Good ideas and conversation. No ads, no tracking. Login or Take a Tour!
kleinbl00 · 4771 days ago · link · · parent · post: Groupon has spent about as much on advertising this year as Visa and Time Warner Cable.
Well, I understand the theory. You'll notice that Groupon tends to favor food and service industries. They've always been coupon-based - free breadsticks with order, buy one entree get one free, etc. They usually come in your junk mail. Get someone to try a new restaurant and if they like it, they're likely to keep coming back.
Same with services. How many massages do you need? Well, if your insurance covers it, sometimes two a week. Even if you don't, some people will treat themselves to a massage every week. Mani/pedi? Same deal. Thing is, though, this business model is covered quite nicely by junk mail. As far as I'm concerned, Groupon - even more than Facebook - is an example of the dotcom bubble reinflating. This shit can't continue.