With businesses finding it tough to prise money from cautious consumers, entrepreneurs who fail to learn what the market is looking for are set to struggle.
Former Cudo CEO Billy Tucker’s new business 57Signals has spawned four separate start-ups, with Tucker today unveiling the first – Yabbit.com, a customer feedback site.
It’s been revealed Groupon raised $US700 million after increasing the size of its initial public offering, with experts predicting the local market to witness similar activity as the sector starts to mature.
The group buying industry has unveiled its first code of conduct, following a series of complaints by businesses and consumers over the practices of certain operators.
Local group-buying sites are being warned to clean up their act or face “big stick” government intervention, following a spike in customer complaints over unclear policies, stock shortages and delays.
The head of group buying site Cudo has accused Groupon Australia of engaging in "bait and switch" tactics for advertising a deal for an iPad 2 in a daily email but only emphasising the price of an accompanying docking station product.
Group buying site Cudo is up for sale for more than $60 million, according to reports, less than 12 months after it was launched by Nine Entertainment.
Groupon has finally entered the Australian market, but local operators believe the US-based group buying website will struggle to compete in what is already an established market.