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AmazonLocal was just launched by Amazon (duh.) and is a prime example of why people think Groupon is beginning to see the competition gaining, helping delay the highly anticipated IPO proceedings. The whole idea of group buying or group couponing is pretty easy to get. Which is why everyone is saying Groupon's impending IPO should happen now or never.
Groupon's ability to attract and disperse the cost of dealing with every consumer and organize it into a way that the retailers can efficiently deal with is a business model that Facebook, Living Social and now AmazonLocal have now caught onto. And those are just the ones who can absorb all of the upfront costs of launching one of these deal sites. You know, it isn't aaalll about selling coupons to stay afloat. They have several other streams of revenue.
What about Gilt Group, Rue La La, Fab, Left of Trend and all the others- are all these niche concept guys collectively creepin' up on Groupon? Well hold in there guys, we haven't even seen the new Groupon Cat yet. That could be the start of the revolution.
· Groupon [Official Site]