How Groupon is Losing $1,117,808 Every Single Day
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How Groupon is Losing $1,117,808 Every Single Day
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Re: How Groupon is Losing $1,117,808 Every Single Day
#2The title here seems a bit sensationalist. I was expecting to read a story about how Groupon is bleeding a million per day. Instead, this is an article about how one company's analysis has concluded that they could be making $1,117,808 more per day.
A missed profit is not a loss. It's a missed opportunity, sure, but I don't think calling it a loss is appropriate.
Re: How Groupon is Losing $1,117,808 Every Single Day
#3Interesting article, when I read the headline my thoughts were: What about Living Social the company that Amazon has written off as a dead investment that cant IPO and will be gone well before Groupon?
There is a lot Groupon can do to perform and the huge war chest they built from the IPO has given them a great runway to do so.
Re: How Groupon is Losing $1,117,808 Every Single Day
#4The title here seems a bit sensationalist. I was expecting to read a story about how Groupon is bleeding a million per day. Instead, this is an article about how one company's analysis has concluded that they could be making $1,117,808 more per day. A missed profit is not a loss. It's a missed opportunity, sure, but I don't think calling it a loss is appropriate.
Drake - you're right it is a bit misleading, because I would equate a loss as more from marketing, waste, or mismanagement. Yet, I'd also equate missing out an opportunity as a loss as well, albeit not in the traditional sense.
Re: How Groupon is Losing $1,117,808 Every Single Day
#5The title here seems a bit sensationalist. I was expecting to read a story about how Groupon is bleeding a million per day. Instead, this is an article about how one company's analysis has concluded that they could be making $1,117,808 more per day. A missed profit is not a loss. It's a missed opportunity, sure, but I don't think calling it a loss is appropriate.
Totally agree, I was expecting the usual bash Groupon and daily deals article.
Cant wait to see where they are in 2 or 3 years
Re: How Groupon is Losing $1,117,808 Every Single Day
#6The title here seems a bit sensationalist. I was expecting to read a story about how Groupon is bleeding a million per day. Instead, this is an article about how one company's analysis has concluded that they could be making $1,117,808 more per day. A missed profit is not a loss. It's a missed opportunity, sure, but I don't think calling it a loss is appropriate.
I agree that "A missed profit is not a loss."
For example, Amazon is in my opinion a company that doesn't focus on increasing profits, especially in product areas where they are trying to push out competitors. Groupon could be artificially holding their price low to force out competitors.
Re: How Groupon is Losing $1,117,808 Every Single Day
#7are you sure people would have actually bought at the higher prices? The Groupon revenue is from actual sales, your data is from asking people.
People often say they pay a lot more than they actually will press the "buy" button for.
Re: How Groupon is Losing $1,117,808 Every Single Day
#8Interesting article, when I read the headline my thoughts were: What about Living Social the company that Amazon has written off as a dead investment that cant IPO and will be gone well before Groupon? There is a lot Groupon can do to perform and the huge war chest they built from the IPO has given them a great runway to do so.
Living Social probably runs into the same exact problems, but we'd have to test Living Social users specifically. What's interesting is that in the qualitative research, we found merchants speaking favorably about Living Social vs. about Groupon. Customers seemed to be a bit more affluent, as well, almost indicating that a lot of "BuyWithMe" users switched over to LS, instead of focusing on Gilt deals.
I think this shows I've read too much about daily deals.
Re: How Groupon is Losing $1,117,808 Every Single Day
#9This seems like a spammy advertorial to me. There is nothing in the article to back up any of their sensationalist claims.
As far as I can tell, they ask customers how much they would pay, and draw a pretty graph of that. What evidence do they have that people's responses to price questions are an accurate indicator of what they would actually spend? What have they done to address selection bias?
Re: How Groupon is Losing $1,117,808 Every Single Day
#10Interesting analysis; However, how does one factor in sensitivity in this analysis? Wouldn't one want to know how the demand will be affected if the price is increased?