The company is cutting 1,100 jobs mostly in its sales and customer service departments. This will cost $35 million.
Groupon is also ceasing operations in several markets internationally: Morocco, Panama, The Philippines, Puerto Rico, Taiwan, Thailand and Uruguay will all be closing.
The closures come on top of recent exits in Turkey and Greece and a sell-off of a controlling stake in Groupon India to Sequoia.
Writing in his bog, the ironically named COO Rich Williams said that it is all about the size of your feet.
“We believe that in order for our geographic footprint to be an even bigger advantage, we need to focus our energy and dollars on fewer countries.”
The short statement Groupon has filed with the SEC notes that between $22 million and $24 million of the charges will come in Q3 2015, and that the full restructure should be completed by September 2016.
“Substantially all of the pre-tax charges are expected to be paid in cash and will relate to employee severance and compensation benefits, with an immaterial amount of the charges relating to asset impairments and other exit costs.
Cost savings from the cuts will be reinvested in the business.
For the past several years, Groupon has been on a long-term mission to rebalance its strategy from a focus on daily deals to a more diverse business based around local commerce. The company has had mixed success, though.