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Wed June 1 2011 09:50:49

Google Ad Platform Makes Groupon Clone a Natural Fit

By: Ina Steiner

Sponsored Link

After Groupon reportedly spurned Google's offer to acquire the group-buying site, Google went to work to build its own such service, and today launched Google Offers in beta in Portland, Oregon. Google Offers advertises limited-time offers on services from local businesses and restaurants - if enough customers sign up for the offer, the deal is consummated: local businesses get the money a few days later, and customers get a voucher for the service they purchased.

eBay used to be the winner when it came to bringing buyers and sellers together, but Google has been increasingly leveraging its advertising platform, which gives it strong relationships with local businesses, and its local and mobile search infrastructure - including Maps - to push into the retail space. And it is doing so with the help of former eBay and PayPal executive Stephanie Tilenius. She and Google Chairman Eric Schmidt announced the launch of Google Offers yesterday at the D9 Conference.

Schmidt doesn't include eBay in his "Gang of Four" - major companies that have "huge platforms and dominate in their spaces that is difficult for others to challenge" - he counts Amazon, Apple and Facebook as well as his own company in the gang. (See this Search Engine Land article for more on Schmidt's talk.)

Google is also challenging eBay's online payment service PayPal, recently adding Google Wallet to its Google Checkout service, but this is not an area of strength for Google, at least yet.

Are you using group-buying services to advertise your business? Would eBay have a shot at introducing a group-buying service? Let us know what you think!




Comments (19) | Permalink

Readers Comments

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: Mr Me

Wed Jun 1 10:36:36 2011

Google beat eBays "Koupon" to the "punch" , and their wallet wil give paypal a run for their money....yeah!.... my only question, why are eBay listings still at the top when "googling" something. I was looking for INFO on a camera yesterday and had to wade through lots of eBay listings before I found a site with info , I was not looking to buy anything.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: John

Wed Jun 1 10:47:01 2011

....why are eBay listings still at the top when "googling" something.....

they are preparing for a legal battle. Keeping the listings at the top basically puts google in a better light legally. They are dotting their i's and crossing their t's

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: My Own Website Not Quite Paying My Bills Yet

Wed Jun 1 10:59:20 2011


"They are dotting their i's and crossing their t's"

There are no i's or t's in "screw you".

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

This user has validated their user name. by: Ina

Wed Jun 1 11:43:51 2011

Feel I should have also mentioned Amazon.com's investment in Living Social, a similar service that is running a television ad campaign.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: John

Wed Jun 1 11:54:24 2011

Flooding the market with new innovation and techs. Wonder  who eBay will blame for this. Fight night is back. Get the popcorn

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

This user has validated their user name. by: Anonymous Annie

Wed Jun 1 12:01:24 2011

Ina writes: Schmidt doesn't include eBay in his ''Gang of Four''

... and that made me chuckle out loud. :-)

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

This user has validated their user name. by: Ric

Wed Jun 1 12:33:17 2011

A group buying program developed by eBay management would choke on itself right out of the box. eBay's management is so inept, if they were to develop a group buying program, it would be limited by rules and restrictions.

Better qualified hands on management which eBay does not have is required to develop fast moving programs such as group buying.

The culture at eBay is to crunch too much data, figure how to squeeze the most revenue out of the program, and then impose rules and restrictions that would make it untenable to potential advertisers.

After that they would raise fees all over again in order to pay for the additional executives that would have to be brought from outside to fix what the original team screwed up.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: Here Again

Wed Jun 1 14:57:07 2011

Makes you wonder if anyone is going to be talking about eBay in five years.  At least outside of business management classes.  PayPal, maybe, but eBay?  I am not so sure anyone will care by then.

Yeah, I do not necessarily trust Google, Amazon, or any of them, but I KNOW that eBay has screwed with me and my business.  So I am happy to see eBay getting roughed up by other big boys.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: Lad

Wed Jun 1 16:45:49 2011

20 years into the future

Once upon a time there was Ma Bell, CompuServe, AOL, Netscape, Atari, eBay.

They exist, and you'd never recognize them from their heyday.

Technology Moment In History brought to by Google, an AppleAmazon company ..........

