The Power of Online Group Buying

April 22, 2010 · Posted by Antonella Pannizzo · 0 Comments · Trackback Url

There is no doubt that consumers try to find the best deal possible. A new website promotes just that through the power of “group buying”; it’s called Groupon and is said to be the next big web trend. Groupon refers to its service as “collective buying power.”   The concept is simple, if a minimum number of people sign up for the daily deal then they will receive the discount. If the minimum is not met, no one receives the deal. If the minimum number is reached by the end of the day, a gift certificate will be sent to each customer to print or to redeem on their iPhone.  Groupon is available throughout most US cities and continues to grow by adding new cities every week. It has recently expanded into the Canadian market by adding Toronto and Vancouver offers.
 
 

Is group buying here to stay?  According to Mashable’s Pete Cashmore “It’s a hot market we should have seen coming.”   Through the power of social networking we are able to interact with each other and Groupon has used this platform to offer something different. With its recent funding ($135 million to be exact), it is anticipated that Groupon will continue to grow.
 
 
Source: Group Buying: A billion dollar web trend? By Pete Cashmore, Mashable
 
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