Groupon Crashes After Offering Gap Deal of the Day

The popular deal-of-the-day site, known for featuring local retailers, saw its site go down after offering a Gap coupon.

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Crash landing: Groupon's site crashed after offering an unusual Gap deal of the day.Groupon broke from tradition on Thursday and offered a coupon for a big national retailer -- the Gap -- and demand from users promptly crashed the site. The popular deal-of-the-day site surprised customers and set shopping blogs on fire with its Gap Groupon, offering $25 off of $50 at any Gap in North America, right at the height of back to school shopping. Typically, Groupon has partnered with local small businesses.

Demand in most markets immediately skyrocketed past previous offers. For example, in Washington, D.C., approximately 4,000 Groupons were sold by 10 a.m., compared to previous highs of about half that amount. By about 10:45 a.m. EST, the entire Groupon site had crashed, reading, "We've got good news and bad news... The bad news is that the site is currently unavailable because we are experiencing unusually high demand for today's GAP deal. The good news is that if you give us your e-mail address here, we'll notify you as soon as the deals are available again."

By 4:43 p.m. EST, Groupon had sold more than 300,000 Gap deals, with gross revenue of $7.5 million. Some estimated that, by the end of the deal, those numbers would rise to 700,000 sold and $17.5 million in gross revenue.

Groupon's Andrew Mason previously told AOL Small Business, "Every day for us, it's like a playground, a new opportunity to experiment." No word yet on whether this Gap Groupon experiment will lead to additional national retailer partnerships in the future.

Tags: Gap Groupon, Gap Groupon deal of the day, Groupon crash, Groupon site crash, News

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