Groupon has laid off another 130 employees as the Chicago e-commerce company continues to try and turn things around.
Groupon laid off 130 remote customer-service workers, according to Crain's. The move was designed to "frontline customer-service efforts in our offices," a spokesman told Crain's, in order to "improve our training and resolution processes, resulting in net-better service for our customers."
A spokesman confirmed the layoffs to Chicago Inno.
The layoffs come after Groupon fired around 100 employees last April, and roughly two years after Groupon announced it would lay off more than 1,000 workers and begin shutting down operations in seven countries, an effort by CEO Rich Williams to cut costs and turn around the deals site.
But there may be room for optimism in Groupon's turnaround plan. The company has put a lot of focus on mobile, Williams told "Mad Money" host Jim Cramer earlier this month, and mobile now accounts for roughly two-thirds of Groupon's transactions. Groupon reported Q2 revenue of $662.6 million, missing Wall Street's estimates, but beating EPS by $0.02, which saw its stock tick up 8.4%.
Groupon also recently sold part of its food business to Grubhub, and now runs Grubhub restaurant deals through its site. The news had analysts excited about Groupon's stock, and Morgan Stanley analyst Brian Nowak called it a “positive for both companies.” Another analyst declared that the Groupon turnaround is working, as the company's increased focus in North America is working and is worthy of cautious optimism.
Groupon's stock was up 0.25% as of Thursday morning.
