Toronto’s TagBuy: The New Frontier of Daily Deals?

Toronto startup TagBuy is trying to be the most social of all the daily deals websites.

Founded in July by David Smulowitz and three others, the newly launched TagBuy has social media “baked in,” delivering a refined focus on how businesses connect with their consumers online. Touted as a “new frontier of deal seeking” that “reinvents the social buying wheel,” TagBuy leverages peer recommendations—which Nielsen data suggests is trusted by 90% of consumers—to foster long-term relationships between businesses and customers.

Subscribers “tag” offers to recommend the brand to select groups friends, hence the name TagBuy. See the video below.

“TagBuy was built to the advantage of the business and to the benefit of the customer. With the launch of TagBuy.com timed to coincide with the Holidays, we are re-inventing how social buying websites engage with the consumers and helping them save money this gift-buying season,” explains Rob Friday, VP of Business Development. “TagBuy is a tool for businesses who want to enhance their reach and use social media as the catalyst for growth.”

Interestingly, TagBuy claims to give the biggest chunk of deal monies to the merchant (70%).

“At TagBuy.com, our core values shape how we do business, and are the foundation for our customers being long-term friends,” says David. “Like most Canadians, I’ve received email deals from sites that are simply not relevant to me. There is a huge disconnect. With TagBuy, through understanding consumers via social media, we tailor deals and connect our partners with their ideal consumers. We’re not marketing deals. We’re building relationships.”