Google (GOOG) just offered a ridiculous amount of money for Groupon. Google which pioneered targeted search driven advertising had originally promised advertisers that they can find the interested consumer who will buy. Groupon is locally based but still old school mass marketing. For a while I subscribed to Groupon in my own major metropolitan area. I despaired when I received several ads for spa treatments and acrylic nails. I don’t care what the discount was. I am not in that market.
Google just spent billions of dollars to annoy me and other potential consumers with desperate ads for products that are not on my radar.
Disclosure: George Gutowski writes from a caveat emptor perspective. I do not hold positions in stocks mentioned in this post.
- Analysts: $6B for Groupon a Bad Deal for Google (pcworld.com)
- Creative Joke: Groupon for Groupon (mymodernmet.com)
- Groupon Grows More Valuable: After Google Offer, Expansion Plan Launched (dailyfinance.com)
- No Groupon Discount for Google (online.wsj.com)
- Groupon’s Board Is Meeting Wednesday To Decide Whether To Take Google’s $6 Billion Offer (businessinsider.com)