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Groupon Says It Plans to ’Significantly’ Cut Marketing Spending

Groupon Inc., the online-coupon site that has filed for an initial public offering, said it plans to “significantly” reduce online marketing spending over time as such investments yield insufficient returns.

Marketing spending may become less attractive because of “changes in subscriber economics, achievement of subscriber saturation levels in various markets or a determination that subscriber growth objectives can be satisfied though alternative means,” Chicago-based Groupon said in a regulatory filing today. The reduction won’t adversely impact business with existing customers or subscribers, the company said.