Groupon Executive Summary

The project Groupon was launched in the year 2008. The idea was launched for dealing with the already existing business The Point that was a platform for starting and pledging a campaign. Andrew Mason, the CEO of the company, started a group for making it more profitable as well as easier to manage a business in comparison with The Point.

All you have to do is like a stores page and then you’re able to get coupons specifically for that store. The newest trend in Extreme Couponing is the use of smart phones. Large companies such as Target and JC Penny have mobile applications that send coupons straight to your phone. Companies are trying to make it easier for consumers to get coupons for incentive to shop at their stores. Many stores are using “Catalinas” which are programs that know what you buy based on your current purchase, or purchases that you have made in the past, and they print off specialized coupons for you at the register. It’s like data mining where it sifts through consumer data, which is identified and analyzed into meaningful relationships. However now that these coupons are so easy for Extreme Couponers to get their hands on, it’s causing problems for many companies.

A coupon is a discounted ticket provided by a manufacturer or a local grocery store to help advertise goods on the market. Couponing is the practice of distributing coupons to consumers as a form of product promotion. Furthermore, couponing is seeking or collecting discount coupons to save money primarily on food and household purchases. However, there is a much broader spectrum for coupons’ use. The negative part about couponing

The website features many coupons and promo codes that can be used to get great discount deals on most of the products. You will also come across many coupons on the Discountrue.com

Groupon is a deal of-the-day site giving top notch rebates on products or administrations for occupants of a specific market. This deal as of now exists in more than 150 urban communities in North America and in more than 100 around the world. Essentially, Groupon highlights an area particular coupon every day, and the offer just winds up plainly substantial if a specific number of individuals additionally buy the rebate (subsequently the name-a straightforward blend of the words "Amass Coupon").

They display commitment by constantly advertising commercials for other products. The fast food restaurant gives hourly updates on special deals and opportunities that the people can utilize. There are coupons online there are also coupons given directly by the store to encourage people to come to the restaurant. Distributing coupons has always been a strategy used by fast food restaurants to help bring in customers and it has been rather effective.

I noticed that Grill Em Steakhouse & Sports Bar is currently using Groupon, and we also understand how Groupon works. We have talked to many restaurants in San Jose area who used deal sites such as Groupon or Livingsocial in the past and many of them have one thing in common. They are definitely not happy because restaurants lose money on every single deal, regular customers become coupon users, and customers stopped coming back.

In addition to these learning effects, Groupon is also a dominant design in its industry because of its leadership’s absorptive capacity, meaning that they have a great ability to recognize, adapt to and utilize new knowledge and changing market needs. Since Groupon began, Lefkofsky and Mason have developed a great “sink or swim” mentality that has led to the entire firm’s resiliency in facing the challenges of a newly founded industry. THE VALUES OF GROUPON In becoming the dominant design for the online promotional deal industry, Groupon has become a really valuable resource for merchants and consumers alike, and vice versa.

Groupon is a deal-of-the day Internet start-up company that was launched in 2008 in Chicago.

Groupon is a deal-of-the-day website that is localized to major geographic markets worldwide. Launched in November 2008, the first market for Groupon was Chicago, followed soon thereafter by Boston, New York City, and Toronto. Groupon has over 50 million subscribers across 300 cities in more than 40 countries. The idea for Groupon was created by Andrew Mason who is currently the company’s CEO. [update]Groupon serves more than 150 markets in North America and 100 markets in Europe, Asia and South America and has amassed 60 million registered users. The growth in the future is likely to be at a slower pace, primarily because the company is already one of the largest in the local deals space.

If you frequently visit popular restaurants and eateries in your city, you must visit the Couponland.in. This website has collaborated with a number of renowned food chains and websites to help you get cash backs and discounts on your bill, by offering certain restaurant booking coupons. You can get a discount of 30% at 4000+ restaurants on ordering food worth Rs 399 and above by availing a particular Tasty Khana coupon from Couponland.in. For people who own a Citi Bank Card and like to enjoy quality food at home, Couponland.in offers a deal that provides a 15% discount on ordering and paying online. A Just Eat coupon that is stocked by

Making the offers timesensitive triggers a feeling in consumers that they might miss out on a chance that will not repeat itself if they don´t act now. Many even bought vouchers that they never redeemed, just not to miss out on an opportunity. In this sense Groupon is speaking to the risk-aversion of the majority of people. The thrill of seeing how much time is left on a coupon and how many others are acting as well, appeals to a person´s addictive behavior. We want to repeat the thrill of the bargain hunt. Groupon then made many moves to foster and expand its initial success. It expanded rapidly into more cities and later on even more countries. It fostered its connection with social media and the online world by setting up an affiliate marketing program that allowed bloggers and websites to earn commissions. This online referral was also expanded by giving consumers a direct incentive to refer Groupon by offering them a 10$ reward towards a future purchase. Groupon also heavily invested in paid search engine advertising and even created an ad that was shown during half time of the super bowl. So, to sum up, Groupon made sure that its existence spread as fast and as much as possible.

With the internet technology, everyone can stay at home for online shopping. What’s more, if you can enjoy daily discounts with all the information, home delivery and 24-hours daily operation, that’s all can be found by buying Groupon. Groupon, the company has successfully captured millions of online consumers throughout the world. The marketing strategy of Groupon captures the consumer behavior. Consumer buying behavior, defined as... “The buying behavior of final consumers, individual and households who buy goods and services for personal”.Groupon consumers mainly responses to:

Groupon has been the primary source of bargaining leading individuals to try promotional offers at restaurants, stores, and more. Their model works because shoppers are always looking for the best deals to gain more value than they are willing or able to pay, enabling them to become a trusted guide to local businesses. Their success now drives from the shift from searching and cutting for coupons to the digital collection of coupons with a wide array of categories and search capabilities to narrow your options that will best fit your preference. Other ventures such as LivingSocial, Amazon Local, Sweetjack, DealChicken, Half Off Depot, Plum District, and TravelZoo have practiced the same concept as Groupon but have not successfully executed or met the high levels of activity as Groupon. Groupon has been triumphant in their practice as opposed to other similar ventures by offering more deals with better discounts within the user’s area than the other social media marketing sites and the offers continue to expand worldwide. Groupon covers 185 cities while Living Social only acquires 140. According to DigitalBuzz 2011, the Inforgraphics portray Groupon to having 5 million subscribers, 18 million Groupons sold in North America, $700 million saved in North America, a $30 average coupon price, with a 57% average Groupon discount. Joe Pulizzi claims an increase of subscribers to 70 million. Similarly to online shopping, Groupon permits users to store deals in their shopping carts,

A recent report by the University of Maryland 's Business School confirmed the Groupon effect that devalues restaurants that offer big discounts. Clinical studies and analyses proved that Groupon-style offers can damage restaurant reputations, especially eateries that offer lower priced meals.[1] However, the study found that upscale restaurants tended to be immune from this risk, possibly because their customers don 't expect to get lower prices on every visit.