When it comes to your auto-detailing business, there probably is a beneficial place in the world of marketing for such daily deal outfits as Groupon and LivingSocial. The question you have to ask yourself is this: Is the discounted carwash or detail you’re offering through these marketing tools a great way to expand your customer base or a gigantic waste of your time and money?
There’s a big difference between a discounted sale, which can result in customer loyalty, and a quick deal, which often results in one-time-only bargain hunters who will never darken your mobile auto-detailing parking lot again.
These Groupon groupies go from one deal to another, taking advantage of your 50-percent discount, then drive off without so much as a look back. Meanwhile, your regular customers are showing up with these coupons, saving a bundle on what they would have paid full price for in the first place.
On the other hand, Groupon and other such online marketers negotiate huge discounts — usually 50 percent off or more — on products and services such as your detailing business. Daily Deal companies send your discount offer to thousands of subscribers in your area. The offer is usually good for one day and the subscriber purchases your offer directly from that email that Groupon sent. You and Groupon decide on how many offers need to be sold to “tip the offer” or make it valid. Many detailing business owners have tried this program and have generated new customers and enjoyed a quick infusion of cash flow.
Your task when these customers show up for their discounted deal is to up sell them — offering to sell them additional packages such as an engine cleaning, interior detailing or leather restoration. That’s because the package you’re featuring for the “Daily Deal” is not that profitable after you discount it and Groupon gets their portion.
But you still make something. And you might have gained a new customer. Plus, you have the opportunity to sell the aforementioned additional services that were not included in your Daily Deal. Your offer will have an expiration date that is normally six to 12 months in the future. As a bonus, there are typically 20 percent of these packages sold that are never redeemed, which is money in no pocket without expending any effort or elbow grease.
Working with such organizations as Groupon and LivingSocial might help grow your business, but in no way will they generate enough profitable revenues for you to survive and pay your bills. If you have additional questions about this brand of marketing, contact Nick Vacco at the Detail King Headquarters Toll Free at 1888-314-0847.