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Groupon Starts China Service; Tencent, Alibaba's Jack Ma Among Investors. Advertising - Using Cash to Entice Consumers in Hard Times. Green, that is, as in greenbacks, bucks, samoleans, moolah, lucre, bread, lettuce or dough. Contests and sweepstakes with large cash prizes are becoming more popular among marketers and media companies that seek to capture the attention of consumers who are still worried about the economy. The trend began soon after the start of the recession in late 2007 and a year later had attracted the likes of Frito-Lay, and . The jackpots seem to have grown since then, as evidenced by a recent contest sponsored by the SoBe Lifewater line of beverages sold by a unit of . The contest, centered on the men’s national college basketball tournament, offered a first prize of $9 million — paid out over 40 years, but still, $9 million.

Another seven-figure sum is being dangled in the Reese’s Loves You Back sweepstakes, sponsored by the Reese’s candy brand sold by the . Product wrappers and a Web site (reeses.com/lovesyouback) proclaim that there are “$2 million in cash prizes available!” Mr. Is Groupon Good for a Small Business? Do the Math. The Groupon Promise « Groublogpon – The Serious Blog of Groupon. I’m frequently asked how Groupon chooses which businesses to feature. Variety is obviously important—part of what makes Groupon fun is the mix of business types and neighborhoods. And of course, we make sure we’re offering the best price out there.

But most importantly, we focus on quality. We’re extremely proud of the fact that our customers discover and try new things simply because they’re featured on Groupon. Now, that last paragraph is usually the type of empty marketing BS that I loathe about companies, because anyone can get away with claiming it. First, we have a public discussion board for every deal. Second, we have _The Groupon Promise_: if Groupon ever lets you down, we’ll return your purchase—simple as that. So, couldn’t someone just have magical Groupon experience after magical Groupon experience and still demand refunds, claiming that something awful happened and exploiting our policy? Groupon in Japan Faces Growing Pains. Recently, a discount for eyelash extensions that a tiny beauty salon here offered through Groupon generated enough business to keep the salon’s staff booked through May.

Groupon, which has confidently spurned a $6 billion takeover offer from , is not just a phenomenon in America. The deal-sharing service has found fertile ground in Japan, catching on even in places like Niigata that typically go unexplored by foreign corporations. But if Groupon’s rapid rise in this country indicates the universal appeal of a good deal — 5.6 million people in Japan used Groupon in November — the young company’s performance is also exposing the difficulties of its simultaneous expansion at home and overseas. The debacle prompted Groupon’s founder, Andrew Mason, to post a video apology on the Japanese version of the site, acknowledging that “we really messed up.” By many measures, the two-year-old company’s international introduction has been a resounding success.

And he defended Groupon’s fast growth. Eric Lefkofsky, Groupon Backer, on Why Social Media Is Hot. Groupon's Online Coupon Users Overwhelm Stores. When Philz Coffee Inc. offered half- price $20 gift cards to users of the Groupon coupon site, the San Francisco-based chain of coffee shops figured it would get a few hundred takers. It got more than 2,000. “I nowhere near projected the amount of people that showed up,” said Philz President Jacob Jaber, who doesn’t expect to offer that kind of deal again. “We ran out of gift cards, and we just weren’t prepared for it.” Philz’s plight spotlights a challenge facing Groupon Inc., which offers a daily deal to consumers in more than 140 cities. The site’s coupon-wielding hordes can overwhelm small businesses, rankling partners and customers alike.

Overcoming those glitches will be key to helping Groupon maintain growth, hang on to its $1.35 billion valuation and possibly move toward an initial public offering. Last month, the company got $135 million in funding from Digital Sky Technologies, the Russian investment firm that also owns a piece of Facebook Inc. Close Open ‘Going to Be Crazy’