For Groupon, all the strategies to consolidate its position in a market that is thriving and where competition is cut throat, 2012 might be the year it finally gets to reap the benefits. Buying data start-up Hyperpublic is just one of the company’s most recent measures, but it will deliver results shortly.
One of the main issues companies such as Groupon have when looking for clients is knowing how to specifically target certain deals to their subscribers. That’s far from being a hassle free job, but once the key is found, the benefits are amazing. That’s what Groupon intends to do with data start up Hyperpublic, the company’s most recent acquisition.
The New York based Hyperpublic might be a small company, but it has potential in a market where revenue can be boosted significantly by resolving the target glitch. Basically, Hyperpublic is a lot similar to Craigslist, only that’s more efficient and has people publishing their ads tagged with their location.
For Groupon, this particular aspect offers a significant potential for locations and daily deals, targeted to specific subscribers. One of Hyperpublic’s most successful products, called Data on Demand, gives those looking for it, access to all kind of local data. The product description reads: “We have everything. Need Twitter handles of vegans in the East Village? Done. Millions of display ads referencing places in Chicago? Done”.
Hyperpublic co-founder, Jordan Cooper explained in an interview with New York Times that the website is of significant importance for companies such as Groupon. He stated: “The better Groupon understands the people and local environment that they are trying to drive traffic to, the better they will do”.
On Friday, Hyperpublic published a statement on its website reading: “We set out to change the way people interacted with the local environment and are pumped to continue that mission as a part of one of the fastest growing and most disruptive companies in the world”.
But for the Hyperpublic users the deal brings some negative aspects. The website announced it will have to shut down Places+ as well as Geo Deals & Events starting March 2nd, and all user data will be deleted.