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mark_roberts

  • Posts: 1899
Has the Groupon bubble burst?
« on: September 01, 2012, 07:52:07 pm »
Has the Groupon bubble burst?

Latest carpet cleaning deal for two rooms £29 has only sold five over the past few days with 4 hours to go.

And this is the second time hes done it in about 3 months.

Mark


*Hector*

  • Posts: 9270
Re: Has the Groupon bubble burst?
« Reply #2 on: September 01, 2012, 08:16:15 pm »
Hello Simon....
You have been quiet recently.... been ill ??

 ;D ;D
Everyday this forum slips further from God.  :'(

Doctor Carpet (Ret'd)

  • Posts: 2024
Re: Has the Groupon bubble burst?
« Reply #3 on: September 02, 2012, 10:36:17 pm »
I saw recently in the financial pages that Groupon sufferred a significant fall in t/o and profits in their last quarter's figures.

Perhaps, perhaps, perhaps.......

Rog
Diplomacy: the art of letting other people have your way

clinton

Re: Has the Groupon bubble burst?
« Reply #4 on: September 03, 2012, 07:10:55 am »
I have seen another discount voucher advertised on tv called wowcher..

Guess there will be a few more around after groupon has gone to ground.

Simon Gerrard

  • Posts: 4405

*Hector*

  • Posts: 9270
Re: Has the Groupon bubble burst?
« Reply #6 on: September 04, 2012, 06:57:05 am »
Don't blame you..
I would avoid me if I could  ;D
Everyday this forum slips further from God.  :'(


*Hector*

  • Posts: 9270
Re: Has the Groupon bubble burst?
« Reply #8 on: September 04, 2012, 08:36:25 am »
 ;D ;D
Everyday this forum slips further from God.  :'(

Buckland

  • Posts: 414
Re: Has the Groupon bubble burst?
« Reply #9 on: September 06, 2012, 01:01:48 pm »
Been thinking about this Groupon phenomenon again recently and it occurs to me it could be a very good way to build a business in a specific area i.e. what jason L and others have been banging on about - personally I think it screws all of us to some degree by cheapening our proposition when we should be upping standards and job value/invoices accordingly.

My point is if you are just starting out as a newbie and you need to build a base of customers who will return to you again and again then you can service alot of customers in a short space of time - UNFORTUNATELY you need to be really experienced to be able to do alot of jobs in a short space of time and give value to the customer - with the knowledge of equipment, chems and different carpet types that I have now I am sure I could probably handle that volume of low ticket jobs - however I very much doubt anyone new to the business could cope with the volume of jobs, provide good value to the customer (enough value to retain them as a customer for later on - which was the original intention remember) and keep solvent and survive the experience. I know I had alot of down time when I first started and I certainly had the time to do an extra 3-5 smallish jobs a day for bugger all money.

However (and its a big one) how many of the repeat customers I have today would still be ringing us up if we had treated them as a stepping stone to building a database - when you start out you take alot more time and trouble over jobs because you are not in a familiar routine and you are eager to please the client - as you get more experienced you know exactly what you are doing and how to provide top value for a job well done...

Just my take on things!
Buckland Carpet & Fabric Care :: 01590 688938
www.SteamCleanCarpetService.co.uk

Joe W Brown

  • Posts: 217
Re: Has the Groupon bubble burst?
« Reply #10 on: September 19, 2012, 09:02:23 am »
I have a confession. I recently did a campaign on Groupon, with the same deal (which they insist on) 3 carpets for £29.

Groupon take 50% of the money plus vat which leaves me with £11.50

My reasoning was this - I was recommended, as a new business, to do free cleans in order to build client database and attract attention. Free cleans, advertised through leaflets, did indeed seem to be my best port of advertising.

Groupon came along with this offer and i felt like i didnt have much too lose. I would still be, in effect, working for free, but with groupon there would be no leaflet distribution to worry about. It would put me in the spotlight, at no significant cost to me other than labour and time.

Im yet to decide if I would do it again (ive completed 10 of the 30 groupons sold) however it has made me some big jobs already, since many people clicked onto my website through groupon and phoned up to make larger orders.

Also, neighbours very often hear me outside their house and pop in to get a quote.

In addition I have so far managed to upsell maybe 50% of the groupons sold, offering them additional rooms at a fair rate.

I wonder if it can be a good way of advertising if you have a lot of time on your hands and are willing to work for free. Only time will tell though and ive heard lots of mixed views on this.

As I mentioned in another thread - 3 rooms takes me around 4-5 hours if done with care. Sometimes longer. Its a lot of unpaid work.


*Hector*

  • Posts: 9270
Re: Has the Groupon bubble burst?
« Reply #11 on: September 19, 2012, 10:37:20 am »
I did that groupon offer last year and sold 400+

for as you say £11.50 each.. Yes I upsold some but NOT ONE has rebooked this year for full price............

It put me off the business doing so many..... cost a fortune in fuel.... And if you only sold 30 this year...........

That is one hell of a lot of difference.......

