Slideshow: Dealt a Bad Hand?
Groupon has had a heck of a ride in 2011 (as has the whole daily deals business). It kicked off the year with a mega-round at a mega-valuation, and thanks to investors’ interest, some secondary market hype and an alphabet’s worth of clones, Andrew Mason’s daily deals titan rode a wave of investor euphoria all the way to a $20 billion valuation. But as it reached that crest, things started to head south. And, sideways. The daily deals industry has inflated to a phenomenal size, but no one knows what it precisely threatens to do with all its clout. Three months ago, consumers said they felt inundated through their inbox with daily deals offerings—which means that, as the industry goes from e-mail to mobile phone, competitors will have to keep up with the trend shift or get left behind. Already, some players in the space (some notable recent entrants, to boot) have felt the pains of a growing industry. What’s next….
