I think deal sites absolutely cater to "bottom feeders" who may be just looking for deals. I think it is the wrong way to attract a loyal following. A major point of this article made was with the 99£ oven cleaning for 19£. Who would pay 19 and then repeat and pay 99?! That's nuts, and the only way to get most of those customers to not feel ripped off is do another groupon or offer some similar huge discount.
The BBC asks if daily deal sites have had their day?
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Re: The BBC asks if daily deal sites have had their day?
#22I think deal sites absolutely cater to "bottom feeders" who may be just looking for deals. I think it is the wrong way to attract a loyal following. A major point of this article made was with the 99£ oven cleaning for 19£. Who would pay 19 and then repeat and pay 99?! That's nuts, and the only way to get most of those customers to not feel ripped off is do another groupon or offer some similar huge discount.
I think the cleaning business is probably hoping for referrals.
Re: The BBC asks if daily deal sites have had their day?
#23I think deal sites absolutely cater to "bottom feeders" who may be just looking for deals. I think it is the wrong way to attract a loyal following. A major point of this article made was with the 99£ oven cleaning for 19£. Who would pay 19 and then repeat and pay 99?! That's nuts, and the only way to get most of those customers to not feel ripped off is do another groupon or offer some similar huge discount.
I think the cleaning business is probably hoping for referrals.
And that is true, but referral making is largely akin to a pyramid scheme. I also think that if the referrer is talking about their 19 pound groupon, the refer-ee would likely balk at the price as well.
Re: The BBC asks if daily deal sites have had their day?
#24What I would like is the anti-Groupon. Right now, every time I see a place that I currently frequent show up on Groupon I cringe. It means that my favorite restaurant or coffeeshop is going to be mobbed by cheapskates looking to save a few bucks. It means that the staff is going to be harried and tired. It means that I won't be able to get a reservation for a few months. I want a way for these places to say "Hey -- r…
If you're a regular, aren't loyalty cards - you know, hole-punch-tracked rewards, etc. - enough? How much web connectivity do you need from a place that you actually frequent?
Creating that web of connections online and offline is highly valuable to a company. The more loyalty you have the better. The online world should help reinforce offline relationships. The internet is, after all, a tool.
Re: The BBC asks if daily deal sites have had their day?
#25What I would like is the anti-Groupon. Right now, every time I see a place that I currently frequent show up on Groupon I cringe. It means that my favorite restaurant or coffeeshop is going to be mobbed by cheapskates looking to save a few bucks. It means that the staff is going to be harried and tired. It means that I won't be able to get a reservation for a few months. I want a way for these places to say "Hey -- r…
If you're a regular, aren't loyalty cards - you know, hole-punch-tracked rewards, etc. - enough? How much web connectivity do you need from a place that you actually frequent?
Some (MMOT) classmates are trying to do that (loyalty cards for small shops plus online advertising).
The main block is actually apathy from the storeowners - they don't believe they need it, most of them are conformists and traditionalists, not enterprising or risk-takers.
Re: The BBC asks if daily deal sites have had their day?
#26I think a lot of people misunderstand what Groupon offers a business. Basically it's advertising, but in a way that makes it affordable for small businesses. The company offering their deal, is putting their name out there, and only has to pay for it when someone walks through the door an makes a purchase. Tradition advertising means paying for your brand to be seen. Magazines, newspapers, ect can target markets, but…
I'd love to see solid numbers on what percentage of their sale price companies are spending on different forms of advertising.
Considering the general bargain hunting nature of Groupon-derived customers I wouldn't be surprised if they're possibly the most expensive and the least converted advertising business out there.