Gemgem bases its business model on the successful US 'Groupon-clone' site called Plum District, which understands the importance of the family market. Its rising success is driven by the power of the mom population in the US. Plum District CEO Megan Gardner says, "We know we're doing something different because of the narrow focus of the audience, no one is focusing on the moms and the other thing is the moms' sales force. We are not a one-hit wonder media buy."
Jade Bush, owner of Gemgem, who also believes whole-heartedly in enabling moms in many ways, structures deals in accordance with school holidays, mommy profiles and calendar events offering between 50%-80% off retail prices.
When users spot a deal of interest, they purchase it at a click and wait to hear if enough moms have bought into the deal (which is generally no more than 10 others). An email of congratulations is mailed back with a printable coupon for moms to redeem their purchase. This is cashed in with the merchant directly.
Like Plum District, the site encourages moms to engage in communities, both online and off, such as Facebook and real-life community groups. They believe word-of-mouth and organic growth drives a stronger collective buying notion. The site has a Facebook and Twitter site.
The business also recognizes the flexi-needs of a mom. Those who use the site can also be reps and earn a commission on every sale. Partnering with moms is just another way of helping build a stronger business network. The sales force will promote local business to other moms across South Africa. As a result, the company aims to provide vendors with even higher returns and extended word of mouth.
Anna Carst, marketing and creative partner, says, "Merchants will receive ongoing support from the company to ensure an easy follow-through process. Finalising transactions smoothly is vital for the buyers to experience a seamless online to offline purchase. It will give all concerned peace of mind.'
The company's vision is to expand into similar markets globally and, with mobile and tablet applications, offer a network of like-minded parents a smart approach to a smart service.
For more info, go to www.gemgem.co.za; for Facebook, www.facebook.com/gemgemdeals/gemgemdeals and Twitter groups (gemgemdeals).
