Groupon, Small Business & Intelligent Discounting

With all of the hubbub around how Groupon might not necessarily be such a great thing for small businesses, my friend Seth Gardenswartz of SpaBoom alerted me that they are going to be hosting a webinar on how to “roll your own Groupon.”

It sounds like its worth checking out. I particularly like their take on “Intelligent Discounting”:

• Create a discount program that will deliver a brand value for potential clients, and a high ROI for the spa/salon.
  • Avoid directly competing with your existing service offers.
  • Build an offer with a higher margin from which to discount by adding product, or non-staff required services.

• Engage your entire staff in the promotion.
  • Front desk staff should offer details and engage existing clients to participate in spreading the word.
  • Encourage therapists and estheticians to work within the promotion cost to facilitate awareness and gain new business to benefit the entire organization.

• Promote a group deal that encourages viral growth.
  • Use existing clients to go viral and bring in like-minded individuals.
  • Extend your community relationship reach.
  • Run the deal yourself, or use niche, local deal sites. Don’t give 50% of your revenue away.

• Focus on return client visits.
  • The goal is to build your client base and create a relationship, not devalue your brand by catering to deal seekers or nomad buyers.
  • Create a deal that rewards subsequent appointments booked.

• Know where your control panel is when working through your discount promotions.
  • Be aware of your spa/salon’s resource limits.
  • Customer Service must be fully engaged to make the most of this marketing effort.

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