Digital Transactions Authoritative, insightful and timely information for payments professionals
Online and mobile offers provider Groupon Inc. reported Wednesday that 2.7 million Visa and Mastercard card holders are using its new Groupon+ service to get discounts at restaurants without presenting a voucher. And wire-transfer provider The Western Union Co. says its online consumer-to-consumer payment transactions rose 22% in the fourth quarter.
Chicago-based Groupon, best known for its mobile and online daily deals, last September introduced Groupon+ in 23 markets. The program lets users get discounts at more than 1,500 restaurants without needing to print out a voucher or present Groupon’s app at the table. Instead, all they have to do is register a Visa or Mastercard credit or debit card with Groupon, then present that card at a participating restaurant to get discounts of up to 30%.
Groupon said in its fourth-quarter earnings report that the program is now available in 25 markets. The company plans to expand the program to other merchants besides restaurants.
Meanwhile, Englewood, Colo.-based Western Union reported Tuesday that revenues and transactions in its WesternUnion.com money-transfer service both increased 22% in the fourth quarter over the year-earlier period. The company did not release transaction numbers, but said total consumer-to-consumer transactions grew 3%, which means the online channel is growing far faster than Western Union’s traditional agent-based channel.
Consumer-to-consumer payments generated 80% of Western Union’s total revenues of $1.44 billion in the quarter, up 5% from $1.37 billion in 2016’s fourth quarter. WesternUnion.com revenues now account for 10% of consumer-to-consumer revenues, the company said without disclosing actual figures. Based on the reported percentages, the online channel is now generating an estimated $115 million in quarterly revenues.
Bill payments in the United States and Argentina generated 14% of revenues, up 11% as reported and 14% from a year earlier on a constant-currency basis.
