Kevin Kuo
Long only, Deep Value, value, Growth

Why Groupon Can Soar Like Priceline.com

Groupon's (NASDAQ:GRPN) CEO Eric Lefkofsky has on numerous occasions made a comparison to the growth trajectory of Booking.com, acquired by Priceline (NASDAQ:PCLN) in 2005. When hard pressed to explain the vision and endgame of Groupon's local marketplace, Lefkofsky points to the many years Booking.com spent building their inventory of hotels, empowering them to focus their efforts on converting visitors to their site into hotel bookings once they reached critical mass.

Booking.com was founded in the Netherlands in 1996 and acquired for $133 million nine years later. The rapid growth of Priceline from the mid 2000s is largely the result of Booking.com's stellar growth. This Fortune.com article is an insightful read on how Booking.com turned Priceline's barely...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
FREESA PRO MEMBERS
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
PRO Top long ideas returned 21.7% in 2016**
"As a PRO member, we get uniquely valuable perspective that go beyond our quantiative analysis... We rely on PRO to get beyond the numbers quickly and add much needed perspective. It keeps me ahead of the next big thing. - Mark Choate, Malaga Cove Capital"
Mark Choate, Malaga Cove Capital
"Contributors (writers and commentators), often have a long history in the secuirities they opine on and some are clearly well positioned industry participants with detailed industry views that can help provide color on where the skeletons are buried in a particular secuirity and/or industry."
Jim Roumell, Roumell Asset Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details