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Groupon's (GRPN) Q/Q revenue growth over the last 6 quarters, per Scott Austin: 72%, 97%, 10%,...

Groupon's (GRPN) Q/Q revenue growth over the last 6 quarters, per Scott Austin: 72%, 97%, 10%, 14%, 14%, 2%. Y/Y billings growth, meanwhile, has fallen from 103% in Q1 to 39% in Q2, and active customer growth from 3.2M to 1.1M. Groupon blames the slowdown on European softness, which led international growth to fall by more than 2/3. Shares -18.2% AH and now down 69% from their IPO price. (CC webcast) (Q2 results) Update: More details here. Groupon claims a greater dependence on high-price discretionary deals in Europe played a role.
Comments (3)
  • Hugo31
    , contributor
    Comments (26) | Send Message
     
    It as nothing to do with Europe (hey, i am french :p) The problem is that Europe have a lot communications, and many many peoples noticed that the Daily Deal clam many promess, but many of theme are not respected, it becomes a popular saying here (in europe) to says in friends : "to bad, the restaurant you went last night was not good ?" Was it a Groupon ?" this is very common today ... So it became famous that Groupon is weeeeek ...

     

    As i already explained it in the past post, (hey, i was all right :p ), the problem with Groupon is that they drasticaly cut there advertising to be able to show up benefits on Q2. With a huge amount of unsatifyed customers & partners it is then absolutly normal and logical that they lost some income that was not renewed by advertising.

     

    As i anticipated this "positive" Q2, i can say today that Q3 will be bad, bad, bad, because there sales are very low dues to vacancy summer period in Europe (also russia) there income will be down of about 40%, this will be added to there very tight advertising cut to show up benefit in Q3 ...

     

    Q4 may be the end of Groupon's IPO adventure to my point of view ... Don't know how they will survive without the "snowball scam cash pump" that was the only IPO purpose for Groupon ...
    13 Aug 2012, 06:07 PM Reply Like
  • Prognoticator
    , contributor
    Comments (8) | Send Message
     
    Wow thanks for the European perspecitve. I'm putting GRPN in the same boat as ZNGA. Wait for them to go through the pain of creating a real sustainable "non-Faddy" business then will revisit.
    14 Aug 2012, 01:48 AM Reply Like
  • bfloat
    , contributor
    Comment (1) | Send Message
     
    Do you think now is a good time to buy??
    2 Nov 2012, 04:37 PM Reply Like
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