Groupon Inc. (NASDAQ:GRPN) Rises With Increasing Revenues
Northern, WI 05/10/2013 (tradewatchmedia) – The share prices of Groupon Inc. (NASDAQ:GRPN) (Current: $6.19, Down by 0.50%) jumped by 13 percent to reach $6.30 after the company announced its revenue earnings for the quarter which surpassed the analysts’ estimates. The increase in revenue was buoyed upon by increase in sale by 7.5 percent to $601.4 million which was greater than the analysts’ estimates of $591 million.
The increase in revenue was majorly contributed by the increase in coupon sales by Groupon Inc. (NASDAQ:GRPN) through its mobile applications. The company is engaged in selling discount coupons from hotels, restaurants, café shops etc. through its mobile applications and further shares the revenue from such discount sales with the partners.
Groupon Inc. (NASDAQ:GRPN) offers ever growing new applications on mobile devices and new personalization features to attract the market share. Despite decline in international sales by 18 percent, the North American market share for Groupon Inc. (NASDAQ:GRPN) grew by 42 percent for the first quarter.This increase in market share was propelled by growing mobile searches and increase in the mobile deals offered in local areas. The coupon sales in North America had formed around 45 percent of the total mobile transactions in the region, which proves the value of coupon sales through mobile apps.
Lookout For CEO
The Chief Executive Officer of Groupon Inc. (NASDAQ:GRPN) was ousted in February, 2012 after his failed attempts to increase the coupon sales through mobile applications. Eric Lefkofsky and Ted Leonsis, the co – chief executive officers of the company are now on the conscious and calculated search for a new CEO to the firm.
Despite the mounting pressure to find the new chief executive officer, the co – chiefs are not in a hurry and are determined not to make a rushed decision. They are confident to find the suitable person and that the present leadership team is very strong to keep the company going till then.