Wednesday, December 3, 2014

Pat Sajak looking to bring daily deal site to Charlotte

Wheel of Fortune host Pat Sajak and business partners are looking to expand their daily deal site to Charlotte, as they seek to grow in a crowded section of the online market.

The new deal site is called Great American Deals, and they want a franchisee to expand the concept to Charlotte.

Daily deal sites, such as Groupon and LivingSocial, offer deals for deep discounts at local retailers and restaurants. Users can buy those deals (think 50 percent off a local eatery) and redeem them at the retailer. The daily deal site takes a cut, and the retailer, in theory, drums up more business.

But such sites have struggled, as retailers and restaurants often have a hard time attracting repeat customers who want to come back for more than just the deal.

"They've been less successful at...cultivating new customers," said Sajak.

That's where Sajak said Great American Deals has an opportunity: the national sites suffer from "a lack of boots on the ground." By fielding local franchisees who know their cities, instead of national sales staffs, Sajak said they can get better deals more likely to benefit local businesses.

Under the company's business model, Great American Deals operates the website and handles the technology, while local franchisees gather and sell the daily deals. Great American Deals also donates $1 from each deal sold to a local school or charity.

The site is currently up and running in seven California communities, including Huntington Beach and Santa Monica. Sajak said Great American Deals is looking to grow, seeking expansion in cities such as Charlotte, Dallas and Phoenix. Sajak said the gradual roll-out has helped Great American Deals make sure its technology is functional.

"You have to be sure the darn thing works. Ask the Obamacare people," he said.

The franchise fee for Great American Deals is $35,000, with a total initial investment forecast to be between $49,500 and $71,250.


Inconsequential Influencer said...

Seriously?! The crowded and difficult market for this notwithstanding, this site looks amateurish. I understand he's an investor, but does Pat Sajak literally have to be the FACE of the company?! It's perfect if your target market is retirees; I'm guessing these daily deals will be for nothing more than Colonial Penn Life Insurance, dentures, and MedicID bracelets.