Business model and development of group buying website

with the development of the Internet and the progress of technology, the new form of the Internet is constantly emerging, subtly changing the way people live. Among them, the group buying site is a new form, the Internet, e-commerce integration of a new model.

one, the origin and development of group buying website

Groupon Buy mode is called 2, buy the origin of the United States, the main representative of the site woot and Groupon, etc.. Groupon has become the craziest Internet Co in history. Twitter reached $1 billion valuation in 3 years, Facebook reached $1 billion valuation in the past 2 years, and Groupon only a year and a half. And only six months to achieve profitability.

two, the development status of domestic buy site

domestic group purchase website increases rapidly, is raging like a storm, whipped up a whirlwind "group purchase". With incomplete statistics, as of December 2010, China’s group buying site has reached more than 2 thousand, there are several hundreds of months continue to emerge. Hot now group purchase website, similar to the development of electronic commerce website in the website, why group purchase is developing so rapidly? The key lies in the group purchase website low threshold, one hundred or two hundred yuan to buy a domain name and space, tens of dollars to buy a group purchase website source code, all of which add up to a few hundred dollars can solve.

three, buy site business model

1, GroupOn Buy mode

buy site business model for B2C buy mode. The concept first originated in the GroupOn site, GroupOn site every day just launched a product, and then through the group purchase website platform, the intention to buy cheap goods discount consumers do not know each other time together, formed a group purchase team. When this group to buy a certain number of people, you can buy group. Due to the large number of one-time purchase of the goods, it can increase the ability to negotiate with the merchant. In order to get preferential prices; and according to the business puerile, large price advantages and principles of advertising, goods will be less than the retail price for sale or to provide quality service. This mode of shopping site is called buy site.

2, buy site business characteristics

transaction volume limit: buy site will usually limit the number of goods sold. Take food and beverage companies, businesses are usually out of the principles of promotion and advertising, to provide a certain number of ultra low price dining opportunities. For physical goods, due to production, distribution and other aspects of the problem, usually set the upper limit of the number.

: low price discount group purchase website as a platform for the organization, the purpose is through the collective purchase, a lower price discount; usually there will be some of the more exaggerated discount, such as 2-3 fold, some.

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