GroupOn buys local competitor, expands to South Africa, India and Israel

GroupOn has three local competitors in three countries – SoSasta, Groupoer and Twangoo – and then announced the launch GroupOn India, GroupOn Israel and the GroupOn South Africa.

GroupOn $950 million in a new round of funding, and it’s obvious where a good part of the money raised has: towards international expansion through local acquisitions.

GroupOn’s business model is relatively easy to replicate, but building relationships with distributors around the world, in particular small and medium-sized ones, needs time and effort. GroupOn’s strategy is to expand on its own, but at the same time acquire smaller competitors already established a customer base.

The three acquired companies were considered as local leaders in the daily deal room with SoSasta have expanded by 11 Indian cities grouper in Tel Aviv and surrounding towns and more cities than any similar website in South Africa are Twangoo active. These three will be renamed GroupOn name and design in the coming months. Terms of the deals were not disclosed.