***Use Groupon to generate £30000 in upsell***

11 replies
I noticed that many Warriors are wondering on how to use Groupon to promote their online marketing services Let me share with you my experience, as it was one of my favourite clients' generating techniques this year

There are many different opinions on how to use Groupon and whether do it or not...
I run my own marketing company providing online marketing services to small businesses, such as website design, seo, social media management, email marketing, video marketing, mobile websites, etc.
Apart from this I have also a training company, where I teach business owners how to market themselves effectively on the internet.

I used Groupon earlier this year to promote my workshops. In August I was promoting live 3 hours classes for £29 (people could choose from 3 different topics: wordpress, social media & seo). In October, the same classes & topics but as online workshops (webinars) for £14.
We had 450 sales for the live workshops and 250 for the webinar style.

Yes, Groupon wants you to give at least 50% discount from your regular price. On top of that, they charge 50% commission. Here in the UK, we also need to deduct 20% VAT.
So from £29, I was getting £11.60 per sale and from £14 - £5.60/sale.

It's not much money, but I didn't want to use Groupon to actually make money from it. My purpose was to get in touch with/build a list of people who are decision makers in bigger companies, are running their own businesses or are working in the marketing departments.

I wasn't selling to them during the workshop. Instead at the end of each class I was promoting my referral program, where I am paying up to 20% for the referred client. During the class/presentation I was showing different strategies and tactics, which were backed up by my portfolio.
The response was incredible. It didn't happen at once... though. People started contacting me after 1-2 months from the workshop attended.
I got not only referral partners, but many clients and great business/jv partners.

I generated £30k over the last 2 months purely from selling my services to business owners and decision makers who attended my workshops (I am not talking about the Groupon revenue here - just pure upsell).
Apart from this my trainings and courses will be promoted by a company, which is also promoting Tony Robbins' and Brian Tracy stuff ... I cannot even put any value here... I think it's priceless?

You need to remember about one thing though... You need to be well prepared. You need to have a system in place.
When your deal is on, lots of people call to find out about some details, they want to get more information, etc. Despite the fact, that you have your booking page, they will keep calling you. That's why I had my phone answering service set up and email support in place.

Groupon doesn' t give you any contact details, but just voucher code. I wanted to build a list of targeted decision makers from London, so on the booking form, I was requesting their email address.
It's really important that you keep in touch with them, so I was sending them a newsletter once per week with many useful information (usually an article, some useful online marketing/productivity/planning tips, featured product/service, some statistics/news).

I managed to build the list 650 people, targeted raving fans from London. For every email sent I have 50% open rate!!! Unbelievable... I know...

I got a huge success with it and I realy want to give back to the community.
If you have any questions, please post your question here or PM me
#generate #groupon #upsell
  • Profile picture of the author TheRealKG
    I always viewed Groupon in a negative light. I have two customers that are with me now because of Groupon. These two service based companies got so flooded with Groupon customers that they weren't able to keep up. It's not like they were profiting more either. They would be doing two to three times more work than they usually did, but profiting the same amount because the Groupon deal stole all profits. Many of the customers they got just wanted a one time service and then they would move onto the next grouponer. They literally just stopped answering the phones at one point. Needless to say, the bad online reviews for these companies are very abundant.

    That being said, this method is pretty nifty. It seems like something that is definitely worth a test run. Thank You.
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    • Profile picture of the author bryson
      Originally Posted by TheRealKG View Post

      I have two customers that are with me now because of Groupon. These two service based companies got so flooded with Groupon customers that they weren't able to keep up. It's not like they were profiting more either. They would be doing two to three times more work than they usually did, but profiting the same amount because the Groupon deal stole all profits. Many of the customers they got just wanted a one time service and then they would move onto the next grouponer. They literally just stopped answering the phones at one point.
      I too have come across lots of negative feedback, but like the OP did, you need to have a sales funnel in place to capture the Goupon buyers. Doesn't it makes sense to do so, if not, then you have the same experience your clients got?
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      • Profile picture of the author Dominica Alicia
        Originally Posted by bryson View Post

        I too have come across lots of negative feedback, but like the OP did, you need to have a sales funnel in place to capture the Goupon buyers. Doesn't it makes sense to do so, if not, then you have the same experience your clients got?
        Yes, you need to have everything in place:
        * employers/contractors who will be responsible for email/phone support,
        * procedures for them on how to handle queries, process bookings etc.
        * different products/services = sales funnel

        Ideally you should be up and running for a some time, have some results/portfolio, etc.
        This is not a good solution for a start-up businesses....
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    • Profile picture of the author Dominica Alicia
      Originally Posted by TheRealKG View Post

      I always viewed Groupon in a negative light. I have two customers that are with me now because of Groupon. These two service based companies got so flooded with Groupon customers that they weren't able to keep up. It's not like they were profiting more either. They would be doing two to three times more work than they usually did, but profiting the same amount because the Groupon deal stole all profits. Many of the customers they got just wanted a one time service and then they would move onto the next grouponer. They literally just stopped answering the phones at one point. Needless to say, the bad online reviews for these companies are very abundant.

      That being said, this method is pretty nifty. It seems like something that is definitely worth a test run. Thank You.
      Yes, there are plenty of horrible stories about Groupon. I cannot agree more - they steal your profit: you need to discount your offer by at least 50%, then they charge you commission of 50%...
      I don't know how Groupon in US works, but unfortunately people in the UK office are very unorganized... They have horrible mess...

      Imagine this... A few hours before the deal was published I am on the phone with my business manager from Groupon, who is checking with me all the details, fine print etc. There was a mistake with the date for one of the classes. I gave her the correct date... everything seemed to be sorted out. And guess what happened... The deal was published at midnight with a wrong date....

      My suggestion? Always request to send you the revised deal copy on your email address, double check everything. I did it, when I was running the second deal with webinars. And you know... I was on the phone with another person, checking everything... and exactly as the first time... everything seemed to be fine. But I requested her to send me the revised copy on my email address - and of course there was a mistake... They would publish my private mobile number instead of call centre one... No comments to that!!! Hopefully this time I knew what to do, I requested the deal copy to be sent to my email address and i managed to sort this out...

      With running my two deals with Groupon my goal wasn't really making money out of it, but build a list of prospects. Of course, there were plenty of "freebie" and "almost free" seekers - it's normal. Even when you're building a list, you will get plenty of "freebie catchers". You won't get rid of them.
      But remember - treat all of these clients like your full- paying customers, provide value, as you never know, who is sitting in the room on your workshops... I was surprised many times.

      It was hard work, I had really busy 3 months, but if someone asks me one day, if it was worth of all this hard work, I will reply without any hesitation: "Yes, it was".
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  • Profile picture of the author AnthonyCurtis
    Dominica Alicia, congrats on your success and thanks for sharing your experience! Did you have to pitch your trainings to Groupon as consumer-oriented? I heard that Groupon doesn't like B2B deals. Maybe that's just in the US.
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    • Profile picture of the author Dominica Alicia
      Originally Posted by DimeSaleDotNet View Post

      Dominica Alicia, congrats on your success and thanks for sharing your experience! Did you have to pitch your trainings to Groupon as consumer-oriented? I heard that Groupon doesn't like B2B deals. Maybe that's just in the US.
      Thank you

      Yes I needed to pitch the workshops to them, as I work with B2B market and they are really B2C. When I contacted them, I told them about myself and the company. They wasn't really happy with my B2B offer as they wanted to target bigger audience. I was offering 3 classes, which originally were covering these topics:
      1. Social Media for building your brand and increasing profits.
      2. Wordpress for building a business website
      3. Get ranked in Google using simple SEO techniques.

      What I did was, I changed the titles and content slightly:
      1. Create your 2nd income using social media marketing.
      2. Build your own website in less than 90 minutes.
      3. Monetize your passion by creating your own online business.

      They were just 3 hours workshops, so it was impossible to cover lots of content - they were more like taster sessions. I didn't changed all content, just changed it slightly... on these classes I was talking about principles and fundamentals anyway, so it was pretty quick and easy to do.

      Groupon was really happy with my suggestions. And guess how they were promoting it?
      I couldn't believe: "3 hours business workshops"....
      Look, the old listing is still showing up: Choice of Three-Hour Business Workshops for £29 at Wealth Business Experience (£150 Value)
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      • Profile picture of the author AnthonyCurtis
        Thanks, good to hear they were flexible with your B2B offer. Too funny, though, that after all the B2C conversion effort, they still called it "business"! :p

        Originally Posted by Dominica Alicia View Post

        Thank you

        Yes I needed to pitch the workshops to them, as I work with B2B market and they are really B2C. When I contacted them, I told them about myself and the company. They wasn't really happy with my B2B offer as they wanted to target bigger audience. I was offering 3 classes, which originally were covering these topics:
        1. Social Media for building your brand and increasing profits.
        2. Wordpress for building a business website
        3. Get ranked in Google using simple SEO techniques.

        What I did was, I changed the titles and content slightly:
        1. Create your 2nd income using social media marketing.
        2. Build your own website in less than 90 minutes.
        3. Monetize your passion by creating your own online business.

        They were just 3 hours workshops, so it was impossible to cover lots of content - they were more like taster sessions. I didn't changed all content, just changed it slightly... on these classes I was talking about principles and fundamentals anyway, so it was pretty quick and easy to do.

        Groupon was really happy with my suggestions. And guess how they were promoting it?
        I couldn't believe: "3 hours business workshops"....
        Look, the old listing is still showing up: Choice of Three-Hour Business Workshops for £29 at Wealth Business Experience (£150 Value)
        Signature
        Anthony Curtis -- Udemy Instructor
        Learn to Buy Facebook Ads, Linkedin Ads & Many More for
        Pennies on the Dollar with RTB (Real Time Bidding)

        Warrior Special Offer... $7 to $47 DIMESALE for Lifetime Access and Updates
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        • Profile picture of the author billnixon
          Would you do a Groupon again? If so, is there anything you'd do differently than the deal you offered?
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  • Profile picture of the author RockNRolla
    I always wondered why you never see more B2B offers on Groupon but I suppose it makes sense that they want to appeal to the wider consumer audience.

    Congratulations on your success, are you planning to run any other offers on Groupon?
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  • Profile picture of the author abbersuk
    Thanks that's a really good alternative use of Groupon to what is normally mentioned amongst the "gurus". Definitely a good way of creating value to your expertise and it sounds like you over-delivered and that is why your targeted customers are now opening your emails - it gives you a great path in. It's certainly something I will try in the future. It could also be a great way to promote your website if it is a service website.
    Good luck going forward!
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  • Profile picture of the author pablo4103
    I offer Daily Deals to my clients as a way for them to build a list and generate some instant revenue. With SEO it takes a long time and they want to see results NOW! I work for them and we both structure the deal so when the deal is run they are making money on each customer that walks in the door. Businesses do have to understand that when using any Daily Deal site it is strictly for the upsell and to build a list. If you work with someone like myself that works with the business the business will succeed. For example restaurants that offer 2 for $20.00. The business is earning $10.00 and giving away $20.00 worth of food. Maybe exclude drinks and make money to break even or get close to breaking even on their cost. Bottom line the business has to have a way to build the list, maybe even a way to capture reviews. Now the next time they are slow they send all those new customers a msg either through text (which you can upsell) or email (which you can upsell). So many ways for them to upsell and easy way for you to upsell.
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