The competition to grab consumers' cash with daily deals heats up as AOL goes head to head with Groupon.
Groupon, a combination of the words 'group' and 'coupon', offers consumers daily deals and discounts. The "deal of the day" is advertised and if enough members buy the product or experience on offer then all will receive the discount. However if not enough members accept the deal then no one receives the offer, in which case customers are not charged.
The site originated in America and has since spread around the world spawning numerous imitators, such as Groupola ( www.groupola.com) in the UK. The concept has even proved popular in China, where over 900 similar sites such as uBuyiBuy (www.ubuyibuy.com) are offering discounts.
Internet service AOL is now joining this growing trend with the launch of wow.com. According to AOL the site, initially based in America, will offer deals on dining, shopping and outings. However AOL has yet to confirm a launch date.
Wow.com was originally a gaming site for World of Warcraft enthusiasts (gamers will now be redirected to www.wow.joystiq.com).
For more information about Groupon see: www.groupon.com, local versions are available throughout Europe.