Groupon Launches Rewards Program (When is the IPO, By The Way)

Groupon has introduced Groupon Rewards, a new program allowing consumers to unlock special deals from their favorite local businesses through repeat visits.

Basically, consumers earn rewards at participating merchants simply by paying with the credit or debit crd they have on file at Groupon.com. After spending a certain amount, the consumer unlocks the ability to purchase a special Groupon for that business.

Jeff Holden, SVP of Product, Groupon, said:

“For consumers, this is the easiest rewards program in the world. There’s no cumbersome check in process; just pay with your normal credit or debit card and Rewards works behind the scenes.”

Derek Miller, Director of Digital Marketing for Lifeway Foods, a participant in Groupon Rewards, justified the new program:

“We love that Groupon Rewards is about increasing customer check-outs instead of the check-in or the added burden of a manual program. Fraud issues can often accompany check-in and traditional punch card loyalty programs. Groupon Rewards ties rewards to spend, not visits, giving our customers incentives to purchase a larger dessert or a second treat the next time they come in.”

This rewards program is expected to bring in repeat visits to participating businesses.

This serves as better news for the company than the rough-sailing that it’s experiencing on its planned IPO due to a host of issues, including restating its revenues and the SEC scrutinizing its filing.