How does Groupon work? - Have you tried it?
- Thread starter HAMSTER INSPECTOR
- Start date
For the consumer, sure. You pay Groupon, print off your coupon, and present it to the retailer. I've never had a problem. They use and accept them where I work too--great way to get new customers.
for the consumer just remember the taxes are extra and not part of your groupon. and don't forget there are expire dates so you can't buy a bunch and store them.
http://money.cnn.com/gallery/technology/innovation/2014/07/07/tech-flops/4.html
"Groupon had an electrifying IPO, its shares soaring as high as $31.14 in November 2011. It has literally all been downhill from there for the stock.
The deaily deals company has never come close to sniffing $30 again, and shares fell as low as $2.60 a year later. The stock is now hovering at about $6.50.
As it turns out, the online daily deals thing might have just been a fad. Businesses said they didn't increase their business, and customers grew tired of seeing unappealing deals in their inboxes.
Nearly 800 daily deals sites shut down or merged with rivals in 2011, according to industry analysis group Daily Deal Media. In 2012, Amazon wrote off 97% of the value of LivingSocial, the Groupon competitor it invested in two years earlier.
Jokes about Groupon deals for the company's stock abound."
"Groupon had an electrifying IPO, its shares soaring as high as $31.14 in November 2011. It has literally all been downhill from there for the stock.
The deaily deals company has never come close to sniffing $30 again, and shares fell as low as $2.60 a year later. The stock is now hovering at about $6.50.
As it turns out, the online daily deals thing might have just been a fad. Businesses said they didn't increase their business, and customers grew tired of seeing unappealing deals in their inboxes.
Nearly 800 daily deals sites shut down or merged with rivals in 2011, according to industry analysis group Daily Deal Media. In 2012, Amazon wrote off 97% of the value of LivingSocial, the Groupon competitor it invested in two years earlier.
Jokes about Groupon deals for the company's stock abound."
Also, a lot of them, particularly restaurants and hotels, have blackout dates
Marla, have you ever considered offering a Groupa-Dupa-pon? ( Polish )
Polish
Pronunciation
dupa
Noun
dupa
(vulgar) ass
(vulgar) sexually attractive woman
Polish
Pronunciation
dupa
Noun
dupa
(vulgar) ass
(vulgar) sexually attractive woman
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Used similar service, usually for restaurant and household items.
Restaurant use it to lure in business, as they usually are coupon that you can use like $50 voucher for $75 to $100 worth of food, but must be use at a meal for two (sometimes 4), which means you will at least spent another $100 or more at the restaurant.
New restaurant uses it alot, but most failed as they are not good to begin with.
Items like a goose feather duvet, original goes for $150, but with them it's only $30? Something isn't right... (But turns out okay, currently using it.)
Restaurant use it to lure in business, as they usually are coupon that you can use like $50 voucher for $75 to $100 worth of food, but must be use at a meal for two (sometimes 4), which means you will at least spent another $100 or more at the restaurant.
New restaurant uses it alot, but most failed as they are not good to begin with.
Items like a goose feather duvet, original goes for $150, but with them it's only $30? Something isn't right... (But turns out okay, currently using it.)
The reality of this is that it simply did not work for businesses. Instead of acquiring new customers, business were flooded with one-time-only customers who were, surprise surprise, classic couponers. High-maintenance and low profit. I'm sure there are businesses out there that did build new clientele from Groupon, but I've yet to meet any.
KK
Who cares if it worked for businesses? We are consumers, here. Lots of companies still offer great groupon deals that work for the consumer. You have full knowledge prior to purchase of what you are getting and when it's valid, and the groupon never loses its face value (so you always get at least your purchase price back, if you let the groupon expire). I use them for restaurants and tourist activities frequently. They are a great deal.
a big problem with groupon is that a large # of buyers are:
1.) people that would never consider businesses like specific restaurants if they had to pay full price afterwards.
2.) they draw customers from a large catchment area that isn't local to the business. The drive is worth it to people if u r getting 75% off. Not so worth it to pay full price.
Assuming only a very small percentage actually comeback afterwards, the per customer cost of acquisition is very high.
1.) people that would never consider businesses like specific restaurants if they had to pay full price afterwards.
2.) they draw customers from a large catchment area that isn't local to the business. The drive is worth it to people if u r getting 75% off. Not so worth it to pay full price.
Assuming only a very small percentage actually comeback afterwards, the per customer cost of acquisition is very high.
the businesses might care... they are, after all, the ones subsidizing the consumer. They aint doing this out of a sense of altruism.
My friend is an aesthetician and started her own boutique business. She wanted to get known as she has a fabulous location so she offered discounts on either Groupon or Buytopia for a short period of time until people discovered her and that is how she got her client base. She is now thriving.
