Groupon adds loyalty program Groupon Rewards

Share this article:

Daily deals company Groupon debuted a loyalty program on Sept. 28 that enables merchants to deliver follow-up offers to consumers who previously purchased a Groupon from the merchant.

Groupon is piloting Groupon Rewards in Chicago and Philadelphia and will roll out the program to other markets over the next few months based on merchant demand, said Groupon spokesperson Julie Mossler. Merchants and consumers can join the program today, and Rewards will go live for consumers in “a few weeks,” she said.

“A criticism of the Groupon model is that people question what we were doing to drive loyalty and help merchants drive redemption,” Mossler said.

Consumers who opt in to the program will earn Rewards based on the amount of money they spend with a participating merchant. Groupon will track Rewards progress based on purchases made through a consumer's credit or debit card connected to their Groupon account.

Mossler said Groupon chose to base Rewards on monetary spending rather than transaction quantity because it incentivizes consumers to spend more at a business as well as to become a return customer.

The first time a consumer buys a Groupon from a merchant, that consumer will be notified whether the merchant is a Rewards participant. Consumers will be able to track their progress to attaining a Reward through their Groupon account. Groupon will also send “periodic communications” to consumers regarding their Rewards progress.

Share this article:
You must be a registered member of Direct Marketing News to post a comment.
close

Next Article in Digital Marketing

Follow us on Twitter @dmnews

Latest Jobs:

Featured Listings

More in Digital Marketing

IAB Tech Lab to Set Global Digital Marketing Standards

IAB Tech Lab to Set Global Digital Marketing ...

In looking to solve complex tech issues, the association opens up full membership to agencies and solutions providers.

Integration Meets Innovation in Planters' Digital Campaign

Integration Meets Innovation in Planters' Digital Campaign

The snacks brand found a healthy way to navigate today's world of digital marketing saturation.

USA Today Decides to Play Games for Real

USA Today Decides to Play Games for Real

It partners with game-maker Arkadium to add 60 new digital games to its site, offering advertisers more segmented breakdowns of players.