It seems that the daily deals craze has went from a sizzle to fizzle rather quickly. I used to be on the email lists for Groupon and LivingSocial. But as time went on, I realized it was pointless to repeatedly get offers for high-end hair salons, spa treatments, and other places I would never go. Sure they may be 50% off, but when they cost 3x more than the place I happily get my hair cut, what’s the point?!
As a result, I eventually unsubscribed from all of the daily deal sites. But is the credit card from LivingSocial a good reason for me to get back in the game?
Is it a gimmick or not?
It’s actually not a gimmick. I think Chase and LivingSocial did a good job engineering the rewards, but whether the card is right for you or not I think should be hinged on how much money you spend with LivingSocial. Because for the dining category, 3% is obviously awesome but considering there is a card that give 2% on everything, it’s nothing to write home about.
How the “Deal Bucks” system works
- 5 points per dollar on LivingSocial purchases
- 3 points per dollar on dining
- 1 points per dollar elsewhere
Every 100 points = 1 Deal Buck which you can use towards a LivingSocial purchase. There’s no cap on the number of points that can be earned with the LivingSocial credit card. So translated, the rewards program is basically paying:
- 5% on LivingSocial
- 3% on dining
- 1% elsewhere
So if you spend a lot on LivingSocial, then the unlimited 5% rebate could definitely be worth pursuing. But for someone like me who pretty much shuns the daily deal sites, getting their credit card wouldn’t be the best choice.
The rewards program is very transparent without any hidden exclusions that I can find. However, I suppose some people may be confused by their promotional signup offer:
10 PURCHASES EARN 10 BONUS DEAL BUCKS: For all billing cycles that begin in 2012 you will earn 1000 points (which equals 10 Promotional Deal Bucks at LivingSocial) for each billing cycle in which you make at least 10 purchases. This bonus offer expires at the end of your billing cycle that begins in December 2012.
So assuming you make 10+ purchases each billing cycle, you have the ability to earn $10 for each month left in 2012. I guess the only drawback with this is that it’s not very lucrative since we’re already so far into 2012 🙂
Do you have the LivingSocial Visa? If so, please share your experiences below, because I haven’t seen any credit card reviews yet from people who have it.