Coupons – The Next Big Internet Business

Posted on

June 1st, 2011

by

Internet Coupon Marketing
Internet Coupon Marketing

Notable today on Mashable was an article by Ben Parr that “Google Executive Chairman Eric Schmidt has announced that the search giant will launch its Groupon competitor on Wednesday, starting with Portland.” It’s not surprising that Google announced a Groupon competitive product, after all, Groupon is expected to IPO at a multibillion valuation, which some say could be as high as $25 billion.

It was reported that Google will offer daily deals and coupon discounts from thousands of merchants. At the D9 Conference in Palos Verdes, Google demonstrated the company’s new product, highlighting a deal for $10 worth of Floyd’s coffee for only $3. Of course the only real surprise would have been if this announcement came as a surprise to anyone in the industry. Google attempted to acquire Groupon for a reported $6 billion last year.

Who would have thought internet based coupons would become such a big business. Then again, as the days of newspaper clipping coupons come to an end, this new spin on an old business does seem to make perfect sense. I signed up for Groupon recently, and though I have yet to actually use a coupon, I know many who have taken the plunge. Is Google the innovator now becoming Google the imitator? The Groupon concept seems like a good fit for Google, their sheer size should help them capitalize on some reasonable portion of the market. Regardless, coupons look like they are here to stay, another new internet spin on an old fashioned idea.