The profit model is the channel through which a company makes money, and is a key to supporting the development of the company. Therefore, for any enterprise, it is necessary to gradually form a viable profit model and business structure to sustain. The main profitability method of group-buying websites is generally relying on participating consumers, product sales, or merchant resources as a source of profit. The need to constantly explore the development of their own profit model, so that the group-buying site to sustain the development of the market to obtain a higher competitive advantage. The following are several profit models for group-buying websites:

One, product sales

The group-buying website can cooperate with the merchants, by helping the trademarks to sell products, to get the rebate of the product sales, which is in the group-buying website profit, the more basic traditional profit methods. Individual excellent group-buying site can also be with the third-party e-commerce business cooperation, can also bring a lot of profit.

Second, the advertising fee profit

Since the group-buying website is generally belongs to the local, its advertising accuracy is close to the classified information, therefore, it can attract a lot of businesses to place ads. For this kind of advertising platform, which is more accurate and less expensive than classified ads, most businesses are still willing to accept it. Of course, advertising profitability should be built on the premise that the group-buying site already has a certain amount of traffic.

Three, the merchant service fee

The group-buying website can also organize new product promotion activities for trademarks, publicize new products for merchants, and form a long-term partnership with merchants to collect the merchant's promotion fee. In addition can also provide additional user surveys, satisfaction surveys and other services to improve service quality. At present, many group-buying sites have these services provided.

Four, trading commissions

This profit method can be said to be the basic way of group-buying site profits. The basic function of the group-buying website is to serve as an intermediate platform for merchants and consumers, by cooperating with merchants and then launching a group-buying activity, when it is over, then the merchants will have to share a part of the profit from the products sold out to the group-buying website. At the same time, this is also a way to increase the visibility of the site.

Fifth, join the authorization fee

In the network, many group-buying sites want to use the mode of direct marketing to improve product sales and profitability, then you must keep expanding the market country model. For example, the general group-buying site will be in different cities to establish sub-stations, is to expand the market, but this phone, it means that must pay a lot of human and material resources to maintain. So many sites will choose to these different cities of the sub-station, through the way to join the authorization of outsourcing to other teams to do, get the franchise fee.

A successful website is bound to be profitable, the loss of profit, then the site will not be able to support, and ultimately forced to close, for the group-buying site is even more so. Therefore, in the operation of the group-buying site, we should continue to find ways to profit, the formation of a benign development structure.