Daily Deals In The Arab World: What Sells, What Doesn't; Insights From Cobone
For entrepreneurs looking to head into e-commerce, it might be useful to know which categories are the most popular in daily deals.
Dubai-based daily deals site Cobone has released an infographic today revealing which verticals a focus group of 10,000 were primarily interested in.
The travel sector dominates, with 70% of respondents are highly interested in travel deals, 62% in food & beverage, 56% in electronics and 40% in other products. It might be surprising that electronics aren't higher, and this may not square with purchasing data (which we'd love to see), but it's a good indicator of interest in the travel sector.
The site, which has 1.5 million users, has also launched a hotel booking engine, says CEO Paul Kenny, who was recently designated Ernst & Young Entrepreneur of the Year in the "Emerging" category.
Sectors aside, it turns out that price is a heavy driver of decision-making: 82% of respondents were swayed by price when considering purchasing a deal.
It's clear that LivingSocial's exit has benefitted Cobone, the major dominant player left in the UAE and Gulf market; Cobone has documented a 40% increase in repeat buyers, a 60% increase in repeat visits, and 100,000 new members in one month after it recently launched a loyalty scheme. 63% of customers purchased 1-3 deals from Cobone in the last three months, and 19% of frequent shoppers purchased 4-10 deals in the same period.
While this infographic may be a bit over the top (ahem- the entire bottom section is not data), it reveals that daily deals are still alive in the region; it's likely that those customers who have grown addicted to daily deals still need a fix.
Other daily deals sites: do your numbers agree?