Groupon over valued & “a disaster” that’s going to be exposed soon
Groupon is taking a beating by a few critics. Is it over valued? Is it a “tech Company”? Is it a disaster waiting to be exposed? Well, one person thinks so. Her name is Sucharita Mulpuru.
Sucharita Mulpuru, an e-commerce analyst with Forrester Research, hasn’t minced words when it comes to Groupon. She has called the company “a disaster” and a “shill that’s going to be exposed soon.”
She also questioned the notion that Groupon is a fast-growing company and suggested that the money the company spends on marketing has enabled it to appear to be fast growing. “They spend $1.50 to make $1.00 back,” she said. “Most companies don’t have the luxury of spending absurd amounts of money to make back a fraction of what they spent.”
Mulpuru even questioned the way in which Groupon has positioned itself. Because technology companies are attractive to investors, Groupon has positioned itself as one. But Mulpuru said that the company is much more akin to a marketing and advertising company than a technology startup.
