AOL plans to launch a Groupon clone called “Wow!”
Groupon is the service that sends its users a coupon in an email everyday. The coupon doesn’t work until enough email recipients agree to use it.
Here’s how AOL describes the service on a placeholder page:
Wow provides you and your family with savings at your favourite local and national locations each and every day! Eating, shopping, weekend outings – Wow offers things you want and things you need at a price that makes sense for your on-the-go lifestyle.
If you want a deal, we listen and offer up your bargain-of-choice on a silver platter at an astronomically discounted price, helping you stretch your hard-earned dollar to infinity and beyond. So be sure to stay tuned and prepare to be “wowed!”
AOL joins a field of hundreds of Groupon clones – including strong competitors like LivingSocial and BuyWithMe. The reason: Groupon revenues are estimated to reach $350 million or more this year.
Crowded as the field is, we applaud AOL for giving it a go. The company certainly needs new lines of revenue.
The business model has finally run into some issues, however.
Earlier this year, a local businesswoman complained that Groupon coupons nearly bankrupted her cookie business because they were too good of a deal and too popular with non-returning customers.
We’re a little surprised AOL would call its Groupon clone “Wow!,” if only for SEO reasons – “WoW” is a very common search term for people looking for World Of Warcraft sites.