The product comes in two forms: peer-to-peer and
brand-to-consumer. The peer-to-peer sharing is simple: Any Endorse
user that shares a deal to Facebook will instantly see the discount
jump from 20% to 50% off. The deal will then appear on that user's
wall for friends to claim. When they do, the deal will appear in
the app's "shared with you" section. Those users will then have the
same option on the initial deal -- share and get an additional 30%
off.
A brand can allocate a certain amount of money it wants to
commit, and Endorse will close the deal when it hits that point.
"The reason Endorse can do this is because we control the entire
process, from creation to redemption. it can't be copied or go
rogue," said CEO Steven Carpenter.
For the brand-to-consumer offers, which is launching today with
Planters, the brand can post a deal to fans of its Facebook page
(which, in Mr. Peanut's case, is almost half a million), driving
fans to download the app and claim the deal. While this clearly
helps with Endorse's user adoption, there's an inherent benefit to
brand marketers, who will be able to see which fans are also
customers.
"The social offer is designed to reward brand advocates for
sharing their favorite offers with their friends and to enable
brands to share product-level offers to their Facebook followers
that can be redeemed wherever their products are sold," Carpenter
said.
For Planters, the initiative was specifically meant to reach the
"active adult audience" through social and mobile channels, said
Kraft Brand Manager
Jon Hall in an email.
Down the road, a natural extension of this will be to cut out
the middle step and allow brands to send offers directly to fans
that use the Endorse app, closing the loop between and "liking" on
Facebook and buying in the real world.
