Groupon Improves Terms with European Merchants

Groupon took about 64 days on average to pay merchants during the fourth quarter of 2011. This is an improvement from a year ago when the world’s largest daily deal company took 75 days to pay merchants.

According to Chief Financial Officer Jason Child, as Groupon becomes more comfortable running repeat offers in mature markets, it will speed up payments to some merchants in Europe. And Groupon’s repeat business is already increasing in those markets, Child says, reducing the company’s risk exposure.

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