Core Insights - Groupon has been recognized as a leading online platform for discovering and booking local activities, emphasizing its usability and role in providing affordable experiences [1] - The demand for experience-driven spending is increasing, positioning Groupon as a trusted tool for connecting users to entertainment, wellness, and leisure opportunities [1][12] Promotions and Campaigns - In celebration of Mother's Day, Groupon is offering limited-time experience-first gifts, including spa treatments and wellness getaways, running through May 11 [3][4] - Current featured promotions include access to Universal Studios Hollywood Fan Fest Nights and discounted concert tickets through a partnership with Live Nation [11] Local Experience Offerings - Groupon connects consumers with a variety of local merchants, offering experiences such as spa treatments, movie tickets, and outdoor tours [5] - The platform highlights hyperlocal, time-sensitive offers, such as discounted access to King Spa and Foot Smile Spa, catering to wellness seekers [6][9] Entertainment and Leisure - Groupon partners with Marcus Theatres to provide discounted movie tickets, helping families maintain entertainment habits despite rising costs [9] - The platform also offers cultural experiences like the Chicago Architecture Tours and recreational activities such as Paintball USA [9][10] Community Engagement - With millions of active users, Groupon facilitates affordable exploration and enriches community engagement, adapting to changing consumer habits while focusing on value and simplicity [12]

Financial Data and Key Metrics Changes - Groupon reported a strong start to Q1 2025, with global billings growing by 1.4% year over year, exceeding guidance on both billings and adjusted EBITDA, with a slight beat on revenue [6][11] - North America Local billings accelerated to 11% year over year growth, marking the first double-digit growth since February 2017, excluding the pandemic recovery period [6][11] - The company raised its guidance for billings growth rate from 2-4% to 3-5% for the full year, while maintaining revenue and adjusted EBITDA guidance unchanged despite the sale of GiftCloud [11][12] Business Line Data and Key Metrics Changes - The "Things to Do" segment within North America Local grew billings by double digits for the fifth consecutive quarter, significantly outpacing industry trends [7] - International local business, excluding Italy, showed approximately 5% year over year billings growth [7] Market Data and Key Metrics Changes - The top 10 cities in North America experienced double-digit growth in billings, expanding from the previous focus on the top 5 cities [6][11] - Spain remains the leading market for growth in international operations, with strong double-digit growth, while other major markets like Germany, UK, and France are also performing well [35][36] Company Strategy and Development Direction - Groupon's mission is to transform from a daily deals platform to a trusted destination for quality local experiences, focusing on marketplace health, platform modernization, and financial strength [8][12] - The company is shifting from chasing volume to building quality, with a focus on improving customer experience and financial performance [8][12] Management's Comments on Operating Environment and Future Outlook - Management views the current macro environment as a potential tailwind for the business, with signs of increasing merchant pipeline as brands seek deeper integration with the platform [26][30] - The company expects another quarter of accelerating year-over-year growth in both billings and revenue for Q2 2025 [11][12] Other Important Information - Groupon is investing in AI to enhance sales capabilities and improve deal performance analysis, which is expected to significantly benefit the business over the next 12 to 24 months [56][58] - The sale of GiftCloud is expected to strengthen the company's cash position, with proceeds from the sale being utilized to enhance financial stability [61][66] Q&A Session Summary Question: What is driving the strength in North American merchants doing more than $1 million in billings? - Management attributed the increase to a hyper-local approach and improved category management, focusing on quality deals and services [15][17] Question: Is the $1 million in billings based on a trailing twelve months basis? - Yes, it is based on a trailing twelve months basis [19][20] Question: How does the macro environment act as a tailwind for the business? - Management noted that the volatile macro environment has led to weakening traffic trends for some clients, presenting an opportunity for Groupon to deepen cooperation with existing clients and attract new brands [26][30] Question: Can you discuss the marketing investments and ROI? - Management highlighted that the strategy is to acquire new customers with a 100% ROI within seven days, with improvements in marketing performance allowing for increased volumes [31][32] Question: What is the update on international markets? - Management reported that trends across major international markets continue to improve, with Spain leading in growth and other markets like Germany, UK, and France also performing well [35][36] Question: How is Groupon leveraging AI? - AI is being used to enhance sales communication with merchants and improve deal design, with expectations for significant efficiency gains in engineering and technology [56][58] Question: What was the outcome of the GiftCloud sale? - The sale price was on the high end of expectations, allowing management to focus on core growth opportunities, with a one-time gain expected to be reported in Q2 [61][66]