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Groupon Temporarily Shuts Down Because Of Starbucks Deal

starbucksGroupon’s site was temporarily unavailable after over 100,000 people purchased a daily deal offer for $5 worth of products at Starbucks which means the company has made, close to $250,000 in a single morning. The promotion overloaded Groupon’s website provoking frustrated customers to express their anger via Twitter regarding their inability to access Groupon’s redemption code. Buyers received a code to redeem at participating store; they have until Sept. 30 to use the coupon.

“The $5 for $10 @Starbucks / #Starbucks deal appears to have crashed @Groupon / #Groupon and I am sitting here clicking refresh,” @kibblesmith wrote at about 2 p.m. eastern time.

Previously the Seattle based coffee company has used LivingSocial to gain and retain new customers but this was Starbuck’s first daily deal on Groupon’s site. That deal, according to LivingSocial, generated about 1.5 million purchases and was the site’s best-selling offer.

Less than two weeks before Groupon’s quarter ends, it looks as if the promotion was a success – to add to the proof of success, Groupon’s shares sprouted to nearly $6. The daily deal site gained 5.9% to $5.71 while Starbucks added 0.4% to $57.30.

Confused customers looked to Groupon for guidance, the daily deal site immediately went into damage control.

“Groupon’s mission is to deliver the best deals on the planet for the things our customers want, and Starbucks is a brand our subscribers crave,” Julie Mossler, a Groupon spokesperson wrote in an e-mail that didn’t directly address a question as to whether the promotion was experiencing technical difficulties, according to TheStreet.com

Source: TheStreet

 


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The 2014 Edition of the DDM Daily Deal Publisher Directory is the most comprehensive contact list for daily deal sites, flash retailers, aggregators and individuals operating in the daily deal industry. Each record includes the following: - Company Name - Website - Contact Name - Contact Title - Email - Phone - Address (not all records contain a full mailing address)
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