>Group buying is everywhere. From Groupon and LocalTwist to your local newspaper’s equivalent, we can’t escape its recent surge.
Group buying is generally a good thing. Consumers love the low prices, and businesses love the traffic. And the group buying agents love their cut of the transactions.
But it’s easy to go wrong. Lack of preparation and follow-through can lead to a groundswell of unsatisfied single-transaction customers, frustrated loyalists, and stressed employees. What appeared to be a boon can turn bust in the blink of an eye.
Luckily, as with any marketing tactic, good planning and research can help return the best results on your group buying investment. Take these tips into account to maximize your success:
1.Plan – Research similar businesses and their group buying practices. Has this been done before with measureable success? What will make this a profitable campaign? How long can you expect the surge in business to last? It may be wise to include restrictions or limitation on the group coupon, such as requiring a beverage or dessert purchase to receive a 50% meal discount.
2.Prepare – Gather your staff and resources to prepare for a surge in business. Will customers only purchase the good or service on the coupon, or are they likely to add a scoop of this or streak of that? Remember that the increase will likely last longer than just the day of the group coupon. Anticipate a long wave of traffic and get ready!
3.Follow through – For many, this will be their first impression of your business, so it is important to deliver what was promised with the same enthusiasm and service that loyal customers receive. That also means that if something goes wrong, fix it quickly.
4.Follow up – Add the new customers to your email marketing database. Send out satisfaction surveys, additional offers, helpful content, or whatever else will turn them into loyal customers. Turn the quick return from group coupons into recurring transactions.
5.Evaluate – What worked and what didn’t? You may want to build upon your success and reach out to additional audiences through other group coupon services.
The potential crowd cramming through your doors can be both exciting and overwhelming. But handled properly, you can turn the tidal wave of business into a steady revenue stream. And we can help.