There are a lot of skeptics when it comes to whether merchants should use group buying sites like Groupon.
For good reason too: there are enough horror stories to demonstrate that heavy discounting and lots of customers can be a really, really bad combination.
But the viability of group buying sites themselves is increasingly called into question. Groupon, the 800 pound gorilla of the space, went public last year, giving everyone a glimpse into is finances. Finances which showed lots of revenue but heavy losses.