Groupon Goes For the Big Brands

Half Off at Gap 2014 Trash

Up to now Groupon has offered deals for local retailers and it’s been a boon to the niche businesses to get access to a bigger market. Even a tiny business can get a lot of bang for their buck out of a Groupon offer. With today’s offer from the Gap though, the game has shifted. Don’t get me wrong, I think it’s great for Groupon and it’s users, and I might even buy this one for my niece, but does it spell doom and gloom for the niche businesses it has served so well in the past?

It’s interesting that Groupon started to offer two coupons at once recently(see above) and we can hope that even if the main offer is a big brand that the little businesses will still be able to opt in to the service. Unlike their regular deals, the Gap deal is offered in a number of cities at the same time,

Rumors have it that Groupon is backed up with offers and that could be the big bottleneck to their growth since they only post one (now two) per day per city. If big brands start sucking up that premium space will there be room left for small business?

As companies like the Gap try on different social promotions like check ins on Foursquare group coupons Facebook and Twitter, it will be intrusting to see which they adopt.

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Janet Fouts

Here's an interesting take on this for the small biz from website magazine. How do you think it's going to affect small business and does Groupon care?


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