Groupon is an internet website company focused on generating revenue by utilizing relationships with merchants to provide consumers with discounts on select items. The goal of the discounted vouchers is to drive additional consumer store traffic and generate revenue for merchants which are shared with Groupon via a predetermined contractual percentage. Groupon generates visibility and exposure with email and social networking to increase consumer spending at specific merchants. Groupon has many features from personalization of product offerings to specific demographics and target segments. In addition, a more defined value proposition allowing merchants an opportunity to showcase their own product offerings on
Andrew Mason, Founder & CEO of Groupon, had a big idea, but was not aware how massive it could grow. Before Groupon, Mason begun a website called ThePoint.org as a site for collective action, to get groups of people together to solve public and social issues. It wasn’t as effective as he projected, and so started to think of how he could take the group approach of ThePoint.org and turn it into a business channel. Mason believed the Internet had potential to change how people discover and buy from local businesses. That’s when Andrew Mason came up with the excellent concept for Groupon. “Part of Groupon’s success is the simplicity of its business model…” (Kerin & Hartley, p. 110) Groupon offers “Deal of the Day” coupons from local and nationwide
Groupon, Inc. (“Groupon”) is a company that specializes in local commerce. It has relationships with companies on a global scale and alerts consumers on the hottest deals with respect to shopping for various products, travel destinations, and popular spots, goods and services that a city has to offer. The stock ticker for the company on the NASDAQ exchange is “GRPN.” The company is listed under the sector ‘Technology’ and industry ‘Internet Information Providers.’ It started off as ‘ThePoint.com, Inc.’ but in October 2008 it changed its name to ‘Groupon, Inc.” Groupon was founded in 2008 by the now ousted CEO Andrew Mason. The current CEO is Eric Lefkofsky who initially invested $1,000,000 toward the development of the company. The Chief
Groupon did not invent the daily deal website; however, they introduced the concept of using the group buying power of online shoppers to receive substantial discounts from local merchants. Their model has been easy to replicate, which has lead to many clones operating in the same market as
The three problematic areas that Groupon will face in its future are use and repeat purchases, managing its growth, and high levels of competition. For some of us we by our coupons months in advance and forget to use them which often leaves us dissatisfied about the purchase. Still with its lack of customer loyalty new subscribers are flocking to the website, which has created a demand for continuous expansion of the company’s infrastructure as well as goods and services that it offers. Moreover, the inundation of mobile devices has created some competition. Now anyone with a smartphone can save money on the spot. This has leveraged the competition against Groupon. For example will shopping at Kohls I used a 20% off coupon I found on my phone
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").
Groupon is a real deal industry that operates within the Electronic commerce also referred to as e-commerce is a module of business that employs computer networks, namely the internet to trade and to sell and buy. At its essence it is an industry that uses technology and the internet to conduct business. Moreover, the e-commerce industry may employ online shopping where customers can use internet access to shop and trade between businesses or between customers and businesses. Groupon is a geographically diversified publicly traded company that operates based off of the ecommerce sale of the day model. This industry business model caters to customers shopping for deals and employs the means of using marketing, and cost saving strategies to entice potential clients by offering discounted coupons to potential clients for savings at various groups. There are discretionary concerns that are notably present for companies that operate in this industry, namely the fact that in a weak economic environment people are less likely to spend money on memberships at clubs and eating out at premier places.
Groupon is an advertising platform that is largely geared towards serving local markets. Businesses can use Groupon to promote their own discounts (vouchers) for services and products. Groupon helps facilitate connections between businesses looking for customers and customers looking for deals.
The five-stage purchase decision process for a typical Groupon user would consist of Problem Recognition: This would be prompted by a Groupon
As a group, we have chosen to examine and report on Groupon and relevant information on the marketing strategies and efforts employed by the organization, as well as the ethics and social responsibility related to Groupon’s marketing. Groupon’s mission statement according to their letter to shareholders is “To become the operating system of local commerce.” Groupon has stumbled and disappointed users of their services because of rapid growth. Instead of focusing on growth, Groupon must listen to their stakeholders and improve relations with the customers-both merchants and consumers, as well as investors of the organization. We want to evaluate the company’s objectives, goals, marketing strategy, marketing mix, as well as
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 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.
I believe that Groupon has become successful for many different reasons. First of all, Groupon was the first to transport the traditional “Coupon clipping” to the online world. This opened many opportunities. It was something new, exciting to consumers that they hadn´t seen in this way. So Groupon had a first mover advantage even though they only connected already existing ideas and technologies in a new way. By being online Groupon could reach many, possibly millions, of people at once. This was a strong argument when Groupon talked to local merchants. As most of these merchants did not have an extensive marketing budget and were not necessarily familiar with new