Buy network LivingSocial traffic over Groupon did not turn into revenue

March 10, 2017 0 Comments

August 26th news, according to foreign media reports, the largest group to buy Groupon LivingSocial network traffic has exceeded Groupon. According to the U.S. Internet traffic monitoring agency ComScore data show that the largest Groupon clone LivingSocial independent access to more than Groupon.

but don’t be fooled, this does not mean that LivingSocial has become the largest buy site, because the site’s revenue is still relatively small. But as a buy site, the current traffic is impressive. So there are two new questions: why is the big LivingSocial traffic but less revenue? The gap between the 2


why big flow for high income? The most important thing is that people go to buy the network is mainly based on two reasons: they like today’s products and plans to buy; or accidentally click on an ad. Groupon and LivingSocial form of the same, and the transaction price is not much difference between, so flow gap just shows there are other reasons:

· advertising. LivingSocial 19% traffic from eVite, where there is a buy site advertising. As an e-commerce site, LivingSocial does not translate into real traffic.

· LivingSocial provides "365 things to do" list in each market, which brings a lot of non sales driven access.

· these numbers are primarily for American visitors, and Groupon is active in many non US cities.

Groupon how much better than competitors LivingSocial CEO Tim O’Shaughnessy said the income gap between the two sides is far less than people imagine". LivingSocial financing $39 million last spring, Tim said revenue this year is expected to exceed $100 million.

but Groupon CEO Andrew Mason recently said in an interview with CNBC that his company is much bigger than its competitors. And he said that the Groupon revenue will be more than 3 times the LivingSocial this is very confident.

can see that Groupon is not worried about the loss of dominance, but the two companies are growing rapidly, it is certain that LivingSocial will develop very well.

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