Monday, October 25, 2010

The new partnership between Groupon and Ebay


          I am a frequent visitor of Groupon.com, and I do not if there is anyone familiar with this website. But I strongly recommend this site to you, especially to the “deals digger” you. According to the description of the web site itself, Groupon negotiates huge discounts on popular local goods, services and cultural events. Then it offers the deals to thousands of subscribers in a free daily email. The deals are activated only when a minimum number of people agree to buy. More exciting to me is that there is only one deal post every day.

          Now, Ebay aims on Groupon. Maybe Ebay considers this new style of group-buying discount business offer a big potential from market.  So, they made an agreement, which is about EBay shoppers who have signed up for the company’s loyalty program receive 5% of the purchase price back as eBay Bucks, which members can use toward purchases on eBay.

          EBay visitors who click on an advertised Groupon offer which directly connect to Groupon’s eBay store. And than they can select “buy now,” leading them to the Groupon .com to complete the transaction. Alternatively, Ebay’s royal customers could to “sign in” to earn eBay Bucks. That consumer then is sent to Groupon’s site to complete the coupon purchase. Just like other internet retailers, Groupon declines to disclose the financial terms of the arrangement. When working with small retailers, Groupon typically takes 50% of the purchase price of the Groupon offer.

 


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