Why do you buy Groupons? You’re not really sure if you will visit the restaurant in the near future, and you are basically paying to have the right to use a coupon. In essence, this business model is counter-intuitive, but has turned Groupon into one of the most influential e-commerce and, yes, social networking sites. So how can you apply what works for Groupon into your marketing plan?

1. Make sure your business plan includes a social component.
According to the Social Media Integration Survey, 37% of businesses are either not participating in social media or are only in the first steps of integration. Groupon works because it encourages sharing with friends, integrates existing media channels, and focuses heavily on mobile integration. Sharing leads directly to increased exposure and response. By recommending to a certain number of friends, you can get the product for free. The social aspect of the Groupon makes it feel like you are buying a tangible product. I must admit that I have had the conversation “did you see the Groupon for the movie theatre? Did you get one?” Social media integration is the key to leveraging preference and influence to benefit your company.

2. Present your product/service as something that you would be foolish to pass up
Groupon is so successful because they present their savings as free money. Also, Groupon leverages a perception of supply-and-demand chains to make the savings feel like they might disappear if not snatched up. Marketers need to present their product so that the consumer feels that they are in on something really special, useful and that is a bargain for the savings they will reap. Show how your product saves money. Having a great product is only a piece of the puzzle, letting the right customers know why they need to have your product is the next step.

3. Groupon inspires a sense of community
According to a Nielson survey, 90% of consumers trust peer recommendations. In addition to the social component, Groupon actually turns the consumer into the brand advocate. In order to get a free offer, or in order for the offer to become activated, a minimum number of people must purchase the original offer. Not only Groupon reaps the benefit of this mentality, but the individual businesses have people talking about their product and trying to convince one another to join them in purchasing the deal. Social networks are then inundated with the brand advertisements in the hopes of getting the Groupon for free, and word-of-mouth advertising abounds. When companies in a B2B setting or B2C interactions have people talking about their product because of a company blog, a website or a social channel, they establish an entire network of brand ambassadors.

So, even though you are really buying a coupon, Groupon makes you feel like you are buying a social experience, a tangible product and a steal of a deal. With the right partner and a marketing plan based on the aforementioned facets, the marketing deal-of-the-century might be right at your fingertips.