Data: Groupon Losing Grip On Daily Deals
"The main reason you're seeing Groupon's market share fall is that competition is still on the upswing," David Sinsky, data product manager for Yipit, tells Bloomberg Businessweek. "Groupon pioneered a brand new space a year and a half ago, and because of their success they have attracted a lot of competition."
In sheer dollar terms, Yipit's researchers estimate that Groupon made $64.7 million in sales in May -- more than double LivingSocial's $31.6 million. Industrywide, online daily deals are now delivered by 345 sites, and account for about $133 million in revenue in top North American markets, according to Yipit.