Dive Brief

• Chicago-based daily deal site Groupon announced Monday it closed a $43-million cash deal to buy online flash-sale retailer Ideeli.
• Ideeli will retain a presence separate from Groupon and remain based in New York, but will also bring Groupon to e-commerce territory occupied by digital retailers like Gilt and Amazon-owned MyHabit.
• Founded in 2007, Ideeli sells discounted women's and men’s clothing, shoes and accessories and home goods, and has a strong mobile-user base.

Dive Insight

Originally a mere purveyor of daily-deal coupons, Groupon has recently been striving to sell more actual, physical goods. In 2012, the company's Groupon Goods division sold $454.7 million worth of physical goods, up stratospherically from the previous year’s $20.8 million. The company’s acquisition of Ideeli continues these efforts and allows it to expand its fashion-retail commerce.