Rogers Daily Deals finally launching shortly

We have written several posts on how and when Rogers will launch their much anticipated daily deals program. They already launched what is called mobile offers back in the summer but have yet to launch their full Daily Deal service. Their mobile offers already provides deals to consumers who signup by texting rogers at number 6060. As for their main Daily Deals program, well, they have been evaluating which technology platform to use for most of the year and finally decided a few months back. They are now on the verge of launching their main deals program just in time for the holiday season. Their new service will be called RDEALS.ca. Consumers can already visit the site and start signing up.

What is the impact of Rogers entering the deals industry in Canada? ( I ask with a little smirk on my face)

Here is a quick break down:

-Canada’s largest publishing company with 75 print brands reaching millions of readers
-Over 45 digital web properties reaching over 4 million unique visitors
-Own 55 radio properties, five OMNI Television stations, the five-city CITY-TV network, Rogers Sportsnet, The Shopping Channel, the Toronto Blue Jays and the Rogers Centre in Toronto.
-Over 7 million subscribers for Rogers Cable
-Oh, and they also own this little itsy bitsy thing called Rogers Wireless, Canada’s largest, with 9 million subscribers.

Now, Rogers has been determined to get their daily deal business up and running. They have spent a better part of a year strategizing, evaluating, decision making, etc. Given the ridiculously large audience they have and the distribution channels they own, if Rogers executes well and is persistent over the next 12 months in the distribution of their deals, then we believe they will be one of the top deal sites in the country fighting it out with Groupon and Torstar (Wagjag, Jaunt.ca, part of Tuango) for the leadership position.

Like Torstar, Rogers has a massive advantage over other deal sites. They already have a built in distribution network for their deals. Millions of Magazine subscribers, TV subscribers, Radio, websites, 7 million cable TV subscribers and 9 million wireless subscribers. Given that the ongoing rate to acquire subscribers nowadays in this industry, in Canada, is between $4-$8, and at times above $10, then that puts media companies like Rogers at a true advantage. It will be interesting to see how good the Rogers team is (or how good the team they outsource is) at acquiring merchants to run deals.

Just because you are a large media/telecommunications company does not mean that success will come quickly or easily. Rogers must be consistent in their effort, must provide consumers with a reason to join other than being yet another deal site with the same offers that Groupon, Living Social, Wagjag, Dealfind, Teambuy, Dealoftheday and a dozen others have.

Other larger media companies have had their obstacles at thriving in this market:

-The Yellow Pages, with DealoftheDay,  despite their relationship with over 300,000 merchants and millions of consumers on their properties has not achieved the level of success, thus far, with their deals site that they should have. Although we believe 2012 will be a banner year for them.

-TransContinental  Media has massive audience numbers, yet, their deal site, The Mega Catch, is but a footnote in this industry. They have simply not put in the investment or focus necessary to make it thrive.

-Post Media has SwarmJam, however it only does well in Vancouver. The rest of the country has poor results given the size of Post Media’s audience.

-Sun Media/Quebecor has Steal The Deal, which is doing ok in Ontario and Alberta, but certainly not leading the field anywhere else.

-Glacier Media, not doing much with dealmate.ca

 

So this will not be a cake walk for Rogers. The competition for the consumer mindshare is as intense as it has ever been. If they focus on distributing quality deals and focusing on their mobile subscribers, segmenting their online and magazine subscribers and figuring out how TV, Internet and Cable subscribers could convert into members and buyers, and doing all this while having enough merchant inventory to satisfy repeat consumer visits, then Rogers will be a serious player.

Just a quick suggestion as Rogers builds out their deals program: buy a deals site out of Quebec. Although Rogers certainly has presence in this province, it is certainly not as popular as Ontario or English Canada. Also, Quebec is always tougher to market into then the rest of the country.  One thing brands always underestimate is the importance of a local presence to the Quebec based consumer. As such, buying a local deals site that actually has a good track record in this province would make sense. Since Tuango will certainly not be sold to Rogers (mostly because it will be too expensive and secondly because Torstar owns a good piece of it),  that leaves a handful of other local sites that may be of interest. If a Rogers Deal Exec is reading this post, then do contact us, we’ll provide insight on which sites may be worth looking into.

That’s it for now, look for rdeals.ca to launch shortly. It will be interesting to see how Rogers attacks the market.

2 Comments
  1. weareprecocious@gmail.com'

    It’s live now = with a GREAT initial deal!!!!