Coupons R Us
Anyone here use coupons? We all love it when be can get something for half off. Some people spend hours sorting coupons, searching online for deals and driving to several different stores so they can save a few dollars. Over the past few years, even with a slower economy, companies like Groupon and Living Social, who offer daily online deals to entice us to sign up and buy everything from cookies to oil changes to an hour at the spa, have become some of the fastest growing businesses worldwide. Obviously, as witnessed by the explosive growth, consumers are buying, but how does it affect businesses long term?
The good side
If you have a new retail business that is not located in a busy area, and you want people to know you are there, offering a hefty coupon to get them in the door is one way to introduce yourself. Your real profit comes after you have impressed your new customers with your product, but if you accomplish that, you will reap the benefits with their return visits. A lot of advertising choices cost a similar high percentage, but the appealing factor with using the online coupon idea is you do not need to pay anything upfront. You do need to make sure you have enough of the product to sell, and if it is cookies you may find yourself up all night baking for days.
The downside
For businesses that have been around for awhile the online coupons have some cons with any of the pros. It is pretty much a given that the deal will be purchased by existing customers. That potentially takes money out of your pocket. Also, keep in mind that your new customers are very likely deal seekers. They might not care if you do great work or provide an exceptional product; they just want to spend less every time, and that can destroy any hope of customer loyalty. If you decide to try this method of advertising, make sure you deliver your service or product with extra customer care to guarantee a return customer.
Promote yourself
This is by no means a directive on whether or not to use online coupons, or any other coupons. There is not doubt they have merit, especially if you have a new business or need a boost in cash flow. However, like anything else you need to be aware of all the consequences. If you want to keep it internal, offer your own “hefty coupon” on a flyer you distribute by mail, email or door-to-door where permitted. Follow up on loyal customers with a thank you discount. While you implement your promotional activities, find ways to cut your costs so you hardly notice that you are treating your customers. Check out Global Business Centers to learn about packages that will help you keep expenses lower than ever. You can free up your time to promote and deliver great customer care, while they take over the duties they know best, the ones that distract you because they are crucial. When it relates to mailroom services, telephone answering services or virtual office space they have you covered. If your location is near one of theirs you even have options for temporary office space or an executive office suite. Cutting costs and promoting more is your ticket to success in the coming year