Maybe groupon has had it's day after all...
Everyday this forum slips further from God.  :'(

Jamie Lindsay

  • Posts: 478
Re: Has the Groupon bubble burst?
« Reply #12 on: September 19, 2012, 12:10:17 pm »
Nearly finished with my daily deals be warned stay away haha

benny d

  • Posts: 706
Re: Has the Groupon bubble burst?
« Reply #13 on: September 19, 2012, 08:49:03 pm »
I just cant believe that anyone would think this is a good idea!

For the people who you are doing the Goupon deal this year. Just think  ****if***** they should call you in a year or so's time to have a reclean, they would want a similar price from you. You tell them it was a **Special** offer last year but now the same cleaning is £80-00, they will say stuff you, and perhaps move onto a different wally who's doing a Groupon or similar deal.

Totally stupid all round!

Advertise properly, and charge accordingly.
"If i'm not in action, I'm in traction"
Voted 397th best looking carpet cleaner in West Sussex 2015. Up 10 from last year...

Jamie Lindsay

  • Posts: 478
Re: Has the Groupon bubble burst?
« Reply #14 on: September 19, 2012, 09:23:29 pm »
So true benny but you live and learn thats why i love the old business marketing haha

steven Banks

Re: Has the Groupon bubble burst?
« Reply #15 on: September 19, 2012, 09:33:38 pm »
Been thinking about this Groupon phenomenon again recently and it occurs to me it could be a very good way to build a business in a specific area i.e. what jason L and others have been banging on about - personally I think it screws all of us to some degree by cheapening our proposition when we should be upping standards and job value/invoices accordingly.

My point is if you are just starting out as a newbie and you need to build a base of customers who will return to you again and again then you can service alot of customers in a short space of time - UNFORTUNATELY you need to be really experienced to be able to do alot of jobs in a short space of time and give value to the customer - with the knowledge of equipment, chems and different carpet types that I have now I am sure I could probably handle that volume of low ticket jobs - however I very much doubt anyone new to the business could cope with the volume of jobs, provide good value to the customer (enough value to retain them as a customer for later on - which was the original intention remember) and keep solvent and survive the experience. I know I had alot of down time when I first started and I certainly had the time to do an extra 3-5 smallish jobs a day for bugger all money.

However (and its a big one) how many of the repeat customers I have today would still be ringing us up if we had treated them as a stepping stone to building a database - when you start out you take alot more time and trouble over jobs because you are not in a familiar routine and you are eager to please the client - as you get more experienced you know exactly what you are doing and how to provide top value for a job well done...

Just my take on things!

I couldn't agree more.

Joe W Brown

  • Posts: 217
Re: Has the Groupon bubble burst?
« Reply #16 on: September 19, 2012, 10:00:59 pm »
I just cant believe that anyone would think this is a good idea!

For the people who you are doing the Goupon deal this year. Just think  ****if***** they should call you in a year or so's time to have a reclean, they would want a similar price from you. You tell them it was a **Special** offer last year but now the same cleaning is £80-00, they will say stuff you, and perhaps move onto a different wally who's doing a Groupon or similar deal.

Totally stupid all round!

Advertise properly, and charge accordingly.


I'd tend to disagree with that. A high percentage of the groupons I do turn into bigger jobs, charging the extra cleans at full rate (which admittedly are not massive, but enough to keep me comfortable)

Today for example, I did 2 flights of stairs for a women who originally purchased a groupon. I charged her near full rate for the 2 flights. She was over the moon with it. Whilst i was working, her neighbour popped round and booked a clean of 1 rug at full rate.

I will be in contact with her Mum later in the week for a clean, for which I will charge full rate. It would not be unusual for her Mums neighbour to pop round whilst I am cleaning her carpet, for a quote and to book.

Next year I will be in contact with the said groupon purchaser, her neighbour, her Mum.

She gave me a massive tip today also and I heard her on the phone to her friend saying how "amazing" the carpet looks.




Joe W Brown

  • Posts: 217
Re: Has the Groupon bubble burst?
« Reply #17 on: September 19, 2012, 10:13:47 pm »
So far ive satisfied 10 groupons and made upwards 10 full priced sales out of the deal I think.

Baring in mind full priced for me is £50-£125 per days work (10-12 hours)

Im still tediously slow. The 2 flights of stairs today took me 9 hours labour. It was a white carpet and even after powerburst required lots of spotting. Also she talked a lot. A lot!


Craigp

  • Posts: 1272
Re: Has the Groupon bubble burst?
« Reply #18 on: September 19, 2012, 10:23:40 pm »
Joe, how old are you, are you fit and active?

seems a funny question but your need to be quite fit for this job, but of course you will be slow anyway in the beginning, that's normal.

Joe W Brown

  • Posts: 217
Re: Has the Groupon bubble burst?
« Reply #19 on: September 19, 2012, 10:29:41 pm »
24 years old. Very fit.

I have a tendency towards perfection. I never know when to stop with a job, because i fear underdoing it much more than I do overdoing. Especially when they give me tea and cake. This job today she said the carpet looked "brand new" but to me it still looked riddled with stains.

I also have a tendency towards talking!