Groupon today announced changes to its Goods business to make its discounted wares more attractive to bargain-hunting holiday shoppers.
Following a troubling quarter that sent its stock spiraling down to two-buck-chuck status (Groupon closed at $2.69 today), the Chicago-based company launched its very first holiday and toy catalogs for the Groupon Goods department. To sweeten the already low-priced deals, Groupon also introduced free shipping for orders over $15 and free returns for Goods products.
Groupon Goods is the one-year-old tangental offering from the purveyor of online deals that lets consumers shop for things such as electronics, beauty products, clothes, and even groceries at discounted prices. The nascent product, which had 4.3 million customers as of September, is filling the revenue holes for Groupon as its most prominent deals product tapers off in growth. The Goods product brings in an annual run rate of about $1.5 billion in billings.
Now, Goods is getting dressed up for the all-important holiday shopping season. The brand new holiday catalog is a two-page digital book featuring a small assortment of products for men and women. The toy catalog meanwhile is bigger and specifically focused around gifts for young boys and girls.
Both catalogs will be refreshed with new products on November 16, but will only be available through November 22. The free shipping and free returns incentives could also make the e-commerce product more approachable to shoppers accustomed to buying gifts direct from merchants.
Monday’s Goods announcements reenforce Groupon CEO Andrew Mason’s statements to investors and analysts last week. “With deals on everything from designer sunglasses to big-screen televisions to most-wanted toys, we think it will be a great gifting destination this holiday season,” he said.
Filed under: Business, Deals