What E-marketing Activities Does Groupon Undertake - Essay Example

Groupon undertake include: (1) encouraging members through easy registration and access to immediately avail of enticing offers; (2) being able to publicly announce the best deals from various merchants that could be availed at great discounts; (3) clear stipulation of time frames for the offers from merchants; (4) providing options for regular reminders through email correspondences on new offers and deals; (5) applying promotional strategies to subscribers through a referral system which enables availment of Groupon bucks (Bulygo & Metrics, 2012); (6) offering purchases for a friend which could enjoin more to attest and appreciate the benefits accorded by Groupon; and (7) entrenching more awareness to products and services offered by merchants through word-of-mouth and through social networking sites; among others. As emphasized by Sviokla (2009), the keys to enhanced customer satisfaction stem from Groupon’s ability to: “(1) make the interaction simple; (2) create a sense of urgency; (3) energize customers to enjoin others to join; and (4) make the experience a lot of fun” (p.1).

Based on the remarkable performance of Groupon as reviewed from their financial highlights, where it was revealed that “record billings growth this quarter is a clear signal that customers love Groupons," said Andrew Mason, CEO of Groupon” (Business Wire, 2013, par. 4). As such, the sustained financial success proves that the strategies applied by Groupon were effective and fitted well with the organization’s overall strategy. In addition, since there were a lot of other organizations that mimicked or replicated their business model (Richey, 2010), it, therefore, attests to the effectiveness of the strategy in achieving financial growth.