Should i do groupon

I am just imagining the benefits to business owners who might benefit. So I think that your position may be more relevant. Groupon is not a bad idea, just generally not a good idea.

It takes some tact to know what to do to make the most of an offer. Generally, the higher profit margin you have, the more likely you have something to gain with offering a Groupon. Great post! I have used Groupon a few times and never once returned to a business even though they were great. I can be pretty cheap I suppose, and am willing to drive a little further for half off.

My kids will still get me a Groupon occasionally but again, I never go back to the businesses. Wonderful info! Hello, I just wanted to let you know it is hard reading your blog because the text is too small and the color is too light.

I wanted to read the Groupon post but after a few sentences, I decided to write this comment. Thank you! When I did the math it made no sense to me to do the Groupon unless I wanted to consider it a loss leader to possibly attract more customers. In fact, once I had done the math, it occurred to me that I should jack the price up above what I normally charge, in order to not lose out completely.

This means that I would risk alienating my current customers because my whole shtick is that I already charge low prices. The reason we are constantly bombarded with discounts is because they work, and because many customers have been trained to wait for them. What Steve is saying is that overly-steep discounts may cost more than the new customer brings in. The best, most well-off customers learned to wait until rebates and low-percentage financing deals are going on.

Only those who have to take what the dealer offers those who are financially borderline go in and buy at other times. It is not for nothing that the big Detroit companies have had existential crises every 2 to 5 years ever since that time. For some businesses, Groupon may indeed be a good deal. For others, it may not. As I read it, Steve is telling us to proceed with caution, rather than to step on a potential landmine.

I have used Groupon several times over the past year and became loyal customers to at least half of the stores and restaurants I purchased deals for. I guess being new to Portland, its a good way to explore local digs.

What I did not mention in my previous comment was how it feels being on the other end of Groupon. I never used Groupon for my business, but I used a similar company recently. Though I did like the influx of sales, I doubt I will have that many return customers no matter how much ass kissing I do. Its the nature of the beast: Customers want cheap, to spend as little as possible, not pay for shipping, etc. Carla Excellent point Carla. The best customers are the ones who recognize value and are willing to pay for it.

I agree with Rob. For me it seems it entirely depends on your angle and your business. I am considering it for my new business to 1. I think the businesses who use Groupon and LivingSocial and the like are banking on people buying the coupon, but then not using it withing the timeline allotted 1 year, 6 months, etc.

I think more people than we realize buy Groupons but forget to use them before they expire…I wonder if there are some stats on that…. It is not like its free money for anyone…. Maybe for info products where each extra product costs pretty near zero. Apart from that I think it is a terrible idea. For instance, I had been meaning to find a Beard Papa for so long, though there is only one in the city as I found out from the ad, I bought 2 groupons, shared with my friends and now we are dying to go back!

I never thought about it before but you are right. I love going to spas but hate paying a lot for it. So I keep buying the Groupons for spas. Groupon are not good by these you can get huge focus at once but not much regarding future perspective people will look for another similar deal from you and most of them would be single time consumers. But its true that Groupon can be a very effective technique to enter in new market.

Overall, I think if you offer a truly unique product or service and you can really stand out among the crowd, Groupon is a worthwhile investment. But if you blend in with your competitors and just want to drum up some business, Groupon could put you in the red.

The latter category is probably where a lot of businesses lie. In my previous business we sent out coupons every month. After that it seems they are very expensive when used. A massive discount. I seem to remember that the couponing really started around 25 years ago. I was in the restaurant business then as well and the Entertainment book was the first big coupon push. We tried not to get involved for as long as we could. The fact is — they may not make a tonne of money, but the staff still makes tips, the alcohol usually is marked up…etc.

This is indeed a tricky one. The business should know the value of a customer. Hopefully it is a repeat customer or have the ability to upsell that transaction.

Often times advertising costs without bringing in any revenue. Groupon become a trend now buy go for it to bring new customers but do not go for to many time. Just like a shopping complex, one day sales, everyone will go for it. If you keep doing one day sales, then everyone will wait for your one day sales and you already change their human behavior on your product.

I been try to enter in Groupon promotion but too bad it only provide to business , that is foods, entertainment and relax purpose. Thanks Steve…still deciding whether this applies to businesses like mine, which are online membership based?

J Su Yin Not sure about membership sites and how that would work for Groupon. There are other groupon-like sites for online business services like AppSumo which you may want to visit as well. Hi J Su Yin, Just wanted to chime in here. Done correctly — it will be a huge win for you! Good luck! Why not use Groupon as a way to extend your contacts? That way you:. That is why other companies are making efforts to work more with businesses to offer daily deals that work for them…..

Does Groupon accept that?? Yes, you just tell them that you want to put a limit on the deal. They will want the highest limit possible. I agree that Groupon will cost your business an Arm and a leg and no one will remember your business.

Good points, as always, about when to not use Groupon or other sites. But there are times when it works great. Great post. During one of my early December visits the owner was talking about her Groupon deal. I almost flipped out of my chair in excitement. That seemed like bad business to her. So she pushed back on Groupon. Then the Groupon sales person again according to her tried to get her to increase the upper limit of the Groupons. Again, that seemed like bad business to her so she pushed back.

Eventually she got her way and she was content with it. It was too early she said. What amazingly different approaches! One of the business women came across as being in control of her Groupon deal. The other had a lot of unknowns. Some of the simplest math can help make smart decisions. For the terms and conditions of the program, check out this page. Where to get your referral link: Use this page , which explains the Refer-a-Friend program in detail.

What it is: The Groupon Guide, where you'll find articles from editors who scour Groupon for the most-interesting deals and the coolest experiences.

You can use our gift guides to find the perfect present, from great Goods products like jewelery to unique things to do, like a Swedish massage. You can learn about featured services that you might be unfamiliar with, from reflexology to couples massages to spinning classes. Or, you can read about our adventures, like what it was like to travel alone with Groupon Getaways. Where to find the Groupon Guide: See the Guide here.

To help you get most out of Groupon, here are seven tips: 1. The Groupon Merchant team was very attentive and anytime I would reach out about updating our terms they were very helpful. We used this opportunity with our Groupon clients to make sure we got reviews and pictures to build our salon Instagram. I think for anyone who is looking to sign up they should be sure of their reasons as to why they are signing up.

Do not sign up just because you want more clients and then when they come in you keep upcharging them. If your goal is to grow your business and your fan base than I highly suggest you work with Groupon. They will help get clients to your door but the rest is up to you. Additionally, there is a bit of confusion when someone buys a voucher for one axle and we get to the job and find out their brake pads on the other axle need to be replaced too.

This is very much an auto repair or service-related problem as oftentimes there are unknown variables being found on-site. When I worked at Groupon, taxes, and tips were also not included in the cost of a Groupon. My colleagues would adamantly advise against Groupon. However, at the end of , a former high school classmate and I reconnected via Facebook and learned she had become a massage therapist as well.

We shared our best practices and tips with each other, discussed successes and lessons learned. She recommended Groupon.