Rough Financial Times Are Booming Times for Online Coupon Sites – Over $10 Million / Month
August 15, 2009 - Written by Gyutae Park
Have you ever used an online coupon site to search for discounts and deals? If you’re like most Internet users, you probably have. For example, just yesterday, I discovered the JetBlue All-You-Can-Jet pass through SlickDeals.net and plan on taking advantage of the promotion. Over the past year, I’ve saved hundreds, if not thousands of dollars by using coupon codes and finding special deals online.
Apparently I’m not alone either. With the down economy, consumers are cutting their budgets and turning to coupon sites to help save money. In the end, everyone wins out – consumers save money, retailers increase revenue with more sales, and coupon sites make a killing through advertising and affiliate commissions.
With rough economic times, frugality is in and online coupon sites are thriving as a result. Below are some statistics that show just how fast this industry is growing.
- There was a 140% growth rate in online coupon use over 2007’s previous high -eMarketer, March 12, 2009
- Coupon sites are the second most popular site (at 25% to 37%) after search engines among types of shopping sites users found very important in the past three months. -comScore State of the US Online Retail Economy Feb 19, 2009
- Coupons were the fastest growing web site category in November 2008. -comScore Media Metrix
If you’re an online entrepreneur, there’s tremendous opportunity to make money in the coupon niche. There are already quite a few big players in the field, but that doesn’t mean you can’t innovate or specialize in a smaller topic and grab your piece of the pie.
In this case study, I’ll explain in detail the coupon site business model and why it’s so successful. I’ll also critique a leading coupon site, share its traffic and revenue numbers, and dissect the marketing strategies it’s using to grow market share and make millions of dollars every single month. It’s never a bad time to save money and coupon sites will be around for a very long time. Better to get in now rather than later…