Google Set To Enter Daily Deal Market with Google-Offers

Google-Set-To-Enter-Daily-Deal-Market-with-Google-Offers

Google is set to launch “Google Offers”; the search giant’s competitor to popular daily deal sites like Groupon and SocialLiving. Google Offers is structured as a group buying service that will attract customers with daily deals sent via e-mail.

Like other daily deal sites, Google Offers will give its users a chance to purchase the localized “deal of the day” which will have a fixed time limit (24-48 hours). Once the required number of people have signed up for a deal, the Google Offers discount will be triggered.

It is learnt that the financial transactions for Google Offers will be handled by Google Checkout – Google’s online shopping service. Google Offers is also expected to use a number of social media websites like Facebook, Twitter, Google Reader and Google Buzz to market its daily deals.

Google’s failed takeover attempt of Groupon a few months ago seems to have triggered this development. Groupon management chose to reject Google’s $6 billion offer and went in for a $15 billion IPO to raise funds recently.

According to a fact sheet being sent to local businesses all over, Google proposes to pay 80% of the revenue generated by each specific deal to the participating business 3 days after the deal has ended while the residual 20% will be paid 60 days later. This will be done to take care of any refund demands that may arise.

While a number of daily deal sites are in business currently, Google’s monopolistic presence on the internet through its search engine and other web services has the potential to make Google Offers a market leader in no time. Further announcements regarding Google Offers are awaited even as the service remains in a testing phase as of now.

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