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Two numbers. In my mind that is all what is needed to determine if Groupon is the next Amazon, or if their business model is sustainable; and they are far more
by nsimplex 15y ago
Two numbers. In my mind that is all what is needed to determine if Groupon is the next Amazon, or if their business model is sustainable; and they are far more telling than the silly financial metrics they were throwing around:
1 - % repeat customers.
2 - % merchants who would like to repeat.
I have seen people try to guesstimate them from the financials, or throw around wild guesses based on a sample of anecdotal evidence. Nothing convincing so far.
Also Groupon and other daily deal did publish some of these in the heydays of daily deals, but no continuous updates (I think the most recent claim by Groupon was early this year)
I am sure Groupon keeps a close watch on these metrics, why aren't they releasing it? That in itself is very telling...
Edit: formatting.