The more we hear about Living Social's meteoric rise, the more we think Groupon should have taken that Google buyout offer. In the process of acquiring a company called SocialMedia, Living Social disclosed some financial data to value the shares they were handing over in the deal. According to the disclosure, Living Social is valued at $2.9 billion, and sees $50 million in monthly revenue.
Groupon is currently pulling in about $100 million per month, but they gap has narrowed considerably. Living Social just started getting people's attention a few months back when the Amazon gift card deal was offered. Since then, Living Social has been piling up users and positive buzz. Meanwhile, Groupon is faltering a bit.
What this tells us is that the Groupon model is not unique. Any number of companies can come along and do it better. Do you use either of these services? Any complaints?