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Constant Contact Moves into Daily Deals

Posted on 2.27.2012

Email marketing services provider Constant Contact has launched SaveLocal, an online tool that aims at helping small businesses run effective daily deals.

SaveLocal aims at improving the current daily deal model, which can take deal control away from the merchant. Instead, SaveLocal gives merchants control over deals, allowing them to run deals that financially make sense, incentivize social sharing and drive repeat business.

“We know that deals are something that consumers want today. The great news is that deals can work if they are done right. The problem is that the current options in the deals space just don’t make sense for many merchants, especially small, local businesses,” says Dave Gilbertson, vice president and general manager of Constant Contact’s newly created SaveLocal business unit.

“The current options demand that the merchant relinquish total control of the deal. They require steep revenue sharing and attract deal seekers rather than new, long-term customers. Amazingly, the current options don’t even give merchants the contact information of their buyers to give them a fighting chance of turning those buyers into repeat customers. And unfortunately, all of this can have a devastating impact on the merchant.”

With SaveLocal, merchants have control over aspects of the deal such as the discount amount, the terms of the deal, timing and how many coupons will be sold. Deals can be created and published quickly and are sent to the merchant’s email list and social networks with no additional cost. Merchants only pay a $1, $2 or $3 fee per coupon purchased, depending on the value of the deal.

Since social sharing is effective, SaveLocal enables merchants to reward customers who buy a deal with an additional reward if they share the deal with friends via email, Facebook or Twitter. Additionally, SaveLocal collects contact information for everyone that buys a deal, including permission for the merchant to contact the customer in the future.

Currently, SaveLocal is available for U.S.-based Constant Contact customers, and will be rolled out to other U.S. small businesses and more countries later this year.

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