The coupon site that could, 8Coupons, is going national. The site began trying to sell SMBs in New York into mobile couponing directly. Yikes.
The founders quickly discovered that was too much heavy lifting and so shifted into a PC to mobile couponing approach that focused on the top 8 deals (“Ocho Loco“) in the market. The company started allowing users to post deals, which they did, rather than relying on direct sales to merchants exclusively. (There’s also merchant self-service.)
These top 8 deals reportedly see a 22% redemption rate according to CEO Landy Ung. She also told me previously that that were seeing NY area merchants sometimes posting coupons and linking back to MerchantCircle pages where those coupons were originally created.
The new “Ocho Loco” model became quite successful and so now the site is expanding nationally. It’s going to work with partners to aggregate and distribute their content. The press release explains the new details further:
Location Based: When a user visits 8coupons.com, the map on the homepage will automatically populate the Top 8 most popular deals based on his or her IP address. This ensures that anyone who visits the site will see the deals that are most relevant to them specifically. The Top 8 deals will change dynamically as the user moves the map around to different locations, zooms in on a specific street, or narrows down the deals by sub-categories such as restaurants, entertainment, beauty & spas, services and shopping.
More Deals: The deals on 8coupons.com now come from several different sources.
- Exclusive Mobile Coupons – Since launching in 2007, 8coupons.com has offered a self-service mobile coupon platform for small-businesses in New York City. The platform is now available nationwide, and to celebrate, 8coupons is offering an opportunity for any business to try the service free for 100 days (an $888 value!). Businesses can sign up here and use the promo code “MobileCoupons” at checkout to receive a credit of $888.
- User Submitted Deals – Consumers can use this form to tell everyone about the specials at their local bar or their local sandwich shop (or accountant, or dentist, etc…). To date, there have been over 100,000 user shared deals on 8coupons.com.
- Sponsored listings – 8coupons.com has partnered with Valpak, Money Mailer, and RedPlum’s SuperCoups as well as with several local bloggers and content partners to add over 50,000 local deals across the country.
Coupons, wither mobile or online only, are extremely popular and successful as a marketing tool with consumers. It’s also one of the few forms of mobile advertising that consumers are highly receptive to.