Monday, April 4, 2011

Groupon beware

Coming soon: Better Ads in Gmail - Gmail Help\

Google, and surely MSN but Yahoo! is likely to lame, will soon combine their "Places" service with their email users and offer daily deals. Google is typical fashion will likely automate the majority of the deal registration process and cut their percentage take which for most deal sights is 40-50% of the discounted price. What does Groupon have that Google does not? Google has more email address, most likely, more relationships with businesses, more brand equity, more engineers...all Google is missing is a sales force for the product, which will be less necessary that for a company without so many users, such brand equity, and experience automating, especially after the markets has been educated by Groupon.

Google's $6 billion offer for Groupon will start sounding sweet pretty soon.

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