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size: What type of business do you have, and how many people can you reasonably serve? Now you can figure out what your business will lose in the worst-case scenario: A 100 percent redemption rate, with every customer spending the exact amount of the coupon. As some small businesses have learned the hard way, running a deeply discounted deal can give you so much traffic, and so many customers, that it will cost you money-a lot. Verified - Used 92 Times. Rice University surveyed 150 small to midsize businesses that had used Groupon, asking about their social-coupon experience and whether they would use the service again. That way, Groupon makes a certain amount of money, businesses are guaranteed a certain number of customers, and customers get deep discounts.
Bar Louie We've tried a few places @ Toy Music Factory over the last couple of months and by far this one had the best food of any if them.
We tried four different apps which were the sliders, potstickers, trio chips dip and the.
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But small-business owners should be careful not to get swept up in the frenzy of social coupons. Verified - Used 62 Times, sAVE, see More Details. And 40 percent of the respondents said they would not use Groupon again - notable, considering Groupon claims that at least 95 percent of its sellers request to be featured again. A recent study. Some customers will go beyond just being rude - they'll lie, try to reuse coupons, or attempt to use multiple coupons on one trip. Posies Caf faced rude customers and overwhelming traffic - all at a price that barely covered the base cost of the food being sold. Nightmare 1: One-Time Customers, a one-time customer who buys nothing extra is the worst situation for a small-business owner, because you're basically giving your products or services away for free. The easiest way to do this is to request an e-mail address at the time of the transaction (note, though, that it is illegal to require an e-mail address or to put an e-mail sign-up list near the register. Nightmare 5: High Redemption Rates The ideal Groupon experience is this: Your small business runs a Groupon offer, people purchase thousands of coupons, and virtually none of those people redeem them.
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