CEO says Groupon 'really messed up'

In this photo made Wednesday, Oct. 14, 2009, founder Andrew Mason of Groupon, a online startup for bargain hunters looking for group discounted sales, stands on the grand staircase of the Art Institute of Chicago, one of his company's clients, in Chicago. (AP Photo/M. Spencer Green)

January 17, 2011 2:47:25 PM PST
The chief executive of Chicago based Groupon apologizes to Japanese customers for a new year's deal gone wrong.

In a subtitled video message uploaded on YouTube Monday, the company's founder Andrew Mason acknowledged that the company "really messed up."

The blunder involved a deal for delivery of a traditional new year's meal. Many arrived late while other meals were in terrible condition. It triggered a slew of criticism and bad publicity in Japan.

Mason attributed the problem to growing pains the online coupon provider faces as it expands globally.