Social coupons as a marketing strategy: a multifaceted perspective

Fueled by the sociocultural shift from firm-controlled to consumer-contributed media, the researchers explore the idea of adapting a co-production strategy from service marketing to marketing communication sent to personal media. Eleven field experiments with firms, along with a structural model tested on survey data, provide empirical evidence supporting a coproduction approach applied as a communication strategy in the context of a text message mobile coupon marketing campaign. The results demonstrate a co-produced direct marketing communication strategy increases attitude toward the communication, purchase intent, and purchase activity, while also acting as a risk-reducing mechanism. Furthermore, perceived customization of the communication interacts strongly with risk perception and marginally with coupon proneness as related to attitude toward the communication when marketers enter the world of consumers' personal media. A push versus pull framework and a co-produced communication framework are put forth to suggest various areas marketers can make available for consumers to co-produce in a marketing communication exchange.

show abstract

“…An example is the economic losses by firms using social couponing through Groupon and similar services (Kumar and Rajan 2012).…”

Section: ---------------------------------------------Insert Figure 2mentioning

confidence: 99%

From Firm-Controlled to Consumer-Contributed: Consumer Co-Production of Personal Media Marketing Communication

Bacile

Swilley

2014

Journal of Interactive Marketing

118

View full text Add to dashboard Cite

show abstract

“…Different from previous research that observed a decrease in the ratings for merchants using Groupon (Byers et al 2011), Byers et al (2012b argued that this effect was overestimated. Kumar and Rajan (2012) studied, among other economic aspects, the profitability of social coupons and concluded that they yield profits for local businesses.…”

Section: Daily-deals Recommendationmentioning

confidence: 99%

Improving daily deals recommendation using explore-then-exploit strategies

et al. 2014

View full text Add to dashboard Cite

Daily-Deals Sites (DDSs) enable local businesses, such as restaurants and stores, to promote their products and services and to increase their sales by offering customers significantly reduced prices. If a customer finds a relevant deal in the catalog of electronic coupons, she can purchase it and the DDS receives a commission. Thus, offering relevant deals to customers maximizes the profitability of the DDS. An immediate strategy, therefore, would be to apply existing recommendation algorithms to suggest deals that are potentially relevant to specific customers, enabling more appealing, effective and personalized catalogs. However, this strategy may be innocuous because (1) most of the customers are sporadic bargain hunters, and thus past preference data is extremely sparse, (2) deals have a short living period, and thus data is extremely volatile, and (3) customers' taste and interest may undergo temporal drifts. In order to address such a particularly challenging scenario, we propose a new algorithm for daily deals recommendation based on an explore-then-exploit strategy. Basically, we choose a fraction of the customers to gather feedback on the current catalog in the exploration phase, and the remaining customers to receive improved recommendations based on the previously gathered feedback in a posterior exploitation phase. During exploration, a co-purchase network structure is updated with customer feedback (i.e., the purchases of the day), and during exploitation the updated network is used to enrich the recommendation algorithm. An advantage of our approach is that it is agnostic to the underlying recommender algorithm. Using real data obtained from a large DDS in Brazil, we show that the way in which we split customers into exploration and exploitation impacts by large the effectiveness of the recommendations. We evaluate different splitting strategies based on network centrality metrics and show that our approach offers gains in mean average precision and mean reciprocal rank ranging from 14 to 34 % when applied on top of state-of-the-art recommendation algorithms.

show abstract

“…Coupon websites offer social coupons which are quickly emerging as a marketing tool for businesses, and an attractive shopping tool for consumers. We decided to perform the inspection over this type of Website since its popularity is raising (Kumar, 2012). To aid inspectors in the navigation among the prototyped Web pages, we provided a navigation map indicating which page should be shown after pressing buttons.…”

Section: From the Point Of Viewmentioning

confidence: 99%

Using an empirical study to evaluate the feasibility of a new usability inspection technique for paper based prototypes of web applications

Rivero

Conte

2013

J Softw Eng Res Dev

View full text Add to dashboard Cite

Background: Usability is one of the most important factors that determine the quality of Web applications, which can be verified performing usability inspection. This paper presents the Web Design Usability Evaluation (Web DUE) technique, which allows the identification of usability problems in low-fidelity prototypes (or mockups) of Web applications during the design phases of the development. We have also proposed the Mockup Design Usability Evaluation (Mockup DUE) tool which is able to assist inspectors using the Web DUE technique.

show abstract

Social coupons as a marketing strategy: a multifaceted perspective

Cited by 114 publications

References 6 publications

From Firm-Controlled to Consumer-Contributed: Consumer Co-Production of Personal Media Marketing Communication

From Firm-Controlled to Consumer-Contributed: Consumer Co-Production of Personal Media Marketing Communication

Improving daily deals recommendation using explore-then-exploit strategies

Using an empirical study to evaluate the feasibility of a new usability inspection technique for paper based prototypes of web applications

Contact Info

Product

Resources

About