LivingSocial’s Offer Breaks Records

If you were on the social networks today, you probably noticed your friends sending links to a website called LivingSocial for a half-off deal on an Amazon gift card. While most of us are familiar with Groupon, very few of us have ever used or even heard of LivingSocial. So why the sudden buzz on the networks?

LivingSocial’s latest deal has taken the Internet by storm today and has brought back memories of the 90’s dot-com marketing binge. (For a moment there, I had the urge to pull out my Pets.com sock monkey.) For 24 hours, members can purchase a $20 Amazon gift card for just $10. This deal has attracted over 680,000 purchasers with 17 hours left to go. It has also broken a record, set by Groupon’s GAP partnership last summer, making it the most-purchased daily deal offer ever. As of 2:30pm EST, over 24,000 consumers had shared the link on Facebook.

But, did you know that in December Amazon invested $175 million in LivingSocial? Hmm.. interesting! Sounds like a pretty sweet deal for Amazon. With free shipping deals starting at $25, gift card holders are bound to spend more than $20 on their orders.

So, what is LivingSocial? Like Groupon, LivingSocial offers daily deals based on your city that can be shared with your friends. However, if you share a deal and three or more of your friends purchase it, you get a free voucher. This works by giving a customer an individual sharing URL to send to friends and family.

I have to admit, LivingSocial grabbed my attention. I am now a member and have signed up for a daily e-mail. On top of that, I also forwarded my special URL code to some friends in hopes of getting a free deal. Well played, LivingSocial. Well played.

We ask: have you purchased deals at any of the popular coupon sites before?