- #Gpass groupon how to#
- #Gpass groupon full#
#Gpass groupon how to#
There was no explanation of how to handle things like expired coupons.
There was minimal training on what to expect. They don’t get a cut of anything extra that someone spends at the business. “You think maybe like $5 above the value, not like 10 cents.” It’s in Groupon’s interests to make the deal value as high as possible because they get a cut of that. Groupon told her that something like 98% spent more than the value of the Groupon. Most customers didn’t spend much more than the deal value. People don’t come here from other parts of town just to get coffee.” Some were abusive to staff and didn’t tip. “What are you going to get for $39? Do you want the whole shop? And they were really offended.” “Most people took a trek here. 
One customer tried to use three Groupons at once.
The customers she attracted weren’t likely to be regulars. Between the two events, there was a line out the door the whole weekend. She got more traffic when she least needed it. Her deal launched the weekend that the neighborhood library opened. Deals are scheduled based on factors that optimize the deal for Groupon, not the merchant. Groupon controls scheduling of deals, which in this case turned out to be bad for her. This also resulted in a lot of fraud as people redeemed coupons multiple times. It was an inefficient way to track the deal. At the time, she didn’t have a computer, so she was reliant on a binder with 900 names in it. Tracking and infrastructure was a really difficult problem. At one point, Jessie was told that she could only ever run one Groupon over the life of the business. He eventually “settled” for 50% “Understanding that your business is newer, I decided to split the revenue with you,” he wrote. Initially, the rep asked for 100% of the revenue. The sales process seemed like buying a car. So nobody knows the parameters unless you tell them. In a conversation with Groupon CEO Andrew Mason after her blog post went viral, she said “This isn’t a newspaper ad where most people know how to do that. Merchants are primarily reliant on the information and recommendations of the sales reps, which can often conflict with the business’ best interest. There is very little information on which merchants can make decisions. 
Seeing that “success”, she wanted to give it a try.
#Gpass groupon full#
Jessie found about Groupon from a friend who saw that the pizza place across the street was full after running a Groupon.Part 1 – Part 2 – Part 3 – Part 4 – Part 5 This is only one business owner’s experience, but it is a story worth retelling. I sat with her for an extended conversation. I wanted to drill deeper and get at the why. She calls running a Groupon “the single worst decision I have ever made as a business owner thus far.” You can read the story in Jessie’s own words.
Jessie had posted about her experience running a Groupon for Posies Cafe on her blog. Her average sale was $5 and her Groupon rep had convinced her to run a Groupon for $13. That one question told me Jessie Burke had been sold an unsuitable product. He blogs at reDesign and Tweets much is your average sale here?” Editor’s note:This guest post was written by Rocky Agrawal, an entrepreneur who has worked on local products since 1995.
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