Direct Line Blog

Groupon thinks big

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A Gap offer might have crashed Groupon's servers August 19. Just don't expect the deal-of-the-day website to shy away from providing discounts for national chains again.

In the past, Groupon has offered coupons to local businesses. But the company is beginning a shift to selling the occasional national deal as well, according to Reuters.

It's no wonder why.

More than 440,000 Groupon subscribers purchased offers for $50 of Gap merchandise for $25. At one point, the site was selling 534 offers a minute.

When you do the math, the campaign generated $11 million. This for a company that earned $35 million in gross revenue all last year.

They should probably reinvest some of their money in increased server capacity.

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