Daily deals in Singapore : the perspective of restaurant operators.

• Main Authors: Lim, Ziqin., Ngeow, Kathleen., Teo, Sally.
• Other Authors: Gerard Dionicio Gonzales
• Format: Final Year Project
• Language: English
• Published: 2013
• Subjects: DRNTU::Business; DRNTU::Business::Marketing
• Online Access: http://hdl.handle.net/10356/51313
• Institution: Nanyang Technological University

The purpose of this academic research is to gain a better understanding of daily deals in Singapore, which includes investigating the perception of restaurant operators towards customers who purchase daily deals. This study seeks to determine the profile of restaurant operators who had offered daily deals in Singapore, to find out restaurants’ perceptions towards the behaviour of daily deal customers, to determine if the use of daily deals is effective in increasing profits, and lastly, to explore the reasons why some restaurant operators choose not to offer daily deals. This study found that while restaurant operators report that daily deals help their restaurants attract new customers and nearly a third of daily deal customers become repeat customers, nearly half of the respondents reported that daily deals were unprofitable for their restaurants. The top three reasons restaurant operators did not offer daily deals were that “daily deals attract the wrong customer base”, “daily deals are bad for their restaurants’ image”, and “restaurants operators simply do not need the additional business from daily deals”. In terms of restaurants’ perception of daily deal customers, they viewed the daily deal customers to be value conscious, market mavens, tightwads, impulsive buyers, and have a need for uniqueness.