Group-buying service Groupon and online auction house eBay just agreed to a business relationship that will place Groupon’s regional daily deals on the pages that eBay users visit. The site will determine each user’s location and show the deals available in his or her area.
Furthermore, members of eBay’s rewards program will earn 5% of each Groupon purchase amount in eBay Bucks, which members can use to buy other things on eBay.
The deal makes sense for both companies. Groupon will gain additional exposure, and in exchange eBay will get opportunities to give its users more incentives to buy things in eBay auctions. It’s a win-win for consumers too, as long as they don’t mind having Groupon deals pitched to them when they visit eBay.
Rumor has it that Groupon is working on similar deals with Yahoo and Citysearch, but those rumors are unconfirmed and the specifics are fuzzy. We’ll keep you posted.
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