One online business model which is growing at an amazing speed is the websites sharing special discounts and coupon codes offered by the local businesses. You will easily find at least one or more daily-deals websites catering almost all major countries, but there’s still a lot of room for expansion, which is quite evident from the uninterrupted growth of websites like livingsocial.com or Groupon.com (Groupon.com has employees in excess of 10,000, just to give you an idea).
You might think that starting a daily deal website is not a wise idea, especially when you have giants like Groupon.com or Google offers in the market, while another bigwig (i.e. Facebook) has shown some interest by launching Facebook deals in the past (was dropped but you never know when they’ll decide to step in again with an even better program).
It’s true that it will take quite some resources and guts to even think of competing with any of these giants, but there’s one simple strategy that can help you start a daily deal website and still make some money, and that is to start a daily deal website that focuses on the deals offered only by businesses in your city or country. By focusing solely on your local business, you can capture a big share of market, because even though the biggies like groupon.com cater more than 400 regions, they are not equally strong in all of those regions, and there’s no reason why you couldn’t start one that focuses on the local businesses and triumph over these giants.
Following is a simple plan laid out for those who are looking for a nice business idea to make money online.
#1 – Finance:
Starting an online business used to be a low-cost undertaking, but the times have changed, and now you need substantial budget to start with.
- One of the major expenses is going to be the marketing, remember that a daily-deal website should be advertised to businesses and consumers, so you’ll have to spend a sizeable amount on both online and offline marketing.
- Any such website will take quite some time before it gains momentum, which means you need to bear the expenses of website hosting and maintenance, and more importantly the marketing with little or no income coming your way.
So, you’ve got to have the capital in hand.
You don’t need to have a very complex plan, but still having some line of action is necessary before starting any business.
- While planning for a discount or daily deal website, you’ll have to decide on both short term and long term goals. You will have to decide if you are looking to cover the entire country or some particular cities, you can also zoom in to some specific type of businesses, for example restaurants.
Answers to all of these questions will depend largely on the size of market and the kind of resources you have. You should also decide if you will be featuring the brick and mortar businesses, or online stores by sharing discounts like diamond.com coupons or autotrader coupons.
#3 – Website:
Once you’ve lined up the funds and resources, the first thing to go for is the website. A daily-deal or coupon website needs to be attractive, colorful, engaging, and at the same time it shouldn’t appear clustered. If you are catering many localities or cities, you have got to lay out good navigation and categories.
- It’ll be good to add some articles or a blog alongside the deals to help both businesses and consumers on how to make the most of discounts and special deals.
- Remember that you’ve got to be equally sincere with both businesses and consumers; inclining towards any of these parties will turn out to be an obstruction.
Learn the steps to build profitable coupon blog.
#4 – Marketing:
Here comes the most important part, as stated earlier, you’ve got to market your service to both businesses and consumers with equal ferocity.
- You can start from targeting the popular restaurants and lure them into offering special discounts. To convince these businesses, you’ll have to prove that your website is not an anonymous entity on the internet.
- In order to do that, you will need to have some sales representative visiting and meeting the owners in person, because the majority of small business owners are not quite familiar with the power of Internet and social media, and you will be getting a cold shoulder more often than not.
It’s better if you can allow the businesses to offer a discount and get promoted on your website for free in the start.
Once you show some results and your website gets established, more and more businesses will be keen to use this platform, and that will be time for you to reap the benefits of all the hard work.