

Ask HN: Should Groupon Sell? - AtTheLast

or should they try to build something special on their own? I'm curious what HN thinks?
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grandalf
I think that selling at a $6B valuation makes complete sense.

It seems to me that if 40-50% off coupons were the magic key to retail
success, they'd have been discovered by retailers already.

Groupon's coupons have already been getting worse... more of the "Get $50
worth of x for $25" which is not all that compelling if the overall purchase
will be $100+.

Groupon has done a brilliant job of marketing, but I don't think it's
sustainable as is. Groupon clearly has a superb sales team and genius
marketing, but if I were an investor I'd want to cash out now, even at a $1B
valuation.

~~~
AtTheLast
I think it makes a lot of sense as an investor to cash out with such a high
valuation. Especially if this is a bubble that ends up bursting the in next
few years.

However part of me wonders if this isn't a bubble, what will Groupon look like
and be worth in 5 years.

~~~
grandalf
True. It is possible. I'd make the following points against it:

\- Facebook knows where you live too.

\- Yelp is also copying groupon..

\- There would seem to be little chance that the deals could remain all that
great for long, especially if they don't lead to repeat business and loyal
customers.

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Skywing
For that amount of money, I'd go ahead and sell. I'd then look for new
projects to move into.

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wwortiz
Sell, before their personal bubble bursts.

