BIA/Kelsey consulting group reported that the daily deal market is expected to grow to near $3.93 billion by 2015. There is constant speculation about the real effectiveness of these programs. Some business owners believe that it doesn’t help businesses in the long run because only the coupon cutters use them and never return to pay full price. While the other 50% of businesses seem to like the deals, getting effective returns, and believe it is a vital part of their social media strategy
If done correctly, and with the right kind of business, the deals can be very effective. According to our findings and research, when a business runs a daily deal, shortly after, their online reputation explodes! Which can be good or bad. From an SEO perspective, these deals are picked up and shared, which can provide great backlinking for your website. But, more important is the effect to your online reputation. The consumers that find and buy these deals are often the most active online and in social media channels. This can be good or bad, depending on their experience. If you effectively take care of these customers, they are more likely to post on Facebook, Twitter, Yelp, Google places, or elsewhere and share how they had a great experience. However, what has happened with many small businesses is that when these deals are implemented, the business is slammed and the quality of the customer experience goes way down. The customer can’t book an appointment for months and then often gets a poor experience since the business is simply overwhelmed. Then these users are more prone to go online and write negative reviews, which can then really hurt your business. Therefore, here are a few tips for running an effective Facