What does it mean to buy a coupon on Groupon?
Groupon offers one "Groupon" per day in each of the markets it
serves. If a certain number of people sign up for the offer, then
the deal becomes available to all. If the predetermined minimum is
not met, no one gets the deal that day. This reduces risk for
retailers. Groupon makes money by keeping approximately half the
money the customer pays for the coupon.
For example, if you purchase Groupon for $100 for a restaurant
for $50 through Groupon.com, then the business gets $25 and Groupon
keeps $25. You get to spend $100 at the restaurant using the
Groupon that you paid $50 for, saving you $50 at that
restaurant.