Are daily deal sites worth the investment?
It’s no secret that there are mixed reviews surrounding daily deal websites, such as Groupon or Living Social. While businesses are still utilizing the sites and offering discounts and deals to get people through the door, some note that they are not as effective as they would like.
Customers seem to enjoy the daily deals, but businesses have discovered that many of these customers are not coming back. According to the below infographic from BuySellAds, 82% of businesses are unsatisfied with repeat business after running a Groupon.
That being said, they found that 45% would use Groupon again to advertise and the predicted forecast for U.S. deal spending in 2015 is more than $4 billion.
With the daily deal sites sticking around, the mission is to find new ways to keep the new customers coming back. If you’re going to make the effort to offer a deal, here are some ideas that may result in increasing your ROI further down the line…
- Be nice: Some customers have noted being treated rudely while going to redeem their deal, perhaps because they’re taking the spot of a customer paying in full. Remember to enforce that all customers should be treated with respect.
- Offer an additional incentive: Sweeten the deal by offering another incentive to entice them to return again. Also, offer the chance to bring a friend with them to take advantage of the same deal.
- Stay in contact: Find a way to stay in contact with the new customer, whether through social media or email marketing. You don’t want them to forget that you exist after the deal is done.