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groupon Archive
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The Good Leak is Missing: Why Daily Deals & Groupons Need a new Business Model and Won’t Scale
Posted on June 14, 2011 | No CommentsDeals businesses like Groupon are based on an old model of rewards rewarding leakage, instead of participation. Leaks sink ships, leaks in business usually cause you to sink, yet there is one leak that is good…this followup to my article on Groupon’s deal looks at numerous questions around Redemption, how many people redeem their various Groupons, coupons, and rewards. Most... -
Why Groupon’s Deal Sucks for Groupon – The Achilles Heel of Margin
Posted on June 8, 2011 | 5 CommentsSifting through the huzzah and the social hollerbaloo about Groupon’s IPO, I realize a simple fact. Everyone is trying to explain why Daily Deals are bad for merchants and consumers, which might be true. Any performance marketer with any experience will know that Daily Deals suck for Groupon because of their margins, and that is the real weakness here. It...