DoubleClick and Google Vets Launch Groupon Cloning Platform

agentsmithHow much fragmentation can the daily deals niche take? Group Commerce, led by a trio of online marketing veterans, plans to find out.

The New York-based company has created a white-label platform for publishers and other media marketers that want to implement a branded Groupon clone.

So far, The New York Times, DailyCandy, Thrillist, and Meredith Corporation have signed on to support deals on its platform.

Founded by former Google and DoubleClick executives David Rosenblatt, Jonty Kelt, and Andrew Glenn, Group Commerce has raised $8 million from these capital investors: Spark Capital, Carmel Ventures, Lerer Media Ventures, and Bob Pittman, an MTV Networks founder and now chairman of media and entertainment platforms at Clear Channel.

According to a recent report by BIA/Kelsay, the investment money could be well spent. The Chantilly, VA-based research firm estimates the daily deals niche will be a $4 billion industry by 2015. In 2010, BIA/Kelsey found daily deals services captured $873 million. If correct, its projections indicate a 35 percent compound growth rate during the next four years.

Groupon and LivingSocial are the clear leaders in a space involving around 200 deals-based brands. New deals sites for specific demographics like moms, hunters, and golfers seem to be popping up daily, and it’s safe to wonder how much fragmentation can occur before the niche’s bubble bursts.

A partial list of current services demonstrates how much the category has exploded:

Mom Deals


Daily Deals for Denver Moms

Plum District


Mini Social


“Deal”icious Mom

Gaggle of Chicks


Golf Deals

The Early Birdie

14 Stix

98 Main

Caddies Bag

Deal A Day Golf

Baby Deals

Baby Steals

Baby Half Off


Eco Baby Buys

Jewelry Deals


Bling Daily

Daily Gem Deals

Oriental Watch Site

Women’s Clothing And Accessories Deals


Handbag Chick



Rue La La

Gilt Groupe






Hunting Deals


Outdoor Daily

Amara Mastronardi contributed to this report.

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