# Groupon?



## robroquet (Nov 16, 2011)

What do you guys think of doing an ad on Groupon? Just pondering your thoughts and ideas.

Rob


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## Pristine PM ltd (Oct 15, 2005)

we did one called Homesav two years ago, not a bite. They make you discount yourself, which we sort of did, and we gave a service area, but it was a bit of a waste of time. I don't think snow is what these things are best for.


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## robroquet (Nov 16, 2011)

Yea, I was thinking more for the spring time. Four mowings up to 10k sq. ft for $100. Its a discount but could get you into potential clients for the spring time. For snow, I was going to discount it so that I would get $20/plow for a basic two car driveway up to 30 ft long.


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## thelettuceman (Nov 23, 2010)

There are horror stories out there when the company making the offer gets too much business. Snow has to be removed in "real time". You cannot tell the coupon holder that you will get to it in two weeks.
Now, if you had a restaurant and took reservations, you could book your work accordingly.
Think carefully before you go the Groupon route.


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## robroquet (Nov 16, 2011)

thelettuceman;1388431 said:


> There are horror stories out there when the company making the offer gets too much business. Snow has to be removed in "real time". You cannot tell the coupon holder that you will get to it in two weeks.
> Now, if you had a restaurant and took reservations, you could book your work accordingly.
> Think carefully before you go the Groupon route.


This is true, but I believe that you can limit the amount of them sold. I will try it out and let all of you know how it worked.wesport


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## thelettuceman (Nov 23, 2010)

Good Luck ... check the rules out b 4 u dive in.


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## PEP Plowing (Jan 11, 2011)

Couple of things:
1. LIVING SOCIAL has something called INSTANT. These are generally restaurant deals. In general I don't think people turn to L.S. or Groupon for snow removal. They usually wake up and go "OH S***", it snowed last night".
2. When the above mentioned home owner needs plowing, now, they turn to the internet. And I have found the place they go is Craigs List. 
3. The above 2 scenarios are those in need of instant plowing. For those who plan ahead L.S. or Groupon may work. Maybe issue a discounted rate. Never hurts to explore.

So, overall, I have built my customer list by: #1 Ad on Craigs. #2. Via referrals of those same customers. I started plowing 2 years ago, Philly area. That was the year we had 3 MAJOR events. I learned a lot and worked even more. Last year we had 7 solid events. By the end of last year I had 28 SOLID customers. All residential driveways. This year I am cutting some of the smaller out of way customers and hoping to replace them with higher revenue customers. Why waste time driving far away for $50 when I can stay local for $200. Also, when the BIG EVENTS happen I ALWAYS pick up a bunch of desperate home owners. The ones that usually shovel their own but for what ever reason can't do it this time. I don't rip them off, but I realize MOST if not ALL will NOT call you back or become regulars. So I save them for the end of the route, and rake in the cash. 

I can't wait for the snow to arrive. Because the Building business is non existent in the Philadelphia Suburbs!


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## greg8872 (Jan 17, 2007)

While I normally don't "Cross post" across forums usually, another forum which I am on had a good thread on using Groupon. http://www.limousinesonline.com/showthread.php?13834-Groupon

The difference for that group is that their service isn't something used as often (especially for those type of clients using Groupon).

-Greg


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## SullivanSeptic (Nov 30, 2008)

I've seen two different companies in my area do groupons. They were for residential drives and had limits on size. They had the price supposedly discounted 67%. But their prices were just increased.


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## phillie (Aug 24, 2010)

On my post cards I have a group-on but it's different than what you are looking for. I offer a percentage off when 3 or more neighbors call in and want services.


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## PEP Plowing (Jan 11, 2011)

So after reading the above posts and connecting the dots to my building business marketing I arrived at a good COUPON for my customers:

My real business is Residential Building. Generating leads and developing relationships are key to getting work. So this year I prepared a COUPON which I sent to all of my Plow Customers and will hand to all new Customers. The COUPON enables the customer to deduct the cost of the Plowing from any project over a $1000. My goal is to use the Plowing business to generate building business.


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## Nearbywork (Jan 7, 2012)

*Groupon Model worked?*



SullivanSeptic;1411585 said:


> I've seen two different companies in my area do groupons. They were for residential drives and had limits on size. They had the price supposedly discounted 67%. But their prices were just increased.


We had thoughts about using a Groupon model to spark demand. The problem was, for services such as plowing it's super hard to handle the expected demand, which would be needed to arrive at a comfortable profit. The main reason is, unlike, say a restaurant, which can have its Groupon customers walk in and redeem their meal separately within a 6-month window, or longer, plow customers need the snow off their driveway at the same time. Most outfits who plow would find it really hard to fulfill that demand in the time needed to make customers happy.


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## NickT (Feb 1, 2011)

Subscribed


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## thelettuceman (Nov 23, 2010)

Nearbywork;1412691 said:


> We had thoughts about using a Groupon model to spark demand. The problem was, for services such as plowing it's super hard to handle the expected demand, which would be needed to arrive at a comfortable profit. The main reason is, unlike, say a restaurant, which can have its Groupon customers walk in and redeem their meal separately within a 6-month window, or longer, plow customers need the snow off their driveway at the same time. Most outfits who plow would find it really hard to fulfill that demand in the time needed to make customers happy.


Post # 4 / 12/21/2011


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## RefinedPS (Aug 15, 2011)

In my experience Groupon isn't worth what you pay for! You have to cut your rates in half, and then they only pay you 50% of the gross revenue. So basically you are working for 25% of your retail rates. I don't know of a company that can operate on 25% of their revenue.  My advice to all would be to do EDDM through the post office instead. Thumbs Up


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