GROUPON

Analysis of Groupon share price

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To be able to buy Groupon shares at the best time or to trade effectively on the price of this stock, you must have a good knowledge of this stock and this company. This is precisely what we are proposing to you now with this article dedicated to this stock in which you will discover the essential elements for its analysis. In particular, we will discuss the company's activities and sources of revenue, its main competitors on the market and its strategic partnerships. We will also look at how to perform your fundamental analysis of this stock.

Elements that can influence the price of this asset:

Analysis N°1

In particular, we will be watching the evolution of market penetration by mobile applications. Indeed, Groupon can easily take advantage of the increase in the use of these technologies to increase its sales.

Analysis N°2

The investments made by this group with the aim of constantly improving its quality of service, in particular by further targeting its offers and their personalisation with the aim of attracting its customers, are also key elements of this fundamental analysis.

Analysis N°3

We'll also be keeping a close eye on whether Groupon will be setting up new strategic partnerships or strengthening existing ones over the long term.

Analysis N°4

Of course, it will also be necessary to monitor the competition in this sector of activity, which has become increasingly numerous in recent years, and in particular the arrival on the market of competitors from emerging markets, which seriously threaten its market share.

Analysis N°5

Finally, we will also follow the various anti-competitive investigations that are being put in place against Groupon and which aim to curb offers with large discounts.

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General presentation of Groupon

Let's now take a closer look at Groupon and its industry. It is indeed essential to have a good knowledge of this company and its sources of profit if you want to anticipate its future growth and its evolution over time.

Groupon is an American company that specializes in online commerce. Specifically, the company operates local online shopping marketplaces around the world by connecting merchants with consumers and offering them discounted goods and services.

In terms of organization, Groupon operates through three main segments, including North America, including the United States and Canada, EMEA, which corresponds to Europe, the Middle East and Africa, and the rest of its international activities, i.e. the rest of the world.

Groupons also offers three main categories of goods and services, as follows:

  • Local offers that correspond to the offers of local and national merchants as well as local events.
  • Goods that offer customers the opportunity to find deals on goods in a variety of product lines including electronics, sporting goods, toys, jewelry, housewares or fashion.
  • Travel that offers discounted or market rate travel deals including hotels, airfare or packages covering domestic or international travel.

Currently, Groupon employs 6,345 people worldwide.

Analysis of Groupon share price
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The major competitors of Groupon

To optimize your Groupon share price forecast, you also need to be able to analyze the competition in this industry. We therefore offer you a quick presentation of Groupon's current main opponents:

RetailMeNot

This American company, formerly known as Whaleshark Media, is an Austin-based multinational that operates a collection of coupon websites. The company owns RetailMeNot.com and VoucherCodes.co.uk. It regularly purchases third-party coupon sites and software. This company was created to bring together different coupon offers and make them available online to consumers in different categories such as accessories, automotive, baby products, beauty products, clothing, electronics, furniture, health, home, jewelry, pets, photography and travel.

Pepper Media

Another serious competitor to Groupon is Pepper Media, a company based in Germany that also offers discounts, promotions and good deals that are valid both online and in stores. The offers are mostly proposed by Internet users and only partly by the company's teams. The users can then vote for the published offers to reinforce their visibility on the site.


The major partners of Groupon

If Groupon has some serious enemies, it can also count on the implementation of strategic partnerships with other companies to boost its growth or gain in profitability or competitiveness. Here are two concrete examples of the type of strategic alliances that this company can put in place:

Deutsche Telekom 

Notably, in 2013, it was with the multinational operator Deutsche Telekom that Groupon established a partnership to distribute DT's products and services on a large number of smartphones. This strategic partnership has enabled Deutsche Telekom to expand its presence in the local online and mobile commerce sector. For its part, Groupon has extended its category-leading mobile services through Deutsche Telekom's territory by offering its customers easy access to its services.

Skyscanner

Finally, in 2016, it was with the company Skyscanner that Groupon also set up an interesting strategic partnership. Indeed, the aim of this partnership agreement was then to give access to the flight search tool to its customers through its platform. Groupon customers were then able to browse and book flights using the data provided by Skyscanner.

71% of retail investor accounts lose money when trading CFDs with this provider. This is an advert for trading CFDs on AvaTrade

Frequently Asked Questions

When is the best time to buy Groupon stock?

Choosing the right moment to buy Groupon stock or to take a bullish position on this stock will depend on the different buy or sell signals that you will be able to find by carrying out analyses of this stock. It is indeed essential to develop technical and fundamental analysis optimal so as to determine with the most precision possible the next trends of this value as well as its volatility and to give you in this way interesting indications as for the way to trade it.

How do I keep up with Groupon?

To be kept informed of all the news and important publications of Groupon, you have several possibilities. You can view the company's official communications directly from its website in the section dedicated to investors and shareholders. You can also subscribe to an online stock market news feed.

Which online broker offers Groupon stock?

As Groupon is listed on the Nasdaq Global Select Market and is one of the largest US stocks, it is possible to trade Groupon from almost any trading platform in the market. Indeed, many brokers give you access to these US stocks, including CFD brokers.

71% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. This is an advert for trading CFDs on AvaTrade