Facebook takes on Groupon by launching social buying scheme – testing starts today

Facebook, Tech Digest news


Facebook will start testing its new local deals scheme, the social network announced last night.

Facebook Deals was first announced in March, and will let people buy in groups. Sounds familiar? Groupon has done very well so far doing exactly this, and it seems Facebook wants in on this action. Chicago-based Groupon has 60 million users, and sold more than 39 million deals in the past two years.

Facebook has started testing today in Austin, Atlanta, Dallas, San Diego, and San Francisco, with the potential to expand to further cities. The system lets people buy into primarily local deals.

Users can tap into the system by the ‘Deals’ tab on their homepage, or jump onto a deal which a friend has bought or ‘liked’ as it shows up on the feed.

Facebook is working with a range of other deals sites in the venture, wrote CNET, including Opentable, Gilt City, Tippr, PopSugar City, Plum District, ReachLocal, Zozi, Home Run, KGB Deals, aDealio, and ViaGoGo.

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