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Friday, January 28, 2011

LivingSocial is giving Groupon a run for its money, thanks to Amazon

LivingSocial’s traffic skyrocketed by 80% last week with a little help from Amazon, closing the gap between it and group-buying leader Groupon.

Before last week, LivingSocial had one-tenth of the web traffic of Groupon. Thanks to Google’s $6 billion offer and Groupon’s subsequent rejection of that offer, the deal-a-day service has been experiencing a new wave of growth. The second largest competitor in the space, LivingSocial, experienced an uptick in traffic as well, but nothing as dramatic as Groupon’s rise.

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