Every day, Groupon will post a new deal. It may be a discount on event tickets, a discount at a trendy restaurant or bakery, or a special price on a service like dry cleaning or a facial at a spa. The way Groupon states it, “Each day we feature something cool to do at an unbeatable price.”

If enough people sign up to do the deal, then the deal is on! If not enough people sign up, then no deal. That is what collective buying power is about – a group of people have to take the deal to get the discount.