Group Buying Coupons

So my first group buying coupon goes out today with a small company that does promotions similar to Groupon. I have 3 more that will be going out over the coarse of the next 4 months.

I think the buying model is very smart- the business owner doesn't pay a dime, and gets new clients in the door. There is no loss because the business takes a percentage of a fairly deeply disounted product or service, which in my case, will definitely cover the overhead.

My only concern is, how many of the people will really be interested in becoming clients? In Atlanta, there are TONS of companies now that are offering promotions like this, and I subscribe to a lot of them just to see what spa deals go out. A lot of spa deals go out, and I wonder if people are jumping from one spa to the next, only going where they can get a deal on a facial. Has anyone else tried this yet, and if so, have you actually converted these types of client prospects into repeat clients?

I'll keep you guys posted as I go through this adventure!

-Kristin/ Atlanta

Replies to This Discussion

Permalink Reply by Kristin Ballantine on April 8, 2011 at 3:55am

That is a good idea Tasha. How much do you discount when the pre-book?

Permalink Reply by Tasha Baughman on April 8, 2011 at 9:42am

I give $10 off for facials...$15 for chemical peels and $20 for microdermabrasion....this might sound like a big discount but the way i look at it i am seeing this clients then every 3 to 4 weeks rather then every 6 to 8 weeks and and actually making in the end because they are coming back more often.

Permalink Reply by Nicola Ericson on May 5, 2011 at 4:07pm

My 1st promotion goes out on trubates tomorrow! Fingers crossed that I start to see the new clients. will keep you all posted how it goes.

I have to say that the customer service with Trubates is excellent. They really do work with you and help you decide what to offer as a promotion, without suggesting the most expensive service I offer. They seem to understand that we all need to make money! I love that you can limit the number sold and have more than one promotion at a time.

The only negative is that they seem to allow many similar promotions to run at the same time.

Positive thoughts that I get many new and regular clients

Permalink Reply by Kristin Ballantine on May 5, 2011 at 4:25pm

Awesome- good luck Nicola!

My online group buying coupon update: Overall, the coupons clients are really great. Of coarse some of them I may never see again, but this experience overall has been very positive. Many of them tip, some of them have been re-booking and buying products.

It's a great thing to try especially when you're new, you're books are slow, and you're getting your name out there.

Permalink Reply by Shelley Hancock on July 5, 2011 at 8:03am

Hi Guys...I'm very late to this discussion but wanted to add my two cents! I'm actually the Esty that Lori mentioned in one of her posts. I have an article on my website about Groupon. Here's the link: http://www.shelleyhancock.com/marketingideas.html

I have done Groupon, Trubates and Living Social. We have been so successful with this that I now have two Estheticians working for me and we're looking into building a third treatment room so we're not juggling all the time. We have had a good 50% or more retention in the clients that have come from these promotions.

One of the things that we have done is offer two different treatments through each promotion. When that new client comes in and uses the treatment that she purchased, after her treatment we ask her if she would like to purchase the other treatment that was offered for the same discounted price that Groupon (or whomever) offered it. So, she gets to try out another treatment that we have for a really great price and this time we get the full amount (no one is taking 50%) also we have a second shot at wining and dining her. I would say that about 80% of these new clients opted to try the other treatment!!!