Monday
Jun202011
Tippr’s Two Cents on Groupon’s IPO
Monday, June 20, 2011 at 12:59AM Simply put, Groupon is spending a lot more than it takes in. While their financials are not public, we can guess from LivingSocial’s massive media presence that their financials are similar. According to Groupon’s financials and our own experience with SEO, display ads, and an affiliate network, the cost of acquiring new customers is INCREASING. So, the obvious questions are: Is there a tipping point? Can any company find a way to make money in the daily deal business?
We believe YES.


Reader Comments (1)
Noblesville, IN Coupons - I've many times wondered about how much Groupon spends acquiring new customers in comparison to what it actually brings in. I'm sure the figures would be quite interesting.