Groupon Inc. has hopped on board the membership train.
The e-commerce marketplace announced the official launch of Groupon Select, a membership program designed to increase engagement and repeat purchase rates by rewarding customers with exclusive savings and perks. The program, which has a monthly fee of $4.99, offers members discounts across the Groupon site, with 25% off local activities, restaurants and spas and 15% off orders for consumer electronics, home furnishings and apparel.
Members also receive 10% off hotels, weekend getaways, air-inclusive trips, concerts, sports and other live shows. Later this quarter, in combination with Groupon’s AMC partnership, Select members will receive 25% off movie tickets.
The Select discounts are automatically applied at checkout, with no order minimums or savings caps. To date, more than 150,000 members have joined the program, which is currently available only in the United States. Groupon plans to expand it internationally.
According to an eMarketer survey, nearly 70% of U.S. internet users belong to anywhere from one to five membership loyalty programs, with 10% belonging to six or more. Nearly 90% of those who belong to a loyalty program said the reward they find the most appealing is discounts or cash back. Most recently, CVS said it was rolling out its CarePass membership program nationwide