Offering daily deals has become a popular marketing approach in recent years. This research investigates\nwhether daily deals add value to suppliers businesses. We investigate motivations for daily deals, revenue\nmanagement implications and limitations of such, and differences between conventional marketing approaches and\ndaily deal offerings. The research method included questionnaires, interviews, and direct collection of deal data via\nthe internet. We find that daily deals can add value by informing better revenue management practices. Daily deals\ncan be utilized to improve pricing, manage capacity and develop loyalty. We also find that the demand curve for daily\ndeals is elastic, which reflects the bargain seeking behaviour of buyers. Furthermore, the demand for certain deals\nis found to be less elastic than others, suggesting that suppliers can potentially offer deals at higher prices to yield\nmore revenue
Loading....