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Permalink Reply by John P on February 1, 2012 at 1:20pm

My only reason for responding is that I hate seeing someone about to shoot themselves in the foot. 

There's nothing new with these that hasn't been known before, but whether it's Yelp ads, Google, or Groupon, all are doing the same three things.

1) Driving discount seekers to you.

2) Loudly proclaiming your product is not worth full price.

3) Significantly reducing your pool of loyal customers

In the end, there is a net loss in business. If you are even considering any of these types of programs, examine what needs improvement in your business, because these will always be a losing proposition. Always.

Use the social media platforms to communicate with current and potential customers. Communicate a message, a vision -- let everyone know who you are and what you are about. Resorting to discounts of any kind is a clear sign of "Panic mode", and from there it's a steady and predictable downward spiral.

The best way to gain customers is to take those things you do best and do them even better. There are no shortcuts.

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Permalink Reply by ray peck on February 1, 2012 at 1:34pm

I am in agreement. I did jump in last year and it was a costly lesson. It sure sounded good at the time, even with my degree in marketing. thanks for your contribution. 

John P said:

My only reason for responding is that I hate seeing someone about to shoot themselves in the foot. 

There's nothing new with these that hasn't been known before, but whether it's Yelp ads, Google, or Groupon, all are doing the same three things.

1) Driving discount seekers to you.

2) Loudly proclaiming your product is not worth full price.

3) Significantly reducing your pool of loyal customers

In the end, there is a net loss in business. If you are even considering any of these types of programs, examine what needs improvement in your business, because these will always be a losing proposition. Always.

Use the social media platforms to communicate with current and potential customers. Communicate a message, a vision -- let everyone know who you are and what you are about. Resorting to discounts of any kind is a clear sign of "Panic mode", and from there it's a steady and predictable downward spiral.

The best way to gain customers is to take those things you do best and do them even better. There are no shortcuts.

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