1. Product sales

Group buying websites can cooperate with merchants to help sell products with trademarks and obtain rebates on product sales. This is a relatively basic tradition in the profitability of group buying websites. Profit method. Some excellent group buying websites can also bring considerable profits by cooperating with third-party e-commerce companies.

Second, profit from advertising fees

Since group buying websites are generally local and their advertising accuracy is close to classified information, they can attract many merchants to place advertisements. Most merchants are still willing to accept this kind of advertising platform that is more accurate and cheaper than classified information advertising. Of course, advertising profit must be based on the premise that the group buying website already has a certain amount of traffic.

Third, merchant service fee

Group buying websites can also organize new product promotion activities for trademarks, promote new products for merchants, and form long-term cooperative relationships with merchants, charging Merchant’s promotion expenses. In addition, additional services such as user surveys and satisfaction surveys can be provided to improve service quality. At present, many group buying websites provide these services.

Four. Transaction commission

This profit method can be said to be the basic profit method of group buying websites. The basic function of a group buying website is to act as an intermediary platform between merchants and consumers. By cooperating with the merchants, a group buying activity is initiated. When it is over, the merchants will share a portion of the profits from the products sold to the group buying website. At the same time, this is also a way to increase the visibility of the website.

5. Franchise authorization fee

On the Internet, many group buying websites want to use the direct sales model to increase product sales and profitability, so they must continue to do so. Expand market size. For example, generally group buying websites will establish sub-sites in different cities in order to expand the market. However, such calls mean that a lot of manpower and material resources must be spent on maintenance. Therefore, many websites will choose to outsource these sub-stations in different cities to other teams through franchise authorization to obtain franchise fees.