Groupon Case Summary

If consumers seem satisfied by using groupon, merchants or marketers have a mixed and confusing view about it. They are not satisfied and often happy and are even in financially profit default of accounting, as new customers are not synonymous with prospective customers probably because of the relationship to pricing and promotional offers offered by Groupon to its customers who are hunters of bargains with little interest in a lasting relationship with the provider, and the commercial terms of the contract. Groupon has always sought the volume, it is time to start looking for the qualitative. Groupon must offers tools for merchants to help them manage their business, and raise customer service because there is future in deals involving major

Groupon has to set up a sales team that will be specifically responsible for monitoring with merchants and that must verify all elements of the contracts. They must be in contact with the merchants in the launch of the deal, and the following days. The sales force compensation system must evolve to integrate components based on the "quality" of the deal. Groupon must establish a rescue strategy because for a deal that works well, the merchants are sometimes overwhelmed with requests that they are obliged to fulfill by contract. For evidence, many traders have called Groupon for help to find a solution but have not been satisfied by the expected support. Note that the merchants also have their responsibility involved as an unwelcome customer is necessarily binding on a mismanaged schedule. By experience, I believe many are also flexible because very often, the merchant accepts a coupon even if the time is exceeded. Some are scalded, and Groupon's competitors play the relational fiber against the ferocious commercial of the leader in the business industry. These operations can be profitable for the merchants and the customers in condition to adapt to the needs of the

The Daily Deal industry is a highly competitive industry. Groupon is confronted in its own industry that it has long been the master and the undisputed leader. All competitors in the industry come with their own concept and sometimes uses the same business model as Groupon. Whether or not innovative, Groupon and its competitors are on the same niche. Its biggest competitors are LivingSocial, Google offers, local Amazon and etc. which offer to customers their local areas daily deals through email. They also have longer operating experience with greater financial, technical, marketing, and other resources and larger customer bases than Groupon does (Pg.11-18). Other innovate by specializing in fashionable high-end offerings. The difficulty of the industry’s competition is related to the differentiation of rivals’ products because the main goal is to retain customers by offering them the best discounts, better quality, and the best choice of suppliers. With the development and diversity of websites such as Jewpon, Group Price, Google offers, Amazon Local, etc. that have a competitive advantage in the new technologies’ field, they offer very attractive coupons and allow customers to compare offers and choose the cheapest one. In this industry, it becomes almost impossible to retain customers in the current business model as frequent users simply choose the best deals regardless of the business that offer it. With the growing of new