Is the Groupon Bubble about to Burst?

Some good points and questions ... "According to The Wall Street Journal, demand for Groupon’s services is such that it has to reject 7 out of 8 pitches from local businesses, many of which turn to the growing number of competitors. There are also more fundamental problems from some retailers’ perspectives. Although Groupon’s model guarantees a certain number of customers, many businesses make the mistake of overestimating the value and proportion of customers making a return visit..." article at dailydealmedia.com

Some good points and questions ...

"According to The Wall Street Journal, demand for Groupon’s services is such that it has to reject 7 out of 8 pitches from local businesses, many of which turn to the growing number of competitors. There are also more fundamental problems from some retailers’ perspectives. Although Groupon’s model guarantees a certain number of customers, many businesses make the mistake of overestimating the value and proportion of customers making a return visit..."