Google faces off with Groupon with Google Offers

Google’s much-publicized jilting by Groupon over a $6 billion buyout offer might have ticked the search giant off. Mashable reports that Google will take its own swings at the online discount market. With Google Offers, it seems that the internet coupon industry is about to explode. Hopefully Groupon does not get stuck taking out payday cash advance loans just to stay in enterprise.

The start of Google Offers helps customers out

Bargain buying is the name of the game with Google Offers, and consumers who have shown that they’ll eat up 50 percent off discounts at internet coupon corporations like Groupon and LivingSocial are sure to find more of what they love with Google. The company already has a huge reach of access. That means it should not be difficult to get business promotion locally. Over $1 million a day is made by Living Social supposedly. At the same time, Groupon is on its way to a possible $15 billion IPO valuation while, in history, may be the largest ever. Google is sure to make a ton of money with an internet discount business.

Imitating Groupon's business

Seeing as the Groupon layout has been very successful with customers, it makes sense that Google Offers would have the exact same kind of Groupon layout, reports Mashable. Checkout, Analytics and networks are all things Google has that will help Google Offers to do just fine though. Then there’s that ubiquitous brand name. There is power in just saying the name "Google".

Part of Google Offers is pre-paid

According to MSNBC, Google Offers will operate on a pre-paid system that will require no additional out-of-pocket expense for a small company to enjoy local promotion. After that, companies only have to pay if a customer buys the internet coupon offer, which is a handy tool for local business promotion. Mashable’s Ben Parr explains the Google Offers system this way:

“Google will pay out 80 percent of a business’ revenue share three days after its deal runs. Google will hold the remaining 20 percent for 60 days to cover refunds before sending the rest."

Articles cited

Mashable

mashable.com/2011/01/21/google-offers-groupon/

MSNBC

technolog.msnbc.msn.com/_news/2011/01/21/5891547-more-deal-duels-as-google-offers-takes-on-groupon

Financial News Network coverage of Google Offers

youtube.com/watch?v=gg4S5Qqo8No