Deal of the day (also called flash sales, one deal a day) is a type of ecommerce in which a website offers a single product for sale for a period of 24 to 36 hours. Members of deal of the day websites receive online offers and invitations in postal mail, email and social networks.

The deal of the day business model works by offering retailers the opportunity to market discounted services or products directly to the customers of the deal company. The deal company takes a profit from the deals sold through direct marketing efforts such as email. It benefits both retailers and consumers as retailers build brand loyalty and while quickly moving surplus inventory.

The majority of deal of the day sites work directly with local businesses and online retailers to develop a deal offering which includes a significant discount against regular RRP for a particular product. Using the group buying methodology, a minimum and maximum number of deals are made available for sale within a period of time. Typically, deal of the day sites segment merchandise by specific designer sales.[4] Deals are typically only available for 24 hours, although daily deal websites are increasingly offering alternative, longer deal buying periods to increase sales and allow multiple deals to run in a single location concurrently.

Deal descriptions are emailed to the deal of the day site customers when the deal goes live, often with creative or humorous descriptions. The practice of sending daily or multiple daily email messages to mailing lists to promote new deals has been criticised[5] by e-mail marketing professionals and users. However, evidence suggests this aggressive strategy is effective at generating sales, and visitors can register to receive an e-mail either daily or weekly to be notified of current offers. Customers purchase the deal on the deal of the day website (rather than directly from the supplier). The deal websites then retain the customer data, rather than the company offering the deal.

Once the minimum number of deals have been sold via the website, customers' credit cards are charged and the deal is delivered as an electronic voucher, redeemable at the retailer or service provider's location. The promotional value of the vouchers purchased from deal of the day websites typically expire after a certain period, but maintain the value at which they were paid for.

Common products sold include apparel, restaurant and bars offers, salon and spa services, tickets to special events, health and fitness products, travel promotions, and medical services.

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Deals of the Day
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