On Wednesday, the most talked about daily deals site wasn't Groupon, but rather its main competitor, LivingSocial.
LivingSocial is a site which sells vouchers for spas, retail stores, restaurants, teeth whitening and other services, usually at fifty percent to ninety percent off -- released an "once-in-a-lifetime" deal for a twenty dollar gift card to Amazon. com. Cost of which is just ten dollars.
In a likely development shoppers all over the country pocketed the deal; with just nine hours left, LivingSocial had sold more than one million and ten thousand of the vouchers, and made it the most successful deal ever for the Washington, D. C. based company.
With daily deals sites growing in popularity, they've advanced beyond offering strictly local, mom-and-pop-type deals.
Groupon had hit the headlines in the last year when it offered fifty dollar gift cards to Gap for just twenty five dollars; the site has also got into partnership with American Apparel and Body Shop for offering discounted gift cards.
There was a difference with Wednesday's LivingSocial deal because the gift cards were not sold by Amazon but rather by LivingSocial itself.
That suggests that the site might loose out on money if it had paid Amazon full price for the cards, although it could be writing up the loss to advertising and marketing costs.












