I understand that it might be difficult to believe, but the economy is eventually going to get better, and when it does, the Groupons of the world are going to take a devastating hit. The bottom line is as follows ... A business can't give-away a ridiculous 50 to 90% and still be viable. Restaurants represent the real essence of the Groupon craze and at 50% off (which really amounts to 75% off after they pay Groupon), the numbers simply don't work. You just can't continue to give-away money and expect to keep the doors open.
The owner of Groupon recently walked away from some Six Billion dollars from none-other than Google, and this man is out of his mind. It's going to crash, and it's only a matter of time.
When you add Groupon and an unending list of copycats (and throw in the ever-present Restaurant Weeks), the entire business has evolved into one gigantic discount. Something has to give, and either the discounting ends (as we now know it), or we are going to be witnessing thousands upon thousands of restaurant closings.
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