Groupon is dismissing the worst performers in 10%

Absrtact: October 27 News, according to foreign media reports, the United States first group Groupon CEO Andrewmeisen (Andrew Mason) in Wednesday to the potential IPO investors said to ensure that the company can sign a better product and service delivery

October 27, according to foreign media reports, the United States first group Groupon CEO Mason (Andrew Mason) in Wednesday to the potential IPO investors said to ensure that the company can sign better goods and services transactions with businesses, and continue to maintain growth , Groupon is firing 10% of its worst performers.

Mason told potential investors in the initial public offering roadshow in Boston that the approach was aimed at improving the quality of services offered by Groupon. According to Groupon's prospectus, the company currently has more than 4800 sales staff. Groupon's prospectus also shows that as of September 30, the total number of subscribers to the company reached 143 million, but only 30 million people were involved in the group buying deal.

Groupon's repeat sales rose in the second quarter of this year, but only 16 million. If you can't attract a sufficient number of repeat customers, Groupon's fast-growing revenues will be affected, which will not support the company's current estimate of about 11 billion dollars, industry insiders say.

Some businesses have complained that Groupon cannot help them get fixed clients and are considering other ways to lure repeat customers. An investment fund manager said in Groupon's IPO roadshow that complaints from businesses sparked concerns that Groupon could continue to grow.

Mason, however, disagreed, saying in his Wednesday roadshow that "partnering with Groupon is a risk-free marketing campaign for businesses." He said, "businesses only pay for the customers who buy the goods, without having to go through the Yellow Pages." "Mason also says that the steady buying deals offered by new businesses will give users a better experience." So far, a Groupon spokeswoman has not been able to cover the report.

Under Groupon's IPO, the company will confirm its IPO offer on November 3 and trade with the Nasdaq on November 4, the Securities code is "GRPN." Groupon's IPO's joint securities underwriters include Morgan Stanley, Goldman Sachs and Credit Suisse.