Founders Repurchase DailyDeal from Google as Future of Online Coupon Sector Is Scrutinized by Analysts

By

The founders of DailyDeal have repurchased the company from Google about one-and-a-half years after they sold it to the huge U.S.-based company.

Fabian and Ferry Heilemann, who are brothers, founded the online coupon business in Berlin in 2009. Google acquired the company in 2011, and had wanted the company to boost its Google Offers unit and to be more competitive with such rivals as Groupon in locations such as Europe, news reports said.

But the daily deal sector is less promising than it once was, and Google was even thinking of closing the DailyDeal unit down, news reports allege.

The founders – happy to get the company back – expect to expand the company starting this year, according to news reports. It already operates in Austria, Germany and Switzerland. They will keep on focusing on coupons, but are also hinting at adding other business models.

“We are pleased to inform you today that we as founders and managing directors have bought the company DailyDeal back from Google and will now continue to lead it on our own,” the brothers said in an online statement quoted in English translation by CNET. “DailyDeal will of course continue to offer the same service and exciting offers – exactly as we have done in the past. In addition, we will expand the business in the coming months. In the name of the DailyDeal team we thank all of our users, business partners and colleagues for their loyalty and support over the last three years. We are very much looking forward to what lies ahead of us!”

Last year, TechZone360 was noting how the daily deals sector doesn’t always add to increased revenue. But daily-deal “marketing is a new way for small, local places of business to garner interest and awareness. … The daily deal market is a hot one when it comes to getting attention and marketing.”

Meanwhile, to get a better idea about the future of the entire daily deal sector, Groupon is being watched by analysts. The Chicago Business Journal is reporting that Groupon will report earnings on Wednesday.

The Chicago Sun-Times reported, too, that many of Groupon’s “biggest competitors appear to be doing worse” than Groupon, “especially LivingSocial, which recently received a much-needed round of funding that was quickly labeled a desperate act of a dying company.”




Edited by Rich Steeves
Get stories like this delivered straight to your inbox. [Free eNews Subscription]

TechZone360 Contributor

SHARE THIS ARTICLE
Related Articles

What Is Attribute Based Access Control?

By: Contributing Writer    12/5/2023

Attribute-Based Access Control (ABAC) represents a paradigm shift in managing access rights within complex and dynamic IT environments. Unlike traditi…

Read More

Raising Value: The Strategic Gains of Embracing Bundled Result

By: Contributing Writer    12/4/2023

Where the concept of value is not just a price tag but a carefully crafted now. In a world brimming with options, the art of planned bundling has aris…

Read More

Tech Innovation in iGaming

By: Contributing Writer    11/29/2023

iGaming is one of the fastest growing industries on the internet. For those who may not be aware, iGaming refers to online casinos, online slots, poke…

Read More

8 Underrated Features of Your Mobile Device You Probably Didn't Know About

By: Contributing Writer    11/21/2023

It is easy to get lost in all the new phone releases when multiple happen yearly. Consequently, most new functions go unnoticed because people do not …

Read More

Navigating the Launch: A Step-by-Step Guide to Bringing Your Product to Market

By: Contributing Writer    11/15/2023

Embarking on the journey to bring a new product into the marketplace is an exhilarating adventure that blends the thrill of innovation with the meticu…

Read More