Groupon Inc (GRPN) Gets Into The Restaurant Reservation Business
Groupon Inc (NASDAQ:GRPN) used to be known just for offering daily deals. In one of the largest pivots in the company’s history, they are now going to offer support for restaurant reservations as part of an effort to compete against OpenTable Inc (NASDAQ:OPEN). The company also recently doubled down on promotions that do not expire.
Integrated into Groupon Reserve, Groupon users will now be able to reserve tables at over 600 upscale restaurants across 10 cities in the U.S including Boston, New York City, Los Angeles, and San Francisco with a discount of up to 40% off. The reservation service is built from Savored.com, which is a company that Groupon acquired this past September.
“Groupon Reserve is an important step in our journey to become the leading marketplace for online deals, where consumers can come to Groupon and discover great businesses at unbeatable prices, ” stated Groupon CEO Eric Lefkofsky. “As Groupon has evolved, we’ve seen growing demand from our customers for upscale offers and exclusive experiences. Reserve gives the most prestigious brands a new way to reach our large and desirable audience.”
Savored is partnered with over 1,000 upscale restaurants to offer a significant discount on the final bill assuming that reservations were made online in advance. A majority of the restaurants Savored worked are going to be a part of Groupon Reserve.