discounted product or services to buyers on the condition that a minimum number of the deal is sold. The promotions are often used by local businesses as a way to get new customers in the door.

In Canada, many media companies are operating the group buying Web sites and offering the services to their audience. Here’s a few of the sites being run by media firms, according to Group Buying Canada:

  • – Torstar operates Wagjag and Jaunt.ca
  • – PostMedia operates Swarmjam
  • – Transcontinental operates Mega Catch
  • – Bell Media operates Astral Radio Deals
  • – Yellow Pages operates DealoftheDay from Red Flag Deals
  • – Glacier Media operates Dealmate.ca

Sun Media also operated StealTheDeal.com until the site was shut down July 25.

Seventeen percentage of Canadians aware of group buying sites purchase a coupon monthly, according to Ipsos. The most popular categories are restaurants, personal services, and grocery items.

More than eight out of 10 Canadians have interacted with a business for the first time because of a group coupon, the survey says.

 

We would also like to add that Rogers operates rDeals.ca. Thanks again to itbusiness.ca for writing the article and referencing IPSOS and us. The Ipsos report can be downloaded here: 2012 Ipsos Canadian Inter@active Reid Report.