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BizReport : Ecommerce archives : August 29, 2011

Facebook ditches Daily Deals

After four months of testing in places such as Atlanta, Dallas and San Francisco, Facebook has made the decision to ditch its Deals program despite acknowledging that there "is a lot of power in a social approach to driving people into local businesses".

by Helen Leggatt

Facebook's Daily Deals, a feature similar to that offered by the likes of Groupon and LivingSocial, is no more. This should not be confused with Check-In Deals which presents users with offers when they check in to locations via Facebook Places. Daily Deals - arranged by a sales team with local merchants - were emailed to Facebook users who signed up to the program.

No reason was given for the decision to ditch Daily Deals, but Facebook remains positive, saying "we remain committed to building products to help local businesses connect with people, like Ads, Pages, Sponsored Stories, and Check-in Deals."

Vinicius Vacanti, co-founder of, wasn't surprised to hear of Facebook's decision saying the Deals product had been "an underwhelming product and experience".

"I don't believe this means daily deals are not a viable business," Vacanti added. "It more suggests that large media and tech companies can't just 'turn on' daily deals and expect them to work. It has to be more thoughtfully integrated into their existing product."

Tags: daily deals, group buying, social marketing, social media, social network

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