A number of sites in Australia provide the service and it works by a corporation – such as Scoopon or Groupon – offering their subscribers a deal every day in their city.

A certain number of people need to snap up the heavily discounted, limited time offer before it will kick in – otherwise it doesn’t go ahead.

This gives small businesses an alternative form of advertising because they don’t have to pay to get exposure – the merchant and and the collective buying site will split the profits.

During the weekend on Groupon a 74 per cent discount was given to Sydneysiders who wanted an hour-long massage for $39.

Melbourne people wanting to get rid of those facial lines on website Scoopon could do so for just $139 when it usually costs $849.

Wagga Business Chamber manager Larry Beute said he thought the online shopping phenomon could be a good idea but local businesses should tread with caution and make sure they can sustain the discount they offer.

“I think the scheme itself is a good idea and may work in a centre like Wagga as part of an ongoing shop local campaign incorporating social media,” he said.

“But the deals would have to be good and enough people look and purchase the specials to make it work.”

Some concerns have been raised about the high-pressure selling techniques used in the industry and the problems of providing such large discounts by businesses who have used the service.

The idea to use one of the collective buying sites had crossed the mind of Turning Heads Hairdressing owner Chris Burkinshaw but he said the cons outweighed the pros.

“The reason is because everybody tends to want to come at the same time and I don’t have the staff to cope with it,” he said.”

Fol low @ashleighgleeson