Groupon sought to absorb LivingSocial’s approximately 1 million active customers to expand its reach and consolidate the shrinking market.
In October 2016, the "daily deals" pioneer acquired its long-time rival LivingSocial , marking the end of a fierce era of competition in the social-buying space. The Deal at a Glance groupon buys livingsocial
The purchase occurred as the craze for daily deal vouchers—which had once seen LivingSocial valued at nearly $6 billion —began to fade. The Decline of a "Unicorn" The Decline of a "Unicorn" The deal was
The deal was part of a larger streamlining effort by Groupon to exit dozens of international markets and focus its operations on a core group of countries. Groupon Buys Rival LivingSocial, Reports Another Loss - WSJ Reports Another Loss - WSJ Investors
Investors, including (which had invested $175 million in 2010), ultimately saw significant losses on their investments as the company's valuation plummeted. Impact on Groupon