Brafton has long reported the rise of the local deal-finder as a marketing channel, from Google's failed attempt to acquire Groupon to Amazon's recent investment in LivingSocial. While Groupon is the household name in the neighborhood coupon market, marketers might want to keep their eyes on LivingSocial; the local deal startup is making a wave today for its Amazon coupon that offers national reach.
LivingSocial is offering users a 50 percent Amazon discount. Consumers can buy a $20 gift card to Amazon.com for $10. The deal is open to members of all LivingSocial markets, and at press time more than 260,000 cards had been sold, generating millions in gross sales.
The deal is sparking tremendous online buzz. Google Realtime results for "LivingSocial" indicate there are multiple updates per second about the Amazon deal in the social sphere. Moreover, there are already more than 83,000 web results about the deal, all generated in the less than 12 hours it has been available.
The buzz about the deal might indicate that deal-finders can bring attention to brands (local or otherwise), and it also suggests that LivingSocial could soon claim a predominant place in this market. Just last week, The Wall Street Journal reported that LivingSocial is expanding its reach, opening markets overseas.