Group-buying Brands Still New to Consumers

Adweek poll shows many don't know Groupon, LivingSocial

Despite the enthusiasm over Groupon as a darling of the investment community, it, and sites like it, still have a lot of room to grow as brands, according to our exclusive Adweek/Harris Interactive poll. Only a small fraction of respondents described such services as invaluable, and nearly one-third said they had never heard of such services, even when Groupon and LivingSocial, two of the most prominent, were mentioned by name. A mere four percent said they use such services frequently.

When asked why they don’t use them, two reasons were at the top: first, respondents said the deals don’t interest them, second among those surveyed was a reluctance to sign up for a particular deal if they were not sure they would ever use the product or service on offer.

As Super Bowl viewers learned all too well, Groupon and LivingSocial have both responded to this challenge by investing in TV advertising in 2011. Expect to see more.


My experience of group buying sites: % of respondents
I use these services frequently and they are invaluable to me 4
I use these services on occasion, when the offers particularly appeal to me 20
I have heard of these services, but never used them 48
I have never heard of these services 28
Total 100

Source: Adweek/Harris Interactive

Why I don't use these services: % of respondents
The deals often don't interest me 39
I don't want to pay for a discount if I am not sure I am going to buy the product or service 34
I don't think to use them 18
I don't understand how they work 15
I don't think they are available in my area 8

Source: Adweek/Harris Interactive

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