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August 29, 2011

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Facebook kills Deals service

  • August 29, 2011
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  • Will find other ways to serve local businesses, says company

    Social networking site Facebook has said that it would be curtains for its Deals program after four months of testing.
    The company with over 750 million users worldwide launched its Deals program in April, which offered online bargains to users.
    Group-couponing services have become one of the fastest-growing businesses with Groupon leading the way.
    Facebook tested the program in five US cities -- Atlanta, Austin, Dallas, San Diego, and San Francisco.
    Facebook had said during the launch of the testing phase that users would get to see discount offers from partner services, including ReachLocal, KGB Deals, HomeRun.com, PopSugar City, Gilt City, Tippr, Plum District and Zozi with the new Facebook's programme.
    "We're building a product that is social from the ground up," said Emily White, director of local for Facebook.
    "All of these deals are things you want to do with friends, so no teeth whitening, but yes to river rafting."
    However, the company now says that it will work on another model for local businesses.
    Facebook spokeswoman Annie Ta said, "After testing Deals for four months, we've decided to end our Deals product in the coming weeks."
    "We've learned a lot from our test and we'll continue to evaluate how to best serve local businesses."
    Facebook also said that it remains "committed to building products to help local businesses connect with people, like Ads, Pages, Sponsored Stories, and Check-in Deals."
    Earlier this year Google announced that it is testing its own online coupon program, Google Offers.

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