Daily Deals Sites – Help or Hindrance?

There are positives and negatives when it comes to businesses using daily deal websites. Looking for some advice before taking the plunge? We’ve made up a pros and cons list that should help.

Pros:

  • Because you’re selling at a discounted price, there’s likely to be a surge in demand from consumers. Everyone loves a bargain!
  • You can convert discount shoppers into loyal customers based on the service you provide. Handy tip: try adding customers to your email database, they’re more likely come back if prompted.
  • Rewarding loyal customers with a discount keeps them happy.
  • Not only are happy customers likely to return, they’re likely to share positive word about your business. Through social media and word of mouth, you can build your customer database and increase your sales.

Cons:

  • Customers who are loyal to daily deals sites may not become loyal customers to your business, no matter how hard you try. Unfortunately some people are purely in it for the bargain.
  • Depending on how the vouchers sell, there may be an increase in demand which your business is unable to handle. That means turning customers away who have already paid for the voucher. Unhappy customers are the last thing any business wants.
  • If your business is within the service industry, customers with vouchers may tip less. They’re likely to tip 10% of what the bill comes to with the discount, and not what it would be full price. So if staff are providing the same service but getting less tips, it may affect morale.

So now it’s up to do. Using daily deals sites can help or hinder your business, but really it’s down to how you treat your customers. Going to give it a bash? Let us know how you get on!