Groupon continues to post net loss

While most of the focus has been on Groupon's dismissal of their CEO, it is the reporting of another net loss that is indicative of the daily-deal model feasibility.  From its IPO in 2011 at $16.5 billion to its current value of under $3 billion, the site has continued to build its subscriber base, but remains under fire from investors and the merchants who promote on the site.   

Even the number two daily deal site, LivingSocial has yet to hit profitability.  The consumer is demanding value, but are we confusing it for just a desire for a discount?  The NY Times article here.