Life Time Value of a Groupon client?

10 replies
Howdy!

I'm a newly certified hypnotherapist -- and I was just curious if anyone has had any luck with groupon on the backend? Are groupon customers just price buyers or do some of them actually have a decent life time value? I will probably will do a test on this to see if it is worth it. However, I'm curious if anyone has had any luck with them.

Thanks,

Mike
#client #groupon #life #time
  • Profile picture of the author Peter Lessard
    Generally Groupon buyers are bargain hunters. You would find many business owners that absolutely hate dealing with them.

    Having said that it is important to consider the following.
    Many times business owners go to groupon and put out an offer that frankly they resent having to make but times are tough for them so they would rather have some sales than no sales. This tends to affect their interaction with the groupon customers.

    As a marketer I believe that ANY new customer is an opportunity and its on you to provide a service or delivery method that will make the experiment successful.
    Signature
    Ready to generate the next million in sales? The Next Million Agency
    {{ DiscussionBoard.errors[9419979].message }}
  • Profile picture of the author dunkinbbb
    If you do a groupon

    its essential that you capture at the very least - the emails of the people who purchase your groupon so you can market to them in the future.

    Keep in mind - from the start - these people are Groupons customers - not yours.

    You job one is to convert enough of them into your clients - so that the price you paid for the groupon - in discounts and other ways - is more than made up by the new clients.

    Consider an immediate "tripwire" - small upsell - at the point of sale - so that you capture their credit card info - and they instantly become your customers.

    There are several other things you can do in prep - but that's a good start.

    Good luck,

    Bill
    {{ DiscussionBoard.errors[9420283].message }}
    • Profile picture of the author DABK
      dunkingbbb is right. Consider the offer you put on Groupon your payment for getting them to see the offer you're making them to get their contact info, so you can put them into your funnel.

      When they get whatever you advertised on Groupn, they go to the next groupon offer unless you take control. And you'll cry.
      {{ DiscussionBoard.errors[9423822].message }}
  • Profile picture of the author digichik
    Here is an example of how someone used Groupon to build their email list and clientele:

    http://www.warriorforum.com/offline-...onsultant.html
    Signature



    {{ DiscussionBoard.errors[9423846].message }}
    • Profile picture of the author mojo1
      Originally Posted by digichik View Post

      Here is an example of how someone used Groupon to build their email list and clientele:

      http://www.warriorforum.com/offline-...onsultant.html

      I remember that post and bought one of Neil's products. I remember he worked for Deloitte consulting previously.
      My how times fly. An oldie but goodie.
      {{ DiscussionBoard.errors[9424112].message }}
    • Profile picture of the author mjbmedia
      Originally Posted by digichik View Post

      Here is an example of how someone used Groupon to build their email list and clientele:

      http://www.warriorforum.com/offline-...onsultant.html
      points 1 and 2 were plain stupid. why do the work to get the additional prospects via FB and PPC etc to then still send them to the groupon deal giving half the lower profits away when he could have just sent them to his own deal and not had to pay the groupon 'commission' .

      Other than that its good but pretty obvious really . I remember it first being posted, cant believe it was THAT long ago!!! jeez

      Anyway to the OP, how can you package an offer that leaves room for upselling after the original package is purchased and experienced ? How can you deliver the experience in such a way that it will be memorable and people will want to happily share it with others they influence (new prospects) . is there a way to productise your service at all, if only partly, a takeaway sort of thing they can do at home , book, dvd, cd/mp3 etc
      Signature

      Mike

      {{ DiscussionBoard.errors[9424815].message }}
  • Profile picture of the author misterme
    Originally Posted by mjbmedia View Post

    points 1 and 2 were plain stupid. why do the work to get the additional prospects via FB and PPC etc to then still send them to the groupon deal giving half the lower profits away
    I'd think it's the marketer testing to see if this gets way more results making it way more profitable in the long run by using social proof + implied endorsement from Groupon instead of just "hey it's only lil' ol' me advertising here, wanna buy my stuff?"
    {{ DiscussionBoard.errors[9425908].message }}
    • Profile picture of the author mjbmedia
      Originally Posted by misterme View Post

      I'd think it's the marketer testing to see if this gets way more results making it way more profitable in the long run by using social proof + implied endorsement from Groupon instead of just "hey it's only lil' ol' me advertising here, wanna buy my stuff?"
      yeh Im aware of that just that the post states that the prospect had already 'bought in' to the whole concept and then and only then are they passed on to Groupons deal page . Id agree that if they hadn't bought in then the endorsement/ proof etc would help but theyd apparently already committed to buy in , at least that's how I read it
      Signature

      Mike

      {{ DiscussionBoard.errors[9429782].message }}
      • Profile picture of the author misterme
        Originally Posted by mjbmedia View Post

        yeh Im aware of that just that the post states that the prospect had already 'bought in' to the whole concept and then and only then are they passed on to Groupons deal page . Id agree that if they hadn't bought in then the endorsement/ proof etc would help but theyd apparently already committed to buy in , at least that's how I read it
        Even that way would still be a manifestation of social proof. Plus risk reversal, seeing how a big company like Groupon is handling the transaction, not the relatively unknown operator.
        {{ DiscussionBoard.errors[9430184].message }}
  • Groupon people are definitely bargain hunters, and just like with WSOs on here......if all you get are people who sign up to your list hoping to get free stuff, all they'll ever want is more free stuff.

    However, I have helped clients build their groupon businesses and had clients stay in for a longer time. The key is to offer quality discounts and to always deliver quality value at what you're selling.
    {{ DiscussionBoard.errors[9428821].message }}

Trending Topics