The majority of Groupon Inc.’s fourth-quarter revenue, nearly 63%, stemmed from its sales of physical goods.
While Groupon made its name e-mailing consumers offers for restaurant and entertainment deals, its focus is now on building its online marketplace where consumers can buy tangible goods, says Eric Lefkofsky, CEO of Groupon, No. 44 in the Internet Retailer 2014 Top 500 Guide.
“We now turn our attention to further building out our marketplace to ensure that our more than 260 million subscribers have an amazing experience every time they use Groupon,” he says.
The retailer also noted that more than 110 million consumers worldwide have downloaded Groupon mobile apps.
For the fourth quarter ended Dec. 31 Groupon reported:
- Revenue increased 20.4% to $925.4 million from $768.4 million in the same period a year earlier.
- North American revenue of $551.0 million up 24.2% from $443.8 million
- International sales of $374.4 million, a 15.3% jump from $324.6 million
- Revenue for Groupon Goods of $581.0 million, a 40.4% increase from $413.7 million
- A net profit of $11.4 million compared with a year-ago loss of $78.8 million
- Gross billings, which reflects the total amount consumers paid for Groupon vouchers, excluding applicable taxes and refunds, stood at $2.084 billion, a 30.8% increase from $1.593 billion.
For the full year, Groupon reported:
- Revenue increased 24.0% to $3.192 billion, compared with $2.574 billion in the same period in 2013.
- North American revenue of $1.824 billion, a 19.9% jump from $1.521 billion
- International sales of $1.367 billion, a 29.9% gain from $1.052 billion
- Groupon Goods revenue of $1.781 billion, up 56.6% from $1.137 billion
- A net loss of $63.9 million compared with a year-ago loss of $88.9 million
- Gross billings stood at $7.581 billion, up 31.7% from $5.757 billion