Facebook To Compete With Groupon

Facebook To Compete With Groupon

Facebook will be launching a Groupon competitor called Deals in five cites. The cities set for initial release are San Francisco,...


Facebook will be launching a Groupon competitor called Deals in five cites. The cities set for initial release are San Francisco, Austin, Dallas, Atlanta and San Diego.

Facebook told The New York Times that the local offers made to Deals users will be delivered via email and will also appear in users' news feeds.

Examples of some of Facebook Deals from brands include "unlimited bowling with six friends for an evening for $60 (75% off)" and "luxury winery tour and 25% off all wine purchases for $50."

This could be a huge hit to Groupon's market share. It all comes on the tail of Google Offers, a similar service that they are launching in Portland, Oregon. We'll see how these new services take effect. But if Facebook and Google's histories and scope mean anything, we think they'll be pretty successful in their new endeavors.