About a month ago, I remarked on Groupon’s explosive revenue growth (and its equally impressive cost growth). The company revised its financial results yesterday, and the revenue picture looks less explosive. In the latest update of its S-1 registration statement, Groupon reported $393 million in Q2 revenues. That’s a remarkable figure for such a young company but a far [...]
Posts Tagged ‘Internet’
Groupon’s Revenue Measure Shrinks More Than 50%
Posted in Business, Technology, tagged Accounting, Business, Groupon, Internet on September 24, 2011 | 3 Comments »
Groupon’s Explosive Growth Continues … As Do Its Losses
Posted in Business, Technology, tagged Business, Groupon, Internet on August 11, 2011 | 7 Comments »
Daily deal leader Groupon continues to grow its revenues at a jaw-dropping pace. According to its updated S-1 filing, the company sold $878 million in Groupons in the second quarter, ten times more than a year earlier: However, costs have been exploding too. Groupon spent almost $1 billion in Q2: Put it all together, and Groupon has been losing [...]
Groupon’s Explosive Growth
Posted in Business, Technology, tagged Business, Groupon, Internet on June 2, 2011 | 3 Comments »
We’ve all heard the rumors that Groupon is the fastest growing company ever. Today it finally opened its books in its preliminary filing to go public. Wow. In the first quarter of 2009, the online deal company mustered only a quarter of million in revenue. In the first quarter of 2011, it brought in almost $650 million. Wow. Only [...]
The Attention Deficit Society
Posted in Internet, Life, Technology, tagged Internet, Technology on May 4, 2011 | 5 Comments »
One highlight of the Milken Global Conference was an excellent panel discussion of how new communication technologies are changing the way that people think and interact. Moderated by the amusing Dennis Kneale of Fox Business, the panelists were: Nicholas Carr, Author, “The Shallows: What the Internet Is Doing to Our Brains” Cathy Davidson, Ruth F. [...]
Why Free Is a Bad Price
Posted in Internet, Microeconomics, Technology, tagged Apple, Instapaper, Internet, Pricing on April 29, 2011 | 5 Comments »
Marco Arment is the brains behind one of my favorite apps. Instapaper allows you to store articles off the Web for later reading; very useful, for example, when I am surfing and come across an article I want to share with my students or use in a future blog post. And the editor of Instapaper periodically shares excellent reads that I might [...]
No, the Web Isn’t Dead (Yet)
Posted in Internet, Technology, tagged Internet, Technology on August 23, 2010 | 3 Comments »
Wired’s cover story this month, “The Web is Dead,” features the following chart showing the portion of internet traffic in different uses: Over the past few years, peer-to-peer services and video have gobbled up an increasing share of traffic, while the “traditional” web — you know, surfing from site to site, reading your favorite blog [...]
Three A’s of E-Book Pricing: Amazon, Apple, and Antitrust
Posted in Internet, Microeconomics, tagged Amazon, Antitrust, Apple, Internet, Microeconomics, Pricing on August 3, 2010 | 7 Comments »
A few months ago, I noted that Amazon and book publishers were tussling over the pricing of electronic books. Amazon had originally acquired e-books using a wholesale pricing model. It paid publishers a fixed price for each e-book it sold, and then decided what retail price to charge customers. Retailers usually sell products at a mark-up above the wholesale [...]
Speculating on the Greek Crisis, Internet Edition
Posted in Internet, tagged Greece, Humor, Internet, Spain on May 10, 2010 | 1 Comment »
At the recent Milken Conference, I attended a panel moderated by Mike “Zappy” Zapolin. His claim to fame? He struck internet gold by developing generic web domains like beer.com, music.com, and the all-too-timely debt.com. It’s much harder to follow in Zappy’s footsteps today since the obvious names are all gone. Except when new developments create [...]
An Unusual Battle Between Amazon and Publishers
Posted in Internet, Microeconomics, tagged Amazon, Apple, Google, Internet on April 21, 2010 | 13 Comments »
Over at the New Yorker, Ken Auletta has a fascinating piece about the future of publishing as the book world goes digital. Highly recommended if you a Kindle lover, an iPad enthusiast, or a Google watcher (or, like me, all three). The article also describes an unusual battle between book publishers and Amazon about the [...]
Web Coupons, Privacy, and Price Discrimination
Posted in Internet, Microeconomics, tagged Internet, Microeconomics, Pricing, Privacy on April 17, 2010 | 6 Comments »
Suppose you’ve got a successful business, selling your product to a diverse set of customers. Life is good. But you’d like to increase profits even more. What should you do? One option from the MBA playbook (among many) is to think creatively about your pricing. Maybe there’s a way to distinguish your customers from each [...]


