Today we’ve announced Groupon Rewards, a new program allowing consumers to unlock special Groupon deals from their favorite local businesses through repeat visits. Consumers earn rewards at participating merchants simply by paying with the credit or debit card they have on file at Groupon.com. After spending an amount set by the merchant, the consumer unlocks the ability to purchase a special Groupon for that business.
What’s exciting about Rewards is how easy it is for both merchants and consumers. As a shopper, you don’t have to worry about a loyalty card or remembering to check in – we do all the work behind the scenes. And as a merchant, Rewards works with your existing POS system to help you track redemption and ROI while incentivizing future purchases. Pretty cool stuff.
Merchant response in our test markets has been great so far. Here’s what we heard from Derek Miller, Director of Digital Marketing for Lifeway Foods, the parent company of Starfruit Café, which has five locations in Chicago and is participating in the pilot program:
“We love that Groupon Rewards is about increasing customer check-outs instead of the check-in or the added burden of a manual program. Fraud issues can often accompany check-in and traditional punch card loyalty programs. Groupon Rewards ties rewards to spend, not visits, giving our customers incentives to purchase a larger dessert or a second treat the next time they come in.”
Groupon Rewards completes our trifecta of merchant products, the ultimate marketing suite in local e-commerce:
- Traditional Groupon deals are customer acquisition in its simplest form – they raise awareness and drive trial of a business
- Groupon Now! is our yield management solution – merchants flip a switch to drive traffic when they want it the most
- Rewards promotes loyalty and retention – merchants can motivate and measure repeat business, creating long-lasting relationships
Merchants who would like to learn more and participate can visit our merchant page.
Click here if you’d like to sign up for Rewards when we’re ready in your city.