Tuesday, November 5, 2013

Why You Can't Resist Daily Deals

Top 10 High Tech Companies To Watch In Right Now

CHICAGO, IL - JUNE 10: The Groupon logo is displayed in the lobby of the company's international headquarters on June 10, 2011 in Chicago, Illinois. Groupon, a local e-commerce marketplace that connects merchants and consumers by offering goods and services at a discount, announced June 2 that it had filed with the Securities and Exchange Commission for a proposed initial public offering of its Class A common stock. The company, launched in Chicago in November 2008 now markets products and services in 43 countries around the world. (Photo by Scott Olson/Getty Images)Scott Olson/Getty Images And you thought Groupon was dead. Turns out that daily deals are hip again, and for good reason. According to research firm BIA/Kelsey, spending on daily deals is expected to rise 23 percent in 2013, with further growth coming in at a 19.8 percent annual clip through 2016. At that point, we'll be spending $5.5 billion on flash sales and insta-deals. No wonder shares of Groupon (GRPN) have nearly doubled year to date. The deal deliverer accounted for $2.3 billion in revenue last year, or 64 percent of what remains a surprisingly vast and vibrant market. Privately held peer LivingSocial reported $536 million in 2012 revenue. Why so much growth when Groupon fired co-founder and former CEO Andrew Mason over performance issues barely six months ago?

Posted by at

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)