Is Daily Deals Dashboard Frugalo The Cure For Groupon Fatigue?

There is a lot of money riding on the daily deals phenomenon. Consumers are able to take advantage of special discounts offered through the service based upon bulk sales. Businesses get large spikes in their business by making the offers. The biggest challenges facing the phenomenon are two-fold: investing and consumer fatigue.

On the investment front, the two leaders in the industry are heading in different directions. Groupon's early IPO success is turning sour of late. On the other side, LivingSocial is looking to exceed their initial expectation of a $200 million round of funding. Big bucks are flying around these and other daily deals sites.

Consumer fatigue is the other challenge. That's where Frugalo comes in. Started in June by employees Michael Cieri and Scott Reynolds, the service officially launched this week. The daily deals dashboard wants to be the central hub for shoppers to consolidate their deal hunting and reduce the barrage of notifications they receive from all of the sites.

"We realized that our inboxes were clogged every day with offers on products and services, many of which they didn't care about," said Cieri. "We knew we could do a better job at helping consumers tame the mayhem of limited-time offers."

The service has three primary functions:

  • It acts as a single point through which consumers can see all of the deals available to them from the various shopping sites on which they participate.
  • The algorithm learns about the consumer based on past purchases, geography, and peer recommendations.
  • Friends can share their purchases with each other (and the rest of the world if they'd like) and see what each other is buying on the sites, adding the social element that has, in many ways, been missing from Daily Deals.

In essence, Frugalo simplifies the way that daily deal enthusiasts manage their shopping. It will bring new consumers into the daily deals mix by amplifying purchases to a wider audience through social media. This will bring more businesses to the table. Groupon, Living Social, and the other sites will view Frugalo as an advocate for their businesses.

If Frugalo and similar services can bring sanity to daily deals and if the major players are able to make their business models sustainable, the phenomenon could continue indefinitely. The concept is strong. If investors concerns can be abated and consumer fatigue can be relieved, we should be hunting for our next great spa experience or 57% off piano lessons well into the future.

[Image: Shutterstock]

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  • James

    I really doubt Frugalo will be very popular on many levels because there are too many different daily deal sites out there that people purchase from.  One good one that just launched is where you don't have to prepay to get the coupon.  You simply just take it in an pay when you get there.  I personally like this better because you don't have to worry about losing money if you forget to use it.  They are just getting started anyway and I signed up because I like their concept.

  • Opulence

    Opulence...I haz it, but I also likes savings the money.  So when Mike Cieri tellz me about Frugalo...I jump in it!

  • Evan M

    Nice guys! I thought connecting all of my daily deal accounts would take a bit of time, but with the gmail auto-import thing, it just sucks in all of my confirmation emails so it knows what I've purchased. That's hella easy. Good dealio.

  • Cooper Marcus

    I've been using Frugalo since early in its development - before Frugalo I had become so annoyed about inbox-clogging offers that I'd unsubscribed from all of them - now I get the offers, save money, enjoy the deals with my friends, and maintain a clean inbox - huge win!

  • Geno

    my favorite part is when Frugalo automatically tells me what my friends are doing. it saves me having to email the same group of friends "hey do you want to do X", then wait for responses, then organizing purchases. Now it an happen nearly automatically.

  • John Boitnott

    I'm just glad I didn't buy the Groupon stock. Daily Deals is very hit or miss right now but the concept is strong. I think Living Social may have the right idea by sticking with VC money rather than going public. Checking out Frugalo now - at least I may not have to put all of my eggs in one daily deals bucket.

  • David Kuchar

    Never bought so many daily deals in my life before using frugalo - being alerted to what your friends are buying makes sense in so far as that they likely are great deals, and I'm likely to want to share those experiences in real life rather than just simply on the web.  

  • gopo

    Frugalo's social features are pretty interesting for both the discovery and sharing side of deal purchase/evaluation.

  • Monica Miller

    I automatically filter my deals in gmail (pass the inbox never to be looked at again). It'd be nice if there was a platform that did that for me; managed it and highlighted the ones that would be interesting to me (from past purchase behavior) so that I don't feel completely overwhelmed by the number of deals I get in any given day. Just because I'm a female does not mean I am interested in floral arrangements or botox injections. And it tells me what my friends purchased too?! That's a major bonus since I often buy with friends. Frugalo, you are the answer to my ignored deals! Smart savings here we come...

  • Amy Vernon

    I feel the same way! I hate getting those hair removal/botox/"beauty treatment" deals, which if they knew anything about me, they'd know I'd never gone in for that crap and never would. I've only ever seen one Groupon deal I was interested in and didn't buy it mainly because I knew I was likely to forget about it. I like the concept here, especially the idea of them reminding me. :)

  • Jason Fidler

    How many "Groupon fatigue cures" have we seen over the past six months?  I'm beginning to get Group fatigue cure fatigue. The same problem that has plagued the daily deals services will plague daily deal aggregators:extremely low threshold for entry.