Abstract:

Group buying sites are gaining popularity because of their unique business model and discounted deals they offer on their websites. Major group buying sites in Australia are offering variety of goods and services to retain their position in the market and attract new customers. However, there is no clear indication about what factors influence customers’ intention to buy from group buying websites. In this paper, we present an analysis of group buying deals based on the primary data collected from 5 top-rated group buying websites in Australia. The results indicate that the discount rate, the product category and the purchase limits have a positive impact on the total deals purchased from a specific group buying website. These findings provide useful insights regarding the important factors that can help improve the group buying website overall sales performance.