Sugar Inc. To Compete With Gilt & Groupon

Sugar Inc.—the blog network that’s home to numerous fashion sites like Coutorture and FabSugar—is branching out into localized sales à la Gilt Groupe & Groupon. “On Tuesday, Sugar will announce that it has acquired FreshGuide, a start-up that offers daily local shopping deals aimed at women,” says the New York Times. Localized group shopping was popularized by the likes of Groupon, LivingSocial, and, most recently, Gilt Groupe, which launched Gilt City for NYC and surely plans to expand into other cosmopolitan hubs imminently.

While Gilt Groupe, Haute Look, Rue La La, and other flash sale competitors are pouring millions into beefing up their sites to accommodate short-lived designer sales, the localized shopping game is getting equally fierce. “Other online media companies are taking a similar approach. Angie’s List, the local business review site, just introduced The Big Deal, which offers group coupons for local businesses. Thrillist, which publishes an e-mail newsletter for men, recently bought Jack Threads, a private sale site for men’s clothes. And DailyCandy, the women’s e-mail newsletter service, started a sample sale site called Swirl,” adds the NYT. The key here is a potent combo of editorialized and localized sales. It’s a flourishing trend that won’t slow anytime soon.

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