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Re:Groupon Is Laying Off 1,100, Shutters Operations in 7 Cou... by mindcrime on Tuesday September 22, 2015 @03:20PM (#10260955)
I think it was a feedback loop. More often then not, Groupon's provided no return business, so you'd continue to lower you expectations about the people who were buying them.

How much of that is because the business owner made no attempt to establish a direct relationship with the customer while they were present? If you use a groupon to get me in your restaurant, great. But even better if you do some "permission marketing" and get me to add my name to your newsletter list, or "like" your Facebook page, or something that lets you keep in contact with me.

It's amazing how few restaurants and hotels and what-not seem to even try to do this kind of customer relationship / one-to-one marketing stuff, in 2015. I get regular emails from Petterino's in Chicago, letting me know about specials on Mother's Day, Father's Day, etc., or other special events. I don't live in Chicago so I don't visit their restaurant very often, but they keep themselves on my mind, and you can bet that next time I'm in Chicago, I'm more predisposed to visit them than most of the other restaurants I vaguely remember from my last time there. OK, to be fair, it helps that the product is really good as well. Their "Midwest Corn Chowder" is to die for. But still, it boggles the mind that none of the other places even seem to try.

Re:Groupon Is Laying Off 1,100, Shutters Operations in 7 Cou... by toomuchtodo on Tuesday September 22, 2015 @03:24PM (#10260988)
Anecdotally, the people I've talked to who bought and used a Groupon have no intention of a continuing business relationship. They got a steal, they know it, and they'll move on to the next Groupon, whatever it is.

There's something to be said for the type of audience you cater to. (TL;DR Market to those who know what the idea of "value" is compared to "cheap".)