Only a month after Google’s $6 billion offer to buy Groupon was rejected, the search giant is preparing to launch its own social purchasing promotions rival under the moniker ‘Google Offers’.

Social media news blog Mashable indicated that a source sent it a confidential fact sheet last week about the company’s new group buying service. The fact sheet said: "Google Offers is a new product to help potential customers and clientele find great deals in their area through a daily email".

The email will inform subscribers about a local deal of the day and give them a prescribed time limit in which to make a purchase. Once enough customers buy into the deal, Google Offers will be triggered and they will receive the promised discount.

The service is expected to be based on Google Checkout and will support email sharing options from sites such as Facebook and Twitter as well technologies such as Google’s own Reader and Buzz.

The vendor has set up a writing team to develop content for the offers and, according to a statement, is currently "communicating with small businesses to enlist their support and participation in a test of a pre-paid offers/vouchers program".

The statement continued: "This initiative is part of an ongoing effort at Google to make new products, such as the recent Offer Ads beta, that connect businesses with customers in new ways. We do not have more details to share at this time, but will keep you posted."

Google is believed to be keen to make its presence felt in the local market advertising space as it is expected to be a major growth sector into the future.