We don’t want you to invest money into your campaign until we get customers in your door. This fee reimburses Groupon for covering the costs of setting up and promoting your deal - if you'd used traditional marketing, that money would have already been paid up front, and maybe not even resulted in those sales. Instead of paying for your campaign, you only pay a marketing fee on each sale we secure for you. We don’t want you to spend your marketing budget without results, so we operate a “pay-as-you-go” model. When business owners pay to use those platforms, they take all the risk: the investment might pay off by generating sales, or it might not and they simply lose that money. Traditional marketing platforms charge thousands upfront just to host your ad, or they charge for each click or impression.
More importantly, Groupon assumes all costs and risks to get your campaign up and running. Our deal templates provide recommended discount ranges with margins tailored to your industry and business type, to help optimize your campaign so it can serve as a sustainable revenue stream. An unhappy merchant won't stay on Groupon for long, so we only make money when you make money.
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