Almost a year after acquiring dining discount Savored, Groupon is launching Groupon Reserve, allowing customers to book tables at restaurants and directly competing with OpenTable. In the future Groupon Reserve will also include deals and reservations for spas, salons and hotels.
The new service is live in 10 major markets including New York, San Francisco, Los Angeles, Atlanta and Boston and will be rolling out to additional cities by the end of the year.
Unlike traditional daily deals, Groupon Reserve doesn’t require any upfront payments. Customers can book reservations and discounts will be applied at the place of purchase.
“As Groupon has evolved, we’ve seen growing demand from our customers for upscale offers and exclusive experiences. Reserve gives the most prestigious brands a new way to reach our large and desirable audience,” said Groupon CEO Eric Lefkofsky, in a statement, adding: “Whether it’s because of a slow night or a last minute no-show, even the best restaurants have empty tables. Reserve provides these businesses with a yield management solution to bring customers through their doors at the times they need them the most.”