Groupon and Deal Sites See Skepticism Replacing Promise | TruckMount Forums #1 Carpet Cleaning Forums

Groupon and Deal Sites See Skepticism Replacing Promise

Tron

Well-Known Member
Aug 3, 2010
14,886
47
113
Business Location
United States
In September, Raymond James surveyed merchants that used Groupon's daily deals services during the fall and found that 39% of them said they weren't likely to run another Groupon promotion over the next couple of years. A high commission rate and low rate of repeat customers gained through the promotion were the main reasons. The survey indicated that 66% of merchants were either "satisfied" or "very satisfied" with the number of new customers that a Groupon promotion brought in. But only 39% were satisfied or very satisfied with the quality of the customers -- that is, many businesses viewed these customers as lower spending and with lower repeat rates. The survey also found that 32% of the businesses said they lost money on promotions offered, and 39% said the Groupon offer was less effective than other marketing tactics.


Read more here:

http://finance.yahoo.com/blogs/the-...e-skepticism-replacing-promise-232236653.html
 

Spazznout

Premium VIP
Feb 13, 2011
6,782
3,486
113
Ohio
Real Name
Matt
Business Location
United States
Torrey

How are these results any different than any other form of advertising. If you want to be more than a one man show you are gonna have to pay for your custys via advertising dollars.

I have seen many people do well with Groupon and Living Social. Its all about the deal you offer, your selling ability, and capitalizing on your return. Pretty much like any advertising.

Unlike val-pak and other advertising means at least with these programs you are guaranteed customers before you pay one red cent.