Groupon Warning – 5 Minutes With Charles #29. Are you thinking about giving it a try? Have you ever thought about what kind of results you might have? Do you want a better way of attracting more customers?
Read the fine print first!
But before you just jump right in there with your own coupon campaign, you better understand the terms. Because they handle the payment, not you and they dictate when you will be paid. So you better read the fine print and be OK with not being paid right away.
They control the money
So if you’re looking to make a quick buck, Groupon isn’t for you. Because it will take at least 90 days for you to receive payment. And then, only after they take a big chunk of your already narrow profit margin.
It’s bad enough that Bob Phibbs, the Retail Doctor, wrote a book about it; “Groupon: Why Deep Discounts are Bad for Business.” But that’s not the only one you’ll find if you do a little searching. Even Boston University published an article; “Groupon: Bad for Business”
Also, it’s bad for any small business as it “trains” customers to just wait for another coupon. But that does nothing but cut into your profitability as well as lowers the value of your product or service. In other words, it’s not a good idea, especially for small businesses.
Groupon Warning: controlling your destiny
Pay attention, when you sign up for Groupon or one of its clones, you are giving up your freedom. You are telling people that have never spent a penny on your business that you will discount your stuff for them. All in the hopes that they will return. It’s a perpetual lie in that they save money, Groupon takes your money, and you may make enough to break even!
That’s bullshit and it’s a fast way to go out of business!
However, you can take control by offering superior merchandise or service. Plus you can also develop a strong customer service experience. But just as important is doing some direct response marketing.
Do you want help with that?
You can save yourself a lot of time, money, and hassles by just letting our professionals do all the heavy lifting for you. All you need to do is look over our Digital Marketing Services or simply set up a time to chat. So then you can get back to what matters most, your life and business.
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