New York deals breather in the face of economic turbulence

New Yorkers must have hardly sustained the loads of discount and coupons stuck in 350 plus consumer magazines when a foray of New York deals was launched from daily deal platforms and related white label service providers including deal aggregators, radio, and TV.

That said nothing against the discounts purveyors since consumers in New Yawk deserve half off daily deals in the wake of economic crisis that is eroding their buying power very fast. They take local deals and coupons as breathers in the face of strangulating financial turbulence.

Local merchants are also enjoying increase in customer’s traffic as well as repeated sales because of discounts they put on rides in Hudson river, table d’ hote, or other convenient goods and services.

The consumer response is hugmongous. In general, US consumers are subscribing to couponing sites in droves. The liking graph is on the upward trajectory with the marketplace having 600 plus players engaged in deals business.

The awe-inspiring expansion has made a top researcher to revise forecast on the outlook of discount market. Spending on daily deals, instant deals, and flash sales is expected to increase to $4.2 billion in 2015 from $873 million outturning 36.7 per cent compound annual growth rate (CAGR), states BIA/Kelsey in a current forecast.

About 2011 sales, the local media adviser projects figure at two billion dollars as compared to $1.2 billion estimated in its March release. “More consumers sign up on deal programs and this will increase incomes of key players,” said Mark Fratrik, BIA/Kelsey vice president and chief economist in a statement.  Daily deals are egging on other advertising and related services such as instant deals and flash sales, he added.

All said and done, but US consumers turn up happy triggers when contracts smack of rip-offs or falsehood.

The vividly perceived misreporting of financial results by Groupon the leader infuriated the consumers importantly those who directly or indirectly use services of Chicago-based daily deal company or were planning to fetch the company’s would-be stocks. Some estranged dubbed it figure fudging and other called it suicidal attempt to put a dent in trustworthiness. One went on to the extent of naming the overall service as infamous Ponzi scheme.

Investors got disturbed when the daily deal company had to revise down its 2010 sales figure to $313 million straight from $713 million after an intervention by the US regulatory authorities. This may have frustrated the company’s IPO’s plan.


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