Deal Me In

Yipit’s Vinny Vacanti On the Problems Plaguing the Daily Deals Market

Mr. Vacanti

When we saw Groupon’s amended filing this morning pledging to stop squandering funds on marketing–since, you know, it didn’t actually get them new users anymore–we knew just who to hit up for some perspective: Vinicius Vacanti, co-founder and CEO of Yipit, the daily deals aggregation and recommendation engine, whose company has been supplying the data on the industry trends inside the market. Thankfully the star of the small screen had some time to gChat.

He talked to Betabeat about when the window to profitably acquire new users from online marketing closed, why fears of a daily deals bubble may themselves be inflated, and the key to giving the Internet coupon fad some legs. Read More

Deal With It

Groupon’s Business is Decaying in its Established Markets

groupon boston

The following is an in-depth analysis of Groupon’s business in one of its oldest markets, Boston, by the folks at daily deal aggregator Yipit.

The entire piece is worth reading, but for the TL;DR crowd, here is the breakdown. Groupon’s costs to acquire customers is skyrocketing, while its revenue per customer is plummeting. Along with shrinking margins and a lower number of Groupon’s sold per deal, Yipit sees serious warning signs in the company’s financials. Read More