Here’s Groupon’s EMBARRASSING Letter to Merchants

Groupon (NASDAQ:GRPN) is a shareholder’s nightmare. Before going public, the company’s accounting practices caught the SEC’s attention. (Apparently, that’s what happens when you invent new accounting terms.) Now, the daily deal site is pissing off merchants.

Don’t Miss: AmEx and Zynga Reward Cardholders With Fake Cash.

Well, let me be clear: Groupon is bothering only merchants who don’t like the threat of getting sued in class actions. Andrew Mason et al must assume that’s a small number of people, but Amazon (NASDAQ:AMZN) CEO Jeff Bezos knows those are a lot of merchants to steal from Groupon. And Groupon merchants can make their use of the site as ephemeral as the morning dew.

Here’s the embarrassing email Groupon was forced to send to merchants:

You be the judge. Scary? Sure isn’t something I want to see as a former Groupon merchant. At the very least, I’ll be thinking long and hard before working with them again in the future.

Shareholders beware!

Don’t Miss: WHAT DID YOU EXPECT? Facebook’s Zuckerberg is Pavlov’s Dog.

To contact the reporter on this story: staff.writers@wallstcheatsheet.com To contact the editor responsible for this story: editors@wallstcheatsheet.com

Premium Newsletters

Stock Investor Cheat Sheet

Stock Investor Cheat Sheet®

The ultimate Cheat Sheet for finding winning stock picks.
Learn More

Gold & Silver Newsletter

Gold & Silver

Don't miss one of the biggest bull markets in history! Covers Gold, Silver, Gold & Silver stocks, and miners.
Learn More

Commodities Premium Newsletter

Commodities Premium

There's always a bull market in some sector! Find the best opportunities in commodities.
Learn more

ETF Investing

ETF Investing

At last, a trading system that buys the right ETFs at the right time, time after time!
Learn more

Yahoo Finance, Harvard Business Review, Market Watch, The Wall St. Journal, Financial Times, CNN Money, Fox Business