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Have You Considered the White Label Daily Deal Market?

OCRegister.com generated $188,000 in revenue on March 10, selling nearly 5,500 daily deals - a single day record, according to the provider from which it white-labeled the deals platform. The OCRegister's experience provides another alternative to marketers looking for a way to differentiate themselves in this rapidly growing market.

An Antidote to Consumer Fatigue?

The daily deal market is on track to reach $873 million in 2010 to $3.9 billion in 2015, for a 35.1 percent compound annual growth rate, according to BIA/Kelsey. However in spite, or perhaps because of, the rapid growth in the space, providers and participants are already looking for ways to better segment and target their offerings. "By offering deals closer to where users live, providers may offset any drop-off that may occur due to consumer fatigue as the novelty of this format wears off,” said Mark Fratrik, vice president, BIA/Kelsey.

As of March 1, 2011, BIA/Kelsey estimates there are 178 cities with deal-a-day sites reaching 102 million people in the United States. Groupon and LivingSocial now lead this marketplace of 200-plus players,BIA/Kelsey says, but the broader field includes destination sites and white-label providers working with local media providers such as directory companies, radio and television operators and newspapers. The New York Times is one example. The OCRegister is another.

The paper used Analog Analytics' white-label Bigger Better Deal program for its March 10 blow out. It used on-air radio promotions, in-house media, and Facebook and Twitter pages to advertise its Deal of the Day - a Catalina Flyer catamaran that sold 5,457 round-trip tickets for $34 in 24 hours, with additional sales generated from its side deals.

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