Gary Cowan, SVP of product and marketing at Datasphere, has a word of advice for vendors considering using Groupon: Be careful.”Groupon is like giving a three-year-old a gun,” the executive said during a panel at the Street Fight Summit Tuesday morning. “It can be dangerous in the wrong hands.”
Of course, Datasphere competes with Groupon in some hyperlocal spaces, so it’s not as though Cowan is a totally unbiased observer. But his point was that vendors get limited revenue from the deals.
This is not a new issue, but it is an increasingly relevant one. Vendors need to be careful when the sign up with Groupon, Living Social, or any other daily deals site to know exactly what they are getting.
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