There are now a plethora of discount and voucher sites offering special deals, from Groupon to Wowcher.
These sites are not about generating lots of new revenue; in fact, plenty of business owners from across the country even say they have lost money because of the heavy discounts or commission required to participate. For example, Groupon will ask for at least a 50% discount.
However, working with third party agencies can expose your business to a whole new world of potential customers and give you a marketing reach that you could not afford on your own. It can create a buzz around your business and get it noticed.
For small businesses, these agencies offer several advantages over traditional advertising. It's free to feature your business on the site. With traditional advertising, a business pays lots of money up front with no guarantee that the message will reach the consumers and translate into sales. Also, with tens of thousands of subscribers, they offer free access to the inboxes of target customers.
Once you have attracted new customers, you have the chance to sell other products and add-ons, as well as entice them to come back again and again. You must have a long term view and make it work for you.
Before you start, here are some hints and tips:
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Watch the price point
Ask lots of questions before settling on a price, and don't be afraid to haggle for the best profit margin for your business.
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Limit the deal
Your offer has to be attractive, but make sure it works for you. Think about when you have capacity or how you could sell other products or add-ons.
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Be prepared
Once you start, be ready for the rush. If you are not ready to respond, it could backfire. If customers have a good experience, they will come back and recommend you. Think about what else you could sell, as they are on a deal and are often prepared to spend money on other added value experiences.
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Keep track
Monitor the response to your offer. Not just how many took it up, but if they were new customers or the right target audience. Look to see if they bought anything else or came back; this way you can assess the real value of taking part. It’s about great service all the time, including delivery.
