

How Groupon hurts loyal customers - javierarce
http://www.annehelmond.nl/2011/03/10/how-groupon-hurts-loyal-customers/

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jakegottlieb
The article mentions "Another friend was skeptical about the concept because
how can you keep up the quality if you offer the same deal for 1/2 price."
It's not half price but rather a quarter of the price; Groupon takes a cut.
Even though it looks great to the business to get started with these
promotions, a lot of businesses are losing money from them. You have to put
this into perspective with many of the traditional ways of advertising - cost
to conversion for mailers, T.V. ads, etc... (you also have to consider how
many of these customers return). It may turn out that Groupon is not the best
solution, but I guess it depends on the business model...

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teksquisite
It is not just Groupon that hurts customers. When another partner website
jacks up prices - they are also accountable. How do I know this? I spent one
day (I chose it as my final working day)working Groupon complaints at a
company where the pricing on the company portal Groupon page was jacked.

