Groupon buys Living Social
Remember when group buying was the hottest marketing tactic ever and Groupon and LivingSocial were duking it out at the top of the market?
And remember how the whole sector acquired a nasty whiff as vendors made it harder and harder to actually use those cheap restaurant/massage/extreme sports vouchers?
If you answered both of our questions in the affirmative it will come as no surprise that Groupon has just bought LivingSocial, which was once thought to be worth US$6bn or so. Nobody's saying how much cash will change hands but Groupon's shares dipped 22 per cent on news of a modest Q3 loss and the acquisition plan. Groupon's stock is up for the year to date, so the group buying sector isn't entirely on the nose. ®