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

This user has validated their user name. by: Ming the Merciless

Wed Jun 1 17:45:39 2011

Ebafia best not try to compete with Groupon and now Google in the coupon arena.

First, their bloated, overpaid, intelligence challenged management team is the one you'll recall that eliminated the sale of digital downloadable content.

Second, to glom Groupon style coupons onto a site already poorly held with Asian Indian spit and Utah bailing wire would cause ehaven sonly knows how many "glitches" that would inevitably work to ebafia's advantage.

IF ebafia did unwisely decide to develop its own coupons, itn would be limited to their pet retailers just like their online coupons are selectively restricted to a handful of mega sellers.

I for one wouldn't touch ebafia coupons with a ten foot pole and would contact the sponsor directly and tell them why. What restaurant or other business wants the tarred with ebafia's reputation for sleazy business practices, unconscionable treatment of its customers, and at the most charitable an untrustworthy business partner?

The Ho thinks he can acquire his way out of trouble. He's wrong.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: jackhooper
Web Site

Thu Jun 2 01:06:11 2011

The group buying market is over crowded. We will wait for what Google do in next one year. Now any one can start their own groupon clone website with this free script.

http://www.ndot.in/products/ndotdeals-opensource-groupo
n-clone/

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: Rich

Thu Jun 2 02:13:17 2011

I think I'm too old; never even heard ofa group-buying service.  On different note; Ebay is rarely at the top of Google; haven't been for years from what I search; cd's or vinyl and books.  For example; did search for Beatles Hey Jude 45 and first listing is Amazon, then some Beatles and oldies sites, then Etsy, youtube, wikipedia and finally just 1 ebay page.  I think the lack of Google exposure has been a factor in ebay sales dropping the past bunch of years--pure stupidity for Whitman and Donahue to make enemies with Google

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: JB

Thu Jun 2 07:51:49 2011

Google does to ebay with their search, like ebay does to their sellers with best match. What goes around will come around.

I see hard times ahead for ebay

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: Money

Thu Jun 2 08:02:39 2011

I don't think it matter if google or ebay or whoever tries to duplicate groupon - I think it's a short term fad that will come and go and more people discover that it's often a ripoff.

Just about everyone I know that once lauded groupon as such a great new thing now no longer uses it. Why?

- Paying upfront for a discount coupon only makes sense if you can't get it for free. Great discounts are available everywhere if you just look for them.

- Time limits. Imagine paying $20 or even $100 for a "discount" only to find it's expired and you get nothing at all.

- Read the fine print. A lot of these discounts have so many requirements for their use that you end up spending a lot more just to use it. The retailer really "has you" since you've actually paid for the discount upfront - and all it's terms and conditions.

- Many retailers find that they lose so much money with these deals that they won't use them again.

Groupon's biggest regret will be not selling out to google when the idea was still hot.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

This user has validated their user name. by: Philip Cohen
Web Site

Thu Jun 2 08:15:41 2011

@ Money, I'll secont that!

Enron / eBay / PayPal / Donahoe: Dead Men Walking.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: garryking

Fri Jun 3 01:48:08 2011

We could also say it's 2/3 as old as Google but does less than 15% as much business, oh dear, it's not scaling. But we would say neither thing because Facebook is fine. So is Groupon.     http://bit.ly/lJJ5pm

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: Digby

Fri Jun 3 04:56:40 2011

I think the group buying fad will fade away.

Google do not have a great track record when it comes to some services it introduces then gives up on, or changes the name every few weeks.

They should stick to search.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: TomH

Fri Jun 3 09:23:48 2011

@Digby
''They should stick to search.

Which to me means:
Marketing their ad server platform via search service.

Nothing wrong with that, but one does have to remember that when you get in bed with them--your main use to them is your ad potential and perceived value.

Google Ad Platform Makes Groupon Clone a Natural Fit   Google Ad Platform Makes Groupon Clone a Natural Fit

by: jamesvital This user has validated their user name.
Web Site

Sat Aug 31 01:51:10 2013

Google, ebay and other groupon clone websites lacks innovation. They still use the same age old groupon concept.If you wish to start an innovative groupon clone website, approach Agriya. They have a script which helps you to launch a groupon clone website in 72 hours.



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