Travelsavers and Nest agents will get in on the booming daily deals market under a new partnership that will also maintain price integrity for suppliers.
Set to launch at the end of February, Travelsavers Partner Services, a subsidiary of the American Marketing Group, will be the exclusive travel provider for Analog Analytics' Bigger Better Deal solutions, which are sent out to up to 50 million subscribers of more than 850 online newspapers and broadcast media outlets.
American Marketing Group's two retail agent brands are Nest and Travelsavers.
Analog Analytics, a provider of coupons and deal certificates for local online publishers, broadcasters, advertisers and now Travelsavers, said the profit sharing structure they created provides financial rewards to agencies through both royalty fees and the prospect of new customers.
"We have been exploring the question of how to garner mutual online success for suppliers, travel agents and consumers, and I am thrilled that Travelsavers Partner Services is the first to come up with the answer," said Rick Mazza, CEO of Travelsavers.
Travelsavers said that suppliers will benefit by being given the opportunity to offer their product online without having to slash their prices.
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Instead, the Bigger Better Deal travel offers will provide value-added experiences. In addition, suppliers will also pay only for performance, while receiving exposure similar to that of an advertising campaign.
Anne Marie Moebes, executive vice president of Travelsavers, said Travelsavers is working with its preferred partners to create deals that they can put online. Unlike Groupon and other major daily deal sites, Moebes said, these deals won't mandate a high discount and is more about profitability.
"We don't believe that deep discounts are going to be sustainable," said Moebes. "Do our suppliers need sales and to fill inventory? Yes, but there is a way to do that from the value add perspective as opposed to just deep discounts.
"We are not mandating price, and we are not collecting money," she added. "The suppliers collect it as they do now."
Moebes said that Travelsavers and Nest agents would need to opt in to take part in the program.
Analog Analytics sends its deals out to 50 million people per day, Moebes said. Its Bigger Better Deals are sent to local publishers and broadcasters and also to private email lists, such as members of Blue Cross/Blue Shield.
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