11 Ways Groupon's IPO Could Benefit You

03.06.2011

More national deals. Nationwide offers aren't as profitable for Groupon, but they rope in new customers. Groupon's first national deal, a half-off coupon for the Gap in August 2010, sold 433,000 copies, of which 200,000 were the buyer's first Groupon purchase.

Offers by category, not location. Deal Channels, another program in test, aggregates deals into categories. Right now the channels include home and garden deals, and event tickets and travel deals.

Relationship marketing. Says the prospectus: "Consumers will use Groupon not only as a discovery tool for local merchants, but also as an ongoing connection point to their favorite merchants."

More overseas deals. Groupon bought CityDeals Europe about a year ago to get into the international business, and now more than half of Groupon's revenue comes from overseas. If you're heading to London, Tokyo or one of Groupon's 42 foreign markets this summer, you should be checking those cities' Groupon feeds for places and experiences you want to include.

More Groupon deals in targeted search results. Online marketing makes up most of Groupon's subscriber acquisition costs, which ran $241.5 million in 2010 and $179.9 million in the first quarter of 2011. With a newly renewed war chest, you will see their brand approximately everywhere.