The Rise of Groupon

The Rise of Groupon

Slide1 (4)If you’re a financially savvy young person, you’ve likely heard of Groupon, a service launched five years designed to offer deep discounts on goods and services. Much like a gift certificate, the Groupon is purchased in advance and offers something like $20 worth of food for a $10 purchase price.

As Groupon celebrates its five year anniversary, users might notice a website and mobile app redesign that try to draw attention to recent features that Groupon offers in addition to the daily deals they’ve become known for. These features include Groupon Reserve (premium restaurant dining) and Groupon Goods. Groupon is also making a stronger push toward user personalization that includes registering for profiles so that Groupon may make offers more local.

The Q3 earnings reported by Groupon indicate that the business is good, and changing to a wider marketplace in which location-based and mobile commerce are key. The company reported $595.1 million in revenue and announced the takeover of Ticket Monster, a Korean company that does essentially the same thing. Overall, the Groupon customer base continues to grow, up 10% from last year, now around 43.5 million.

Interestingly, more than half of all transactions Groupon experiences are by way of mobile device in North America, hovering around 40% nationwide. 60 million people have downloaded the mobile app, and 9 million of those have been in the last quarter. The trend reflects a trend that is happening nationwide—a shift to a more mobile world.

Experts have long been expecting such a transition in a time so driven by technology, especially given the recent unveiling of mobile devices capable of using biometric technology to scan a fingerprint. If you’re like Jason Hartman, this shift is a positive one for you. If you’re more hesitant about technology, rest assured—companies are more dedicated than ever to building a secure mobile marketplace for your shopping convenience. If you resist because you’re uncomfortable with the technology, unless you decide to live off the grid, you’re eventually going to have to adapt.

For the rest of us, why not celebrate the opportunity to build wealth by saving money with services like Groupon? Even better, we can do it from wherever is convenient, utilizing the mobile devices we’re undoubtedly attached to anyway.

Are there other services you use on your mobile device to save money or gain access to luxury items you might otherwise live without? Feel free to share them below!(

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The Young Wealth Team