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July 26, 2011

Gannett Says DealChicken Will Be In Over 50 Local Markets by End of December

By Ed Silverstein, TMCnet Contributor

Gannett’s DealChicken will be in over 50 U.S. local markets by the end of December, the company says.

As of now, DealChicken is in 10 U.S. markets including: Cincinnati, Ohio, Detroit, Mich., Indianapolis, Ind., Knoxville, Tenn., Nashville, Tenn., Phoenix, Ariz., Reno, Nev., Rochester, NY; St. Louis, Missouri, and Washington, D.C.

“DealChicken builds on Gannett’s unparalleled local market presence and digital strength,” David Payne, senior vice president and chief digital officer at Gannett, said in a press statement. “Gannett’s local focus and expertise will provide a winning recipe for consumers and merchants alike. Our people on the ground know the markets, the communities, and their respective needs, and only Gannett can provide merchants with the local media support necessary to create a multi-dimensional marketing strategy that includes daily deals.”



DealChicken was launched in Phoenix during September. It got a good reaction from business owners.

“I’ve seen a large number of new, repeat customers with DealChicken, and I know people are coming back even after the deal. My customer base grew by 50 percent,” Bret Pont, owner of Hobe Meats, a Phoenix-based butcher, said in a statement carried on TMCnet. “The exposure we received through azcenral.com, Channel 12 and the Arizona Republic was great for business as well.”

Revenues are shared between the merchant and DealChicken.

There are other daily deals sites, such as Groupon and LivingSocial (News - Alert) – which dominate the sector, according to Reuters. There are also other rivals that are new to the daily deals market, such as Google (News - Alert), Facebook and AT&T, Reuters added.

It helps that Gannett has a “built-in local sales force” given its local “newspaper and broadcast properties,” Reuters (News - Alert) said.

“The daily deals space is getting crowded. But the industry is fast evolving and there are many opportunities out there, especially in local markets where these deals are developing into a new category of local advertising,” Peter Krasilovsky, vice president at BIA/Kelsey, added in a statement. “Gannett has a strong brand and knowledge of its local markets. It is well positioned to compete in this space.”

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Ed Silverstein is a TMCnet contributor. To read more of his articles, please visit his columnist page.

Edited by Jennifer Russell
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