I can assure you that my wife, bless her heart, will see a deal somewhere, utilize that deal, and then write off that business until another deal comes along.
Not sustainable as a marketing strategy as it definitely attracts the wrong type of customer.
While it makes the place look busy, the conversion rate is just not there for it to be sustainable. Not to mention some of the things I've heard about groupon itself which just seems shady.
Groupon generally passed the first test: get customers through the door at a reasonable cost. The problem is that people bought groupons specifically for things they wouldn't buy normally. So, it turned out to be advertising to a bad market.
My daughter was seriously considering a two-for-the-price-of-one tethered parachuting deal. Her mom and I weren't terribly thrilled by the idea of her jumping out of an airplane even once!
(Please note that I have no knowledge of what was or was not known inside Groupon and there are certainly psychological studies that show you won't necessarily identify with a reality that contradicts your perception).
> That's an oversimplification I think. Groupon was a method of advertising that merchants paid for with their goods.
Is there really a difference or did you just word it differently ? Or maybe do you think merchants paid with their goods to be advertised on groupon websites ? Because that seems far-fetched to me (and quite an expensive ad) but it makes sense.