Anyone who is regularly tempted by those daily deal e-mail alerts has probably already learned the hard way about group coupon regret.
That’s the feeling you get when you realize you will not be making it to that restaurant, helicopter tour or art class before the dreaded daily deal expiration date.
It was only a matter of time before someone saw a business opportunity in that sinking feeling. A number daily deal resale sites, including Lifesta, DealsGoRound, CoupRecoup, Skeedka and SellMyDeal, have popped up recently. They’re adding yet another layer to the frenzied expansion of the daily deal industry.
The fact that such sites exist shouldn’t come as a surprise. A recent academic study of the daily deal industry found that more than 20 percent of the people who bought daily deals from sites such as Groupon, LivingSocial and BuyWithMe never actually used them.
The sites operate like a clearinghouse of sorts, offering potential buyers a long and varied list of deals that are for sale in their area.
Many, including Lifesta, DealsGoRound and SellMyDeal, charge a fee to the seller if the coupon is sold.
Other sites, such as CoupRecoup, connect buyers and sellers to each other directly and don’t charge a fee.
The resale sites generally let the seller set their own price. In some cases, it appears sellers are charging more than they paid for the deal.
Kris Petersen, founder and chief executive of Chicago-based DealsGoRound, said he think that’s because the sellers are factoring in the transaction fee and hoping to break even. He said they don’t yet see people trying to make a lot of money by reselling hot coupons for a premium.
Many – but not all - resale sites also offer some form of guarantee if the coupon turns out to be bogus or used, as long as the problem is reported quickly. Petersen said DealsGoRound has had to refund money for about 10 of the thousands of customers who have bought a deal through their site.
The potential for dishonesty is one reason Groupon cautions against such sites. The company says it has no way of knowing if the coupons that are being sold have been faked or already used.
“We don’t encourage people to use them because we have no way to verify that they are, in fact, authentic vouchers,” Groupon spokeswoman Julie Moser said.
DealsGoRound’s Petersen counters that resale sites are filling a gap in the industry.
“The consumer needs the protection of being able to get rid of something they paid for and for some reason or other can’t use,” he said.
Have you bought a group coupon you couldn’t use? If so, did you eat the cost or try to resell your deal?