Groupon, Inc. (GRPN) announced its fourth quarter results for fiscal year 2013 (4QFY13) yesterday, just after the market closed. The online deals company reported better-than-expected revenues and earnings per share (EPS).
By Robert Jackson:OpenTable (OPEN) stopped its daily deal offers after concluding that fine dining restaurants are better served by real-time revenue management systems that restrict discounts to off-peak periods. OpenTable's rejection of Groupon (GRPN)-like offers may be a reasonable case study for problems that Groupon may face in other verticals.
Andrew Mason, the CEO of once fast-money favorite Groupon has been, umm, let go. With the shares trading 77% below their IPO price, dumping 25% today alone, the board has decided enough is enough. His witty letter to 'the People of Groupon' (in full below) starts, "After four and a half intense and wonderful years as CEO of Groupon, I’ve decided that I’d like to spend more time with my family. Just kidding – I was fired today. If you’re wondering why...
Before Groupon went public in 2011, expectations inside and outside of the company were that it would become the next eBay. Bankers suggested it could be a $30 billion company. It had one of those iconic, young tech CEOs in Andrew Mason. Mason, who would do things like mock TV interviewers with "funny" answers, infused Groupon with a zany culture.
Last November, in a post entitled “Numbers Behind Groupon’s Business Warrant Caution After First Day Pop”, I cautioned investors that the IPO of daily deal leader Groupon (GRPN) looked sky-high at the initial offer price of $20 per share, which valued the company at an astounding $13 billion:
After two very accurate calls on Groupon (GRPN) stock on this blog; bearish on the company’s $20 per share IPO in 2011 (Numbers Behind Groupon’s Business Warrant Caution After First Day Pop), and bullish last year as the stock was being priced like trash at $4.50 (Bubbl
Kid Dynamite submits:
The headline Friday night was "Groupon Said To Reject Google's Offer." Wowza. First, a little background for the uninformed: Groupon is a localized online coupon site. They solicit retailers in various metropolitan cities, inducing them to offer deals which Groupon markets to their audience of eager bargain hunters.