Ecomom is now closed

[ckso]

I'm not sure if this belongs here or in the lounge but heads up to those who still have unused credits from them.

I loved their stuff and their sales/coupons etc. but I always wondered how they can offer such great discounts.

http://pandodaily.com/2013/02/18/ecomoms-aggressive-discounting-culture-should-be-a-cautionary-tale-for-all-of-ecommerce/

[jam224]

Wow. I'm totally bummed they're closed! Yes, their sales were crazy, but their customer service was great and I loved their products. Too bad! :(

Interesting news article. Thanks for linking, OP!

[sewarsh]

I had no idea, but what's really funny is that I just went on their website 2 or 3 days ago to get sunscreen and for whatever reason (I couldn't figure it out) I was getting like a 40% discount. I didn't buy any because they didn't have the type I was looking for, but I thought that was strange.

I thought this quote from the article was interesting:
"The general complaint many merchants have had of the Groupons of the world was they brought in discount-obsessed couponers, not repeat buyers."

My sister owns a pilates studio and my SIL owns a hair salon. They've both done Groupons and both said they got very little repeat customers.

Very sad to hear the CEO committed suicide.

[wifecat]

The whole story is sad. I liked the company, loved the deals, and thought the customer service was fantastic, but I was always baffled at how they made any money. Learning they were in a dire place financially was not shocking.

[Momit]

The whole story is sad. I liked the company, loved the deals, and thought the customer service was fantastic, but I was always baffled at how they made any money. Learning they were in a dire place financially was not shocking.

:yeahthat:

[sewarsh]

I Literally just got an email 10 MINUTES AGO saying this....

"Still deciding? We've held your bag order + 5% Off‏"

When I click on it, i get their "we're gone" page, but so crazy how fast these places shut down shop.

[citymama]

Wow, that's a crazy story. Cautionary tale for sure.

[Choccie]

Wow. It makes me feel guilty that I got such great deals on that site -- completely reframes the way I look at Groupon type promotions.

[sf333]

Wow. It makes me feel guilty that I got such great deals on that site -- completely reframes the way I look at Groupon type promotions.

This is exactly the feeling I got as I read the story. I know it's illogical, but I felt guilt as well. Sad, especially for his family. I read some other articles as well and it seemed as though he was a well loved man.

[sewarsh]

This is exactly the feeling I got as I read the story. I know it's illogical, but I felt guilt as well. Sad, especially for his family. I read some other articles as well and it seemed as though he was a well loved man.

:yeahthat::yeahthat:
I felt the same way as well...sad story.

[ILikeToSave]

Wow. It makes me feel guilty that I got such great deals on that site -- completely reframes the way I look at Groupon type promotions.

I feel the same, as well. I have been thinking about this all morning. Collectively, was it all the bargain-hunting mamas who broke the camel's back - was Mr. Sherman in such dire straights over the hole it seems he dug himself into? I made a few orders through Ecomom at extremely high discounts. When I was purchasing these items, I wondered how this company was making a profit & how long they could sustain business with this model. I had always planned to shop there again but never managed to get around placing another order.

I am very saddened by his death & for his family. :crying:

[MomtoNico]

My friend came over for dinner last night. He has a venture capital business. Economy was an investment of his. The company was is miss managed. Of course selling on groupon didn't help. Since the company was only getting half and groupon got the other half. It is rumored but not proven yet that a lot of that money was deposited into his own checking account. He was reimbursed for a lot of fake expenses. And much was bought in the company name. He bank called in the loan and there was no money to pay it back. So that when he killed himself. His poor wife had no idea any of this was going on. Now she is flat broke.

[NJ_Mom2011]

My friend came over for dinner last night. He has a venture capital business. Economy was an investment of his. The company was is miss managed. Of course selling on groupon didn't help. Since the company was only getting half and groupon got the other half. It is rumored but not proven yet that a lot of that money was deposited into his own checking account. He was reimbursed for a lot of fake expenses. And much was bought in the company name. He bank called in the loan and there was no money to pay it back. So that when he killed himself. His poor wife had no idea any of this was going on. Now she is flat broke.

I have been living in an information hole, and only just now caught up with the news. I am not surprised by what your friend says, it is all very tragic. I hope that a new business site can fill the void, because it is a great concept, maybe using less plum district/groupons. So long ecomom, you will be missed!

[Momit]

My friend came over for dinner last night. He has a venture capital business. Economy was an investment of his. The company was is miss managed. Of course selling on groupon didn't help. Since the company was only getting half and groupon got the other half. It is rumored but not proven yet that a lot of that money was deposited into his own checking account. He was reimbursed for a lot of fake expenses. And much was bought in the company name. He bank called in the loan and there was no money to pay it back. So that when he killed himself. His poor wife had no idea any of this was going on. Now she is flat broke.

How awful. That is so different from the picture painted by his employees and fellow entrepreneurs after his death.