The full impact of the Internet's power to identify and aggregate demand is only starting to be understood. Social shopping isn't just changing ecommerce, but commerce in general.
A great example comes from one of my favorite iPhone Apps, GolfLogix. This App turns my iPhone into a golf range finder and electronic scorecard.
The range finder gives me GPS distances to hazards, the green and the pin. They have thousands of courses in their database, and I've found it to be accurate - or at least more accurate than my game requires.
GolfLogix is $40 per year, which is a lot for an iPhone app. But golfers (even mediocre golfers like me) are pretty price insensitive and willing to try new equipment that might help us play better.
Which is why I think their new Groupon-like service is going to be a hit. I just got an email from them that said:
"Starting this month, all GolfLogix members will receive a special offer email every Thursday with an exceptional, exclusive, limited-time deal on a golf product or service. Right now we are reaching out to various golf manufacturers and finalizing deals that will not be available anywhere else. You will be amazed at what we are finding!"
GolfLogix adding social shopping is a good example of the stunning number of Groupon-like imitators that are springing up. We think the new entrants that serve vertical or niche markets are most likely to be successful, especially if like GolfLogix they have an existing user base.