While Groupon had been very big few years ago, it had been on the decline lately due to one of main business models which is no longer effective. As the company’s value shrank from 13 billion at its IPO to 1.8 billion currently after all the high level execs sold their shares, things would only go downhill from there. The business model of advertising for businesses in the form of coupons on a website simply does not sit well with merchants anymore, and that traditional e-commerce is slowly taking over instead. It shows how sometimes new ideas do not always succeed in the long-run, and that some ideas may be overhyped and are nothing but a trend.

Groupon is not doing so well