Groupon, the Internet couponing company with over 40 Million users in the US, often offers deals for day trips and short getaways, but now the popular daily deal site is about to take its travel promotions to the next level.
Groupon has expanded its service to work with Internet travel company, Expedia, the largest online travel company, to create a special section of its site called Groupon Getaways that will offer big discounts on rooms from among the more than 100,000 hotels that Expedia works with, as well as deals on cruises, airfare and car rentals.
The deal will allow Groupon customers to gain access to travel deals to given destinations. The discounts are expected to be significant-typically 50% off the retail rates found on online travel sites. The customer will have a limited time to buy the discounted voucher for future travel. After purchase the customer will redeem it at a later date within a given redemption period.
The deal can be attractive to customers because they can get a steep discount on packages that they do not have to shop for. It allows hotels, and airlines to fill excess inventory during down times and make money on extras once the customer is on vacation. Other merchants at the travel destinations are expected to benefit as well. Hotels and airlines are in effect using the broadcast capabilities of Groupon to alert potential customers. It also fits in well with many of the services on Groupon which offer relief from the ordinary day like days at the spa, paint-balling, and dance classes.