[ryan90]

The business typically only makes 25% of what they would have. A restaurant cannot survive on that margin.

And most Grouponers are bottom-feeders. Just looking for a deal. They're also the most likely to be vocal on Yelp (there was a study somewhere showing how Grouponers/Living Social people were more likely to leave bad reviews).

Groupon's salespeople are so high-pressure and portray an overly optimistic view of what a struggling small business should expect.

Speaking from personal interactions from several business owners who have tried daily deals here. Sure, a business needs to calculate it's ROI, but I think Groupon 1) oversells the value of 'getting their name out there' through their deals and 2) doesn't explain how bad their customers are.