Author Topic: GRPN - Groupon  (Read 13915 times)

Liberty

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Re: GRPN - Groupon
« Reply #40 on: May 07, 2014, 11:28:56 AM »
Once GRPN stabilizes, I don't think it's business model is that different from QVC's and much more viable than ZNGA's.

I don't really see the similarities between groupon and QVC, apart from the fact that both are selling stuff without brick & mortar stores. Everything that makes QVC a good business with a moat and industry-leading margins is absent in Groupon, IMO.
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PatientCheetah

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Re: GRPN - Groupon
« Reply #41 on: May 07, 2014, 11:37:32 AM »
I don't know how old are you. But for people that are under 30s, they probably have their entire lives documented on FB, most of their photos, memories of friends, etc. It would be herculean task to move all of these memories to somewhere else. Since its free to use, they have very little incentive to move even if a competitor comes out with something better. One such notable failure is Google plus. All of this information that Facebook has is incredibly valuable to marketers, probably much more granular compare to what Google has. That's why FB can charge a million a day for ads and it has been raising prices. Similar to Google, FB will use its ever increasing cash flow and expensive stocks to make its moat stronger each year. Mark Zuckerberg is a student of Gates/Jobs/Page and he understands technology and monopoly. I have high conviction that he has enough vision to defend and increase FB's moat.   
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PatientCheetah

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Re: GRPN - Groupon
« Reply #42 on: May 07, 2014, 11:45:38 AM »
Once GRPN stabilizes, I don't think it's business model is that different from QVC's and much more viable than ZNGA's.

I don't really see the similarities between groupon and QVC, apart from the fact that both are selling stuff without brick & mortar stores. Everything that makes QVC a good business with a moat and industry-leading margins is absent in Groupon, IMO.

I like to hear both sides. Can you list what QVC has that GRPN lacks? I could be wrong but I think both has entered our cultural lexicons. Local group buying is synonymous with Groupon. The addressable market may not be as large as QVC's due to the finite supply of local deals. I think GRPN gets this and it is working hard to automate its processes and expanding into other related niches.
risk as little as possible until all the stars have aligned

Longer Term: FB MSFT BABA JD YRD

tombgrt

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Re: GRPN - Groupon
« Reply #43 on: May 07, 2014, 11:50:46 AM »
I don't know how old are you. But for people that are under 30s, they probably have their entire lives documented on FB, most of their photos, memories of friends, etc. It would be herculean task to move all of these memories to somewhere else. Since its free to use, they have very little incentive to move even if a competitor comes out with something better. One such notable failure is Google plus. All of this information that Facebook has is incredibly valuable to marketers, probably much more granular compare to what Google has. That's why FB can charge a million a day for ads and it has been raising prices. Similar to Google, FB will use its ever increasing cash flow and expensive stocks to make its moat stronger each year. Mark Zuckerberg is a student of Gates/Jobs/Page and he understands technology and monopoly. I have high conviction that he has enough vision to defend and increase FB's moat.   

I wouldn't mind seeing him succeed, it would be a great story of success. I should also add that I'm biased: I'm 24 and have never had a FB profile. Most of the pro's listed by people about FB are the exact reasons that I steer away.

PatientCheetah

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Re: GRPN - Groupon
« Reply #44 on: May 07, 2014, 11:55:45 AM »
I don't know how old are you. But for people that are under 30s, they probably have their entire lives documented on FB, most of their photos, memories of friends, etc. It would be herculean task to move all of these memories to somewhere else. Since its free to use, they have very little incentive to move even if a competitor comes out with something better. One such notable failure is Google plus. All of this information that Facebook has is incredibly valuable to marketers, probably much more granular compare to what Google has. That's why FB can charge a million a day for ads and it has been raising prices. Similar to Google, FB will use its ever increasing cash flow and expensive stocks to make its moat stronger each year. Mark Zuckerberg is a student of Gates/Jobs/Page and he understands technology and monopoly. I have high conviction that he has enough vision to defend and increase FB's moat.   

I wouldn't mind seeing him succeed, it would be a great story of success. I should also add that I'm biased: I'm 24 and have never had a FB profile. Most of the pro's listed by people about FB are the exact reasons that I steer away.

I guess its a cultural thing. If you went to an American college, everyone that you know would be on FB. Some of the highest rated television shows in the U.S. are reality TV shows. American and its close cultural counterparts love learning about frivolous details of other people's lives. FB provides such service.
risk as little as possible until all the stars have aligned

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tombgrt

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Re: GRPN - Groupon
« Reply #45 on: May 07, 2014, 11:58:52 AM »
Where the hell do you think Belgium is situated? :D J/k, it's pretty much the same here. I just choose not to participate. :)

Liberty

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Re: GRPN - Groupon
« Reply #46 on: May 07, 2014, 12:09:01 PM »
I like to hear both sides. Can you list what QVC has that GRPN lacks? I could be wrong but I think both has entered our cultural lexicons. Local group buying is synonymous with Groupon. The addressable market may not be as large as QVC's due to the finite supply of local deals. I think GRPN gets this and it is working hard to automate its processes and expanding into other related niches.

This post contains a decent primer on what makes QVC a good business:

http://oraclefromomaha.wordpress.com/2013/10/08/92/

(and it'll be even better when they merge with HSN; LINTA already owns 40% of HSN and controls it, but HSN sells at a much higher multiple than QVC despite being a worse operation (lower margins, no international growth), that's because QVC is hidden inside the LINTA mothership -- that's what the new tracker is doing, and once QVC trades at a more normal multiple, I expect them to merge and have even better economics).
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given2invest

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Re: GRPN - Groupon
« Reply #47 on: December 06, 2018, 09:55:06 AM »
I think GRPN is really interesting around $3.  Anyone else? 

Pretty good video at bottom of this link shows the bull story.   Also go read the latest quarterly letter to shareholders.

https://www.cnbc.com/2018/12/03/groupon-ceo-on-amc-partnership-transforming-platform-into-a-utility.html

heth247

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Re: GRPN - Groupon
« Reply #48 on: December 06, 2018, 07:44:18 PM »
I think GRPN is really interesting around $3.  Anyone else? 

Pretty good video at bottom of this link shows the bull story.   Also go read the latest quarterly letter to shareholders.

https://www.cnbc.com/2018/12/03/groupon-ceo-on-amc-partnership-transforming-platform-into-a-utility.html

Question is, when will their top line stabilizes, it keeps declining (although it is intended). Will "Groupon+" really be the silver bullet?

Lakesider

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Re: GRPN - Groupon
« Reply #49 on: December 07, 2018, 01:23:21 AM »
I used to use the occasional groupon a few years back... but fuck me did they become the most annoying company. Emails every day from 4 different groupons. Groupon goods, groupon restaurants, group on services...

The deals dont seem so good anymore, mostly they are trying to push tatty impulse purchases. If others like me they cut off all ties and never looked at it again.