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Daily deal websites and flash sale websites often offer prices wellbelow what would be seen in a retail store or through typicalonline shopping. But Ether Swilley, assistant professor ofmarketing, says the deals may not be so good for business and thatconsumers may regret their impulse buying. "I would advise users to use discretion," Swilley said."Make sure it's something you really need or want, and you'renot just purchasing it because it's there and time is countingdown." Daily deal websites like Groupon and others operate the same wayregular coupons have for years, Swilley said. Businesses offer aservice or product at a discount in order to bring in newcustomers, with hopes that they will enjoy what they purchased andreturn for more. "What's happening, though, is that people aren't coming backafter that initial coupon use," she said. "They think,'this was cheap the first time, I want it to be cheap again.'They're not really gaining a true customer but simply a one-timeuser who is deal-prone. Now retailers are reconsidering the valueof Web coupons." Flash sale websites, such as Gilt, often operate through email.Potential customers sign up to receive a list of daily deals, orvisit the business's website, with the promise to receive a largediscount if they purchase a product within a short period of time. Swilley said flash sale websites are a way for mid- to high-endretail companies to get rid of their extra inventory withoutselling it to off-price department stores like T.J. Maxx orMarshalls. She added that it is also a way for businesses to testout a new product. "Flash sale websites are often used as a marketing tool,"Swilley said. "If a company has a new product coming out, theymay want to see how the public feels about it. They use a flashsale to lower the price a bit so that a few people will buy it andget it out there. Then, when someone asks where you bought yourshoes, they can go to the store and purchase them." Both flash sale and daily deal websites have been around forseveral years, offering everything from clothing and accessories totravel packages and restaurant coupons. Swilley said Groupon wasthe first to really pick up steam last year when it debuted itsinitial public offering. "When Groupon did its IPO, the buzz surrounding it gaveconsumer credence to sites like this," Swilley said."However, retailers may still be wary and are figuring out howto effectively use these services." Well-known companies are getting into the game as well: Amazonoffers the high-end flash sale site MyHabit and Google createdGoogle Offers, a daily deal site. Consumers have been eager to take advantage of what may beperceived as a quick bargain -- these websites have created abillion-dollar industry. But Swilley warns would-be buyers to takea second look at what they're considering. "You may see a pair of shoes that is marked down to $500 from$1,600," she said. "Yes, it's a discount, but would youhave seriously considered an expensive pair of shoes if the picturewasn't in front of you?" Purchasing an item from a time-limited website is only advisable ifyou search out the deal, not if the deal comes to you, Swilleysaid. She suggests using these websites to make travel plans orpurchase high-end items -- but only if you were looking for them inthe first place. Swilley predicts that daily deal and flash sale websites aren'tgoing anywhere in the foreseeable future, but that changes likelyare on the horizon. "Look at MySpace, Facebook and Twitter," she said."Things branch out and change as the market changes. Ifconsumers tire of these types of deals, they'll have to come upwith something else that fits what the consumer wants. The consumeris finicky and fickle, and these businesses will have toadhere.". The e-commerce company in China offers quality products such as China Waterproof Digital Camcorder HD , China Mini Dvr Camcorder, and more. For more , please visit 1080P Car Black Box today!
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