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How do group buying websites make profits?
Now it is difficult for websites to make profits solely by traffic and advertising. To grow and develop, a website must have its own clear business model and its core value. Compared with other types of websites, the profit model of group buying websites is relatively clear because they directly face commodities, consumers and enterprises. At present, there are six mature profit models for group buying websites.

1 Direct selling goods, in the name of "group purchase", directly log in to the product information on the website for direct selling. The source of goods here can also be self-purchase, or cooperate with merchants to sell goods on a commission basis, so as to directly obtain the profit of commodity sales. Direct selling of goods is a traditional way to realize basic profit in website operation.

2. Activity rebate: As a bridge between merchants and buyers, the website organizes buyers with the same needs to buy from merchants collectively, and merchants pay profit returns to the website afterwards, which is a common form of "rebate" in everyone's life. Don't underestimate this "rebate", it is one of the most likely ways to make you gain the most. Group buying goods range from daily necessities to electrical appliances, building materials, decoration, automobiles and real estate. If large-scale purchasing groups are successfully organized, such as car buying groups and house buying groups, the profit returns of businesses that only engage in one activity range from tens of thousands to hundreds of thousands or even more. At present, some large group buying websites claim that there will be thousands or even tens of thousands of group buying, and the profit return generated by this large-scale purchase can be imagined.

Businessmen's exhibitions: Businessmen's exhibitions and exchanges can be held irregularly. Businessmen can take this opportunity to promote and try out new products, communicate face to face with customers, accept consultations and orders, and understand customers' needs and suggestions. The website collects booth fees from merchants to earn income.

4. Advertising services. In addition to regional characteristics, group buying websites are generally aimed at people who have spending power and want to buy. For businesses, accurate positioning, clear goals and low cost will surely become the best platform for business advertising.

Selling membership cards, "ip membership" is a common way to highlight the "distinguished status" of users, which is very popular among young people, especially students. Group buying websites can enhance users' sense of identity by issuing membership cards. These websites can provide cardholders with lower commodity prices and more intimate services, and allow cardholders to "buy" directly in cooperative entities.

Six sub-stations joined, and when the website developed to a certain influence, it was already investing in the project for you. At this time, franchisees can be authorized to set up sub-stations to provide franchisees with network platforms, operating experiences and enjoying website brands. While getting the initial fee, it also expanded its influence.

The operation and profit model of group buying websites are not limited to the above six types. According to its own development, environmental characteristics and innovation, it can produce more profit models, such as providing more value-added services for merchants and buyers.

Second, the concept interpretation and market analysis

"Be kind and save money" has been an eternal life principle since ancient times, especially in today's soaring prices, people are more careful in shopping and consumption. Therefore, it is very common for colleagues, classmates or friends around to go to the same business to purchase, so that businesses can offer lower prices, which is the original form of "group buying".

Group buying is group buying, also called group buying. Generally, it is convened by a person or organization to organize consumers who are interested in buying the same product to make a large number of purchases from manufacturers or general agents, so as to obtain ultra-low prices and service guarantees of products under the condition of ensuring quality. Generally, the goods purchased by group purchase have the characteristics of high brand awareness, large market share, perfect service system, good after-sales service, stable product quality, standing the test of time and providing complete enterprise and product information.

According to the survey, the main products of group purchase at present include decoration building materials, household goods, automobiles, real estate, household appliances, training, computers, digital products, daily necessities and other fields. Group buying originated in Beijing, Shanghai, Shenzhen and other cities, and now it has spread rapidly in major cities all over the country, becoming a modern fashion shopping method pursued by many consumers, because it effectively prevents the profiteering in immature markets, the blindness of personal consumption, resists the bubble of mass consumption, and allows consumers to truly enjoy "good and save money".