This document discusses daily deal sites and their impact on local businesses. It notes that daily deal revenue is on pace to reach $1 billion in 2010 and $2 billion in 2011. While small businesses initially loved the zero-risk model, issues around lack of customer data and low-quality customers have emerged. The document predicts that deals will evolve to include more social promotions and live offers to engage customers. Distribution will become more ubiquitous across maps, search, social media and apps. Self-serve deal creation will expand to more platforms to make daily deals more mainstream.