How do group buying work?
Have you heard of group buying websites? Find out how they work!
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Group buying was very popular a few years ago.
Thanks to technology, it has become much easier to make virtual purchases and even obtain excellent discounts when purchasing products or services online.
But how does this work? What are the main websites that operate in this segment?
To understand more about the subject, continue reading.
What are group purchases?
Group buying involves three parties: the customer, the company and the website that acts as intermediary.
The buyer will register on the website and will thus be kept up to date with everything that is offered, as they will receive messages about promotions and offers via email.
Previously, sales and payment were only made when the offer reached the minimum number of participants and within the stipulated period.
The offer became valid when it reached a certain number of buyers. On websites that work with this modality, it is already possible to know how many users are participating.
But with some changes in the industry, it has become a little easier to earn discount vouchers through these sites.
What happened to group buying?
For a long time, group buying sites were considered a true phenomenon.
Companies like Peixe Urbano and Groupon, for example, were well known among Brazilians.
After all, through these websites, people were able to get excellent discounts and discover trendy restaurants at a more affordable price.
However, the segment has gone through a serious crisis. Many of the websites in this segment that were popular a few years ago no longer exist.
One of the reasons why this sector is still going through a serious crisis is the change in consumer behavior.
One of the disadvantages of this business model is that the discount was only valid if the person was willing to follow a series of rules, such as visiting the place or consuming the product only on certain days and times.
Furthermore, many people had problems using the coupon or the service was bad and even with the discount, it wasn't worth it.
Companies in the sector kept trying to win back customers, but most of them failed to survive this.
These companies usually earn a commission on sales, meaning they need to have a very high volume of sales to make significant profits.
The group buying sector is trying to reinvent itself
Even with the crisis, many companies in the sector are trying to adapt to the new reality, as the scenario demands it.
One of the changes that occurred was the increase in demand for discounts on services in the leisure and tourism areas.
During the lockdown, obviously, the demand for this type of service dropped dramatically.
However, now that reopenings are being authorized, these companies are managing to sell a little more again.
What happened to Peixe Urbano?
Anyone who used group buying websites in the past to get discounts has certainly heard of Peixe Urbano.
The company, founded in 2010, was a reference in the segment.
For several years, thousands of Brazilians have registered on the site to get good discounts.
But in January 2021, the website went offline. The following month, the company's app stopped working, as did the website.
Consequently, customers were no longer able to use their discount coupons.
According to the website The Globe, the company had more than R$50 million in debt. In addition, the offices in Rio de Janeiro and São Paulo were closed.
However, the problems did not start last year. In fact, complaints against companies in the sector (not just Peixe Urbano) increased dramatically in 2012 and 2013.
However, obviously, the pandemic further worsened the crisis in the sector.
Most of these coupons offered discounts on restaurants and travel. But as everyone knows, the food and tourism sectors were some of the most affected by the shutdowns during the pandemic.
What are the best group buying sites?
As you can see, the sector is still going through a major crisis, which began even before the coronavirus pandemic in 2020.
Even so, many companies in the segment have managed to reinvent themselves and remain in the market! With this in mind, we have put together a list of the best website options:
Collective cheap
The Collective Cheap offers discounts in the gastronomy, travel and entertainment segments.
In fact, the site recently expanded its format. In other words, it stopped being a group buying site and became the largest opportunities site in Ceará.
As soon as you enter the website, you will come across several offers. Some discounts can reach 70%.
Peeling
Pelando is a great option for finding great deals!
On the website, you can find products with discounts from companies such as Aliexpress, Magazine Luiza, Amazon and Casas Bahia.
One of the advantages of using the Peeling to get discounts, is that on the pages of the discounted products, you can see customer reviews.
Save me
Saveme is also a great option for getting discounts.
Founded in 2010, initially working with group purchases, Saveme expanded its operations to new e-commerce segments.
The site has more than 4,500,000 registered users and offers around 50,000 offers in 300 different stores.
Through SaveMe, you can get discounts when purchasing products from companies such as Zattini, Centauro, Americanas, Netshoes and many more. In addition, the company offers discounts in various segments, such as gastronomy, travel, IT and books.
Promobit
On the Promobit website, You can get discount coupons to make purchases at various companies, such as Casas Bahia, Americanas and Fastshop.
One of the advantages of Promobit is that it informs you of the number of active coupons in each store.
Conclusion
The concept of group buying has changed a lot in recent years.
Companies that were famous in the segment, such as Peixe Urbano, no longer exist.
However, there are still good options and, on the websites mentioned in this article, you can get significant discounts when purchasing a product or service!
Take advantage and discover the best ones now cashback platforms and see how to get money back from your purchases.
