Deal websites are hugely popular now, but is offering cheap Groupon vouchers or some other equivalent really worth it in terms of your business? This is a very good question that we will address below and hopefully clear up how it works and if it works.
One great thing about deal websites is that they can target people in your local area, the most important thing to remember about these people is that they are the ones that are most likely to actually visit and keep visiting your business and these are the customers that you should aim to please. On the other hand those visiting and using a deal will be much less likely to visit again, but the importance should always be in providing a great experience and service, no matter the customer.
Results that can be measured
Coupons and deals are very easy to track and provide a wealth of information for businesses. Many decisions relating to pricing and attractiveness of offers or product offerings can be determined by using the information provided when people purchase through deal sites. These can also assist in making the next step to start making offers outside of the deal or coupon site environment
Build your list
When you have new customers you get a lot of information about them, such as their age, contact details, where they live and what their interests are. This is far better than having someone enter your retail store to buy something and then simply walk out. You can then tailor your product offering by having more information about the needs of your customers and can also help you to make decisions about cross selling, up selling and marketing.
One of the greatest things that businesses need is exposure and deal websites often have a very large customer base that they can tap into. They also do a lot of their own marketing, so promoting your deal becomes much easier and should bring in better results. For smaller businesses this is a great starting point before they have their own audience.
No upfront costs
Coupon and deal sites generally do not have a cost of listing a deal on their website, the advantage here is that there is very little risk if your product does not sell. Deal sites do tend to take a cut of sales, but the point is that this amount should be seen as spending money on marketing and securing new customers.