Listeners Love Deals According to New Research

Radio stations have been offering half priced deals for listeners for several years, but these services have really taken off with the recent arrival of the likes of Groupon and Dealfind.

Perhaps this is due in part to the economy, or perhaps it is because of a greater awareness of these services, but whatever it is, recent research conducted by Borrell Associates amongst 40,000 consumers indicates consumers not only love the deals that many radio stations offer, but they’re also eager to sign up for more. And a simultaneous survey of more than 700 local advertisers shows that deals are driving a significant amount of new business as well as repeat business from those new customers.

Here are some of the key findings of this study:

* 91% of the consumers said they’re likely to register for other deals
* 44% have signed up for four or more e-mail lists.
* 81% of advertiser respondents have not yet participated in a deals program
* 48% said they would participate in another deal; 14% said they would not
* Of those who have, the average deal generated 191 sales
* 45% of the business generated from deals comes from new customers, and 22% of those become repeat customers.

That last bullet point needs underscoring, says Routh Presslaff of Presslaff Interactive. “If the average deal means 191 redemptions, that means each deal brings 20 new ‘repeat’ customers to a business. If one customer means $500 in annual sales to a dress shop or restaurant, that’s $10,000 in brand new business for every deal launched. When advertisers figure this out, you’re likely to see a lot of bandwagon-chasing among that other 81% who haven’t tried out deals yet.”

Listen in on the webinar, live, on Oct. 13 by registering at Borrell Associates.