June 6, 2011
Back in January everyone seemed to think that Groupon was going to be bought by Google. When the deal turned south and Groupon apparently walked away from a proported $6 Billion (yes, with a B!) takeover offer, Google’s developers apparently started working overtime. Just last week Google launched a beta version of Google Offers inPortlandand more cities are expected to follow soon withNew York,San Francisco, andSeattleon the list.
Since Google had already shown interest in getting into the daily deal game, it should come as no big surprise that with Groupon’s rejection and Living Social taking $175 Million investment from Amazon they’ve decided to strike out on their own. The interesting part of Google Offers is that in addition to relying on a strong subscriber base, the local daily deals will also be advertised via Google’s wide ranging ad network. Otherwise the setup is basically the same in terms of offering subscribers a discount on services as a means to gain traffic.
Whether these sites do provide small businesses with increased traffic is another post entirely. I’ve got some thoughts brewing about a more complete look at daily deal sites and the impact, both positive and negative, it can have on food businesses so look for that in the future. In the meantime, if you’re interested in learning more about Google Offers you can read more about it here.