Groupon steps into mobile carrier – Deutsche Telekom

Groupon is a leading coupon dealing site nationwide as well as international. In this New Year, it is seeking expansion in the booming mobile sector. And, the movement has started...

Groupon is a leading coupon dealing site nationwide as well as international. In this New Year, it is seeking expansion in the booming mobile sector. And, the movement has started in Europe. To introduce mobile internet business, Groupon starts a partnership with Germany’s Deutsche Telekom.

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As a piece of background information, Deutsche Telekom is the leading telecommunications service in Europe, covering fixed network, broadband, mobile, IPTV and ICT corporate solutions. It is also the owner of T-mobile. This partnership not only builds Deutsche Telekom’s operation on the base of mobile commerce, but also hopefully erases its stodgy image which is more likely due to a privacy verdictin 2008.

“Our partnership with Groupon allows us to strengthen our stake in this rapidly expanding and exciting new market segment, while diversifying our portfolio and accelerating our time to market for innovative products and services at the same time,” Heikki Makijarvi as representing Deutsche Telekom said.

“Our goal is to work with innovative partners like DT to deliver the best local and national deals in an easily accessible way,” Dr. Daniel P. Glasner as CEO Groupon Central Europe said, and he also complements DT is the most advanced fixed and wireless network operation in European countries.

Further into the partnership, Groupon will start to integrate its daily deals marketing into Telekom’s services. Since Deutsche mobile giant has a wide span of clients, the offer will similarly be offered to either selected fixed or wireless services. The service is estimated to be launched in the first half of 2012 on users’ mobile devices without separately downloading.

The Financial Times Deutschland has told Deustche Telekom aims to generate revenues of 2.3 billion Euros (MYR 9.2 billion) from this new business relationship in 2015. Yet, this deal appears as strange when an announcement was made to inform that T-mobile USA will not be involved, since the country is the Groupon’s largest customer base.

Another mobile opportunity for Groupon to utilize has eventually started in this smartphone era. Location-based deals, mobile transaction and user-to-user marketing strategy are obviously putting Groupon into a great expansion scale, indirectly affecting its IPO stakes as well.

Besides, both companies are not the first mover. Spain’s Telefonica is possibly trying to penetrate to Germany after bringing its UK and Ireland users into the local deals and location-based services. If yes, it is a forewarn challenge to both Groupon and Deustche Telekom.

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