Struggling Groupon ousts CEO Andrew Mason
Groupon is parting ways with founder and CEO Andrew Mason. As a result, Executive Chairman Eric Lefkofsky and Vice Chairman Ted Leonsis are stepping in to lead the daily deals firm while it seeks a permanent replacement.
"After four and a half intense and wonderful years as CEO of Groupon, I've decided that I'd like to spend more time with my family. Just kidding--I was fired today," Mason wrote in a letter to employees. "If you're wondering why… you haven't been paying attention. From controversial metrics in our S1 to our material weakness to two quarters of missing our own expectations and a stock price that's hovering around one quarter of our listing price, the events of the last year and a half speak for themselves. As CEO, I am accountable."
Earlier this week, Groupon reported fourth-quarter revenues of $638.8 million, up 30 percent year-over-year, but operating losses totaled $12.9 million and the daily deals platform's stock plunged more than 20 percent. Mason's legacy nevertheless includes impressive mobile commerce growth: As of January 2013, nearly 40 percent of Groupon's North American transactions were completed on mobile devices, up 44 percent compared to January 2012 and increasing from about one third of transactions in October of last year. Article