I did the groupon thing last year as I thought I was going to STARVE during the
winter when many of my clients go to Fla. However, my groupon agent allowed me
to limit the groupon to less than 50 sold, due to the fact that I would be the
only one available to perform the service! I did extend the expiration date
for a few of the people who called to say that because of one reason or another
that they couldn't make an appt. before the expiration date. I would NOT do
the groupon again, I did not gain any long term clients from the groupon. It
was a total rip off in my opinion because I had to offer $90 worth of services
for $45.00 that I only got $22.50 for performing the service! Bleh!
I recently purchased a groupon as a Christmas gift for a co-worker from a
winery in our area. For $25.00 they were offering a wine tasting party for 4
people complete with wine samples, a meat and cheese tray, 4 engraved wine
glasses, 4 engraved corks. Sounded like a good deal. It DID have an
expiration date, however, it said that if you used it after the expiration
date, they would honor the face value that you paid instead of the wine and
cheese party offer. However, the restaurant business has a more flexible
profit margin for these types of promotions. JMHO,
Pam
Nail Designs
Ohio
-----Original Message-----
From: Anna Z-James <[email protected]>
To: nailtech <[email protected]>
Sent: Wed, Jan 18, 2012 12:24 am
Subject: Re: NailTech:: Groupon - ABSOLUTELY, POSITIVELY DO NOT DO IT
One of the girls at my salon received an email just recently from Living Social
expressing to her that she was to honor the certificates up to 5 years. This
is some straight up BS because they DO NOT express this to ANYONE up front when
they sales pitch you to sign up.....This is a SCAM if you ask me....it's bad
enough that when you sign up to run this special you have already reduced the
value of your service in half and then have to share any profits with the
company which is ANOTHER half....Having US (Small business owners) to reduce
our value and services.
I have been receiving calls from a girl from Groupon wanting me to run daily
specials with them and I expressed to her that I think I've learned that my
value is worth so much more then dealing with chair hopping customers that
don't know the value of a REAL service by not even tipping or returning as a
client because all they do is purchase these coupons on a regular just to get
the next deal!
There has to be a loop whole in this system where we as the retailers were
misguided and conned to sign up in hopes that we will get new business walking
through our doors?
Anna
Creations by Anna Z-James
www.annazjames.com
702-927-8831
-----Original Message-----
From: Michelle Phoenix <[email protected]>
To: nailtech <[email protected]>
Sent: Tue, Jan 17, 2012 8:44 pm
Subject: Re: NailTech:: Groupon - ABSOLUTELY, POSITIVELY DO NOT DO IT
Sadly no, gotta honor the whole thing. I'm going to make some calls tomorrow
just to be sure. *le sigh*
On Tue, Jan 17, 2012 at 10:56 PM, shawn wilson <[email protected]>
wrote:
As far as the 5 yrs to honor the certificate, you only have to honor the face
value, the client will have to pay the balance. That is how the law reads.
Shawn
On Jan 17, 2012 9:51 PM, "Michelle Phoenix" <[email protected]>
wrote:
Let me share my experience with you guys. First off, there are only ever 2 or
3 techs on per day in my spa. Second of all, I have spent just about my entire
career saying no to doing coupons of any sort and I should have stuck to my
guns.
Having spent a ton of money on a newer, larger spa, I wanted to get clients in
for our new services. Groupon had been courting me for months so I finally
decided to talk to them. I told them I wanted to do something to promote my
skincare services. They said no. We are known for our nail care and that's
what they wanted to sell. They said we could upsell the clients on the skin
care when they got there. That hasn't worked out b/c they just buy Groupons for
discounted skin care at some othe spa who fell for this crap. I only wanted to
sell a few hundred, because we're small. They said no, you have to sell 2,000.
Long story short, I was so anxious about getting new clients in to the spa I
agreed to 1,000 and they said we'd never sell out. We sold out in under 24
hours.
Well now, even though the "expiration date" is coming up, I can not, by
Massachussets law, turn people away after February 2nd. I have to continue to
accept them until they're all used or 5 years pass. Whichever comes first. I
could just scream!!! I have no one to blame but myself.
On top of it all, the spa gets $21 for each $70 of service and I still have to
pay my girls their commission on the $70 fee. In other words, I take in $21
from the Groupon but pay out $38.50. It's costing me $17,500!!! GAH!!!
I'm sending this email from my personal address and ommitting my signature b/c
if clients Google the spa, I don't want them to find this email. Just because
I've screwed myself doesn't mean I have to make them feel bad about getting a
bargain.
M-
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