Groupon deals

I have just completed a Living Social deal for Lawn care in the leeds area - And will write up my findings in due corse in the HUB area.

Living social do seem to attract a much higher quality of client than groupon - who seem to attract and target bargain hungers and "junkies" who are out for a cheap deal, rather than treat it as a form of advertising.

TO give you an idea of how its gone for me so far - 25% of customers have brought an upsell on the day - of those all so far have signed up for regular lawn care, a further 25% have signed up and the remaining customers have been a mix of (10%) people who promise but clearly wont, who just buy deals because they are addicts.

20% - Waiting on results, usually have an existing gardener or use another lawn care provider but wanted a cheap treatment as a one off and are shopping around.
20% - simply brought the deal and dont really need or want it - they just brought it.

Also worth noting - same as groupon living social take about 50% of the headling price, which is already deducted by at least 50%,

So if you charge £30 for a task,
50% off is £15,

They take 50% of the 15 leaving you with 25%, or £7 for what you would charge £30 for - treat it as advertising, and remember you WILL loose money on each deal sold.

David Cox said:

I have just completed a Living Social deal for Lawn care in the leeds area - And will write up my findings in due corse in the HUB area.

Living social do seem to attract a much higher quality of client than groupon - who seem to attract and target bargain hungers and "junkies" who are out for a cheap deal, rather than treat it as a form of advertising.

TO give you an idea of how its gone for me so far - 25% of customers have brought an upsell on the day - of those all so far have signed up for regular lawn care, a further 25% have signed up and the remaining customers have been a mix of (10%) people who promise but clearly wont, who just buy deals because they are addicts.

20% - Waiting on results, usually have an existing gardener or use another lawn care provider but wanted a cheap treatment as a one off and are shopping around.
20% - simply brought the deal and dont really need or want it - they just brought it.

Replies

PRO

Phil Voice September 29, 2013 at 7:42pm

Hi Craig

It's a good question.

Personally I stopped my subscription to Groupon because of the sheer amount of emails I was getting daily.

We discussed Groupon a while back and you might find the discussion of interest: http://www.landscapejuicenetwork.com/forum/topics/is-it-viable-to-s...
Mike Long - Genesis Landscapes September 29, 2013 at 8:37pm

Hi Craig, I did a Groupon deal two years ago, I sold 2 hours of garden maintenance for £15, an absolute steal for anyone purchasing this deal. However as you've heard Groupon then take 50% of that money. I sold 300 vouchers in 24 hours and it was the worse 6 months of my life no life! The first day I came home to 90 voicemails, it's a logistical nightmare if nothing else. I never had any call backs for repeat business, people want a one off bargain, I don't blame them but it sucked for me!

Save yourself a real ball ache and stay away from Groupon - in fact as matter of principal I never buy a Groupon deal since that time as I know how they screw people who get sucked in. They say they're average client is a young professional - I assure you it's not!
David Cox September 29, 2013 at 9:55pm

I have just completed a Living Social deal for Lawn care in the leeds area - And will write up my findings in due corse in the HUB area.

Living social do seem to attract a much higher quality of client than groupon - who seem to attract and target bargain hungers and "junkies" who are out for a cheap deal, rather than treat it as a form of advertising.

TO give you an idea of how its gone for me so far - 25% of customers have brought an upsell on the day - of those all so far have signed up for regular lawn care, a further 25% have signed up and the remaining customers have been a mix of (10%) people who promise but clearly wont, who just buy deals because they are addicts.

20% - Waiting on results, usually have an existing gardener or use another lawn care provider but wanted a cheap treatment as a one off and are shopping around.
20% - simply brought the deal and dont really need or want it - they just brought it.
David Cox September 29, 2013 at 9:57pm

Also worth noting - same as groupon living social take about 50% of the headling price, which is already deducted by at least 50%,

So if you charge £30 for a task,
50% off is £15,

They take 50% of the 15 leaving you with 25%, or £7 for what you would charge £30 for - treat it as advertising, and remember you WILL loose money on each deal sold.

David Cox said:

I have just completed a Living Social deal for Lawn care in the leeds area - And will write up my findings in due corse in the HUB area.

Living social do seem to attract a much higher quality of client than groupon - who seem to attract and target bargain hungers and "junkies" who are out for a cheap deal, rather than treat it as a form of advertising.

TO give you an idea of how its gone for me so far - 25% of customers have brought an upsell on the day - of those all so far have signed up for regular lawn care, a further 25% have signed up and the remaining customers have been a mix of (10%) people who promise but clearly wont, who just buy deals because they are addicts.

20% - Waiting on results, usually have an existing gardener or use another lawn care provider but wanted a cheap treatment as a one off and are shopping around.
20% - simply brought the deal and dont really need or want it - they just brought it.
PRO

Able Gardens September 30, 2013 at 10:17pm

Mike, credit where credits due... You kept to your side of the bargain!