Market Overview

New Group Buying Website Brings Community Together

Share:

Corvallis Local Deals is a new website that features deals for consumers to local businesses. Promoting local business and bringing the community together are the core tenets of this new, up-and-coming web-based business, http://corvallislocaldeals.com.

Corvallis, Oregon (PRWEB) October 31, 2012

The popularity of social group buying sites such as Groupon is at an all time high, but in many smaller communities, such services are not available. Group-buying sites offer an opportunity to purchase deeply discounted products or services from a business at a deep discount. From a consumers perspective, there is little to no downside, they simply buy the offer and save. business on the other hand, have reported mixed results, especially those who are not prepared for the potential challenges they may face when participating in a group buy. Group buying sites are hard for small businesses to participate in because the business must share as much as 50% of the discounted sale price with the group buying site hosting the deal. This commission is generally taken from the sales price after the business has given a 50-90% discount on a product or service they sell on a daily basis. Many businesses, especially small businesses, cannot participate simply because they can't afford to discount products so deeply and then pay a commission on top of that. Although these sites can bring new customers to the business and are a great way to advertise, research shows that they do not attract repeat customers, which small businesses absolutely require when taking such a substantial loss.

Corvallis Local Deals attempts to address these concerns and many others small businesses have when contemplating engaging in a group buying site deal. Founded by husband-wife team, Rebecca and Anthony Veltri, Corvallis Local Deals is on a mission to help local businesses engage their local community with offers that drive repeat sales and build loyal customers. Corvallis Local Deals charges the businesses nothing to participate and allows the businesses to keep 100% of the sale price. “Our goal is to help promote local businesses and encourage consumers to buy locally,” Anthony said. In an effort to attract quality, repeat customers, Corvallis Local Deals charges consumers a small monthly fee to have access to the deals. Traditional group buying models take a product or service that a business sells for $100, discounts it by 50% and then takes 50% of the sale price, leaving the business with $25 on what was a $100 product or service. What's more, this $25 is generally paid out over the course of 90 days, which can create cash flow issues for businesses operating on tight margins. “Our model is different,” says Veltri. With Corvallis Local Deals, the customer makes the transaction for the discount directly with the business, there is no waiting. This means that if a business offers a 50% discount, they receive the discounted payment directly from the customer at the time of purchase. The entire business is online and allows consumers to choose which deals they want in an easy-to-follow format. Each business has the ability to set what their deals are and when they run.

“We provide a place for local businesses to advertise for free and attract quality customers who will become repeat customers,” Anthony said. Amassing over 1940 followers on Facebook in less than 2 weeks, the Veltris have been overwhelmed by the response by the community. “Businesses have been contacting us and we've gotten numerous thank you notes from followers for bringing such a novel idea to the local business community,” Anthony said.

Corvallis Local Deals is set to launch its first round of deals at the beginning of November. For more information on Corvallis Local Deals, please go to http://corvallislocaldeals.com or check out the facebook page https://facebook.com/CorvallisLocalDeals.

For the original version on PRWeb visit: http://www.prweb.com/releases/prweb2012/10/prweb10077169.htm

View Comments and Join the Discussion!