ACtion Magazine - May 2015 - 29

Angie Kilbourne

Five daily deal mistakes you
should avoid

or customers, discounting never goes out of style,
Mistake #1. Discounting your services too much. Ofand for some, it seems as if they enjoy the hunt and fering $100 of your services for only $50 may seem like a
thrill of finding the bargain even more than actually great way to bring in new customers. But remember, these
making the purchase. If you are considering pumping some daily deals sites are taking at least half of the money paid
new blood into your customer mix by offering a "deal" by the customer. How much can you afford to give away
through any of the major online marketers - Groupon, if you are only making a quarter of what your regular cusLivingSocial and similar companies -
tomers pay? It may be better for you
experts advise to plan your offer careto consider offering a specific service
...How much can you (or group of services) for a specific
fully. As a 2011 Rice University study
found, approximately one third of the
afford to give away? dollar amount, such as an oil change
businesses using these types of deals
or coolant flush and fill, or a lower
do not have positive results. Even more
dollar amount, say $25 for $12.50, to
importantly, those businesses unhappy
be exchanged for any services.
with the results found only 13 percent
Mistake #2. Setting an expiraof those new customers actually came back as repeat busi- tion date that is too soon. Requiring your offer to be
ness. So let's look at some tips on what you should avoid redeemed quickly can backfire on you: Unless you clear
when creating a "deal" for new customers:
your schedule, your shop could be overwhelmed with the
work that comes in the door. Marketing experts advise

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Table of Contents for the Digital Edition of ACtion Magazine - May 2015

Tool and equipment review
MACS mobile A/C training is everywhere
Outlook
Service Port
Leonard's Law
Virtual View
Last Watch
By the numbers
Industry News
Association News
In Memoriam
Classified

ACtion Magazine - May 2015