When Groupon rejected the $6 billion buy out bid by Google, in hopes of making its very own IPO in near future, little did they realise Google’s intention. The idea Google had was to merge Groupon with its very own deals system, Google Offers.
With Groupon opting out of the merger, Google is sticking to its plan and moving ahead to launch Offers, a group buying service for potential customers to find great deals online in their region through a daily email.
Google Offers is said to look and function just as Groupon or LivingSocial does. Users will receive an e-mail with a local deal of the day and they will have the opportunity to buy that deal within a definite time limit. Once enough people have purchased, the Google Offer is set off and users get a deal. If you have been using Groupon all this sounds very familiar doesn’t it?
For business owners, Google is planning on paying the participating business an 80% share of the revenue three days after the deal runs, with the outstanding balance being held for a 60 day period to cover the refund claims.
The fact sheets below outlines Google Offers in a little more detail:
Apparently Google is already communicating with small businesses to sign up and participate in a test of a pre-paid offers/ program.
Google Offers will be powered by Google Checkout and will also include Facebook, Twitter, Google Reader, Google Buzz and e-mail sharing options. Seems Google’s leaving no stone unturned to make their presence felt and attract customers to their new service.
No date has been set for the launch of Google Offers yet, but I wonder if this news has Groupon a little worried?
Courtney is an online marketing and communications specialist at ineedhits - a leading search engine marketing firm with over 16 years experience. Courtney has been living and breathing online marketing for over 5 years. She specializes in web and communication marketing, while providing news and opinion to online marketing communities.