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2 years ago

What portion of sold coupon do sites like Groupon or LivingSocial take?

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brycemadd | 1 year, 11 months ago
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Groupon and LivingSocial charge retailers 50% of deal revenue + credit card processing fees. So if a restaurant sells a $100 gift certificate on Groupon for $50, Groupon takes $25 for each Groupon sold and the restaurant gets $25 (less credit card fees of 2% to 3%). Daily Deals are sold at a loss. Most retailers look at this loss as a marketing expense.
source(s):
http://techcrunch.com/2010/05/02/teardown-groupon/

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patrickdesroches | 1 year, 10 months ago
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I run a groupon clone site in Canada ( tuango.ca ). I confirm that site like us usualy take 50% of the sell price. If you consider regular advertising this kind of site is really cheap for business. We don't charge anything upfront. We are marketing them to tens of thousands of our subscribers. Only that part is worth a couple of thousands dollars.

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