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