1. HCMC UNIVERSITY OF FOREIGN LANGUAGES &
INFORMATION TECHNOLOGY
DEPARTMENT OF INTERNATIONAL BUSINESS ADMINISTRATION
•Group's member:
Tran Ngoc Anh Thu
Le Thi Thanh Phuong
Nguyen Minh Huy
Ngo Thi Hue
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3. HCMC UNIVERSITY OF FOREIGN LANGUAGES &
INFORMATION TECHNOLOGY
DEPARTMENT OF INTERNATIONAL BUSINESS ADMINISTRATION
•Group's member:
Tran Ngoc Anh Thu
Le Thi Thanh Phuong
Nguyen Minh Huy
Ngo Thi Hue
Page 3
4. Content:
1 • Groupon’s overview and business model.
2 • Advantages and disadvantages
3 • Groupon in Vietnam
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6. I. Groupon overview
1. Definition of groupon.
2. Groupon’s achievements
II. Groupon business model.
1. How does Groupon work?
2. How to get the deals?
3. How does Groupon make money?
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23. How does groupon work?
GROUPON
DISCOUNT
LOCAL
CUSTOMER
BUSINESS
- Groupon negotiates with local businesses
(suppliers/retailers) to offer deals.
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24. How does groupon work?
GROUPON
Marketing
channel
LOCAL
CUSTOMER
BUSINESS
- Groupon promotes deals and find
customers through its marketing channel.
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25. How does groupon work?
GROUPON
LOCAL
CUSTOMER
BUSINESS
-Groupon sells coupons to customers and
charges commission from local businesses.
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31. Model
Ad on Site Discount
voucher
Offer discount
if threshold
(min number of
buyers) is met
• Payment Customer
Supplier • Page view (also web users)
Suitable distribution
and marketing channel
for product/service
Customer
Merchants
Bring the voucher to Shop and use
• Offer product/service
product/service
• Hope to retain the customers
Win-Win-Win for all 3 parties
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32. Advantages
Groupon
• Source of Revenue
• Low cost of building a website
(users focus on deals only)
Groupon.com charges 50%
• Share viral costs with users
Full-price service $40
(via Facebook, chat) Discounted price $20
Groupon retains 50% of $20
Merchants receive $10
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33. Advantages
Supplier
• Sell big lots
• Flexible marketing channel
• Revenue up front
• Some customers do not use the voucher before
E-mail addresses of
customers
expiry
$300million
25% free cash for
supppliers
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35. Disadvantages
Groupon
• Unidentified price & service quality from
merchants may hurt the reputation of
the web provider
• Can't handle the flood
of voucher users
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39. 1. When did Groupon appear in Vietnam?
• Early of 2010
• The most potential
market with high speed of
development.
• Average discount of
about 30 –> 50%
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40. 2. How does it work in Vietnam??
• With the model of websites:
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44. Payment
COD ( Cash On Delivery)
Bank transfer through large banks
ATM, Internet Banking
e-Wallet: Soha Pay, MobiVi, Payoo…
SMS: 51deal, phagia
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50. Sumarize
• An e-commerce _an advertising &
marketing channel
• Forcus on the Power of
Collective purchasing
• Only get the deals
if enough people sign up
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51. Sumarize
• Profit for both merchant and customer
• Customer: be careful with price & services
• Merchant: lose their potential customer
• In Vietnam: creative localization
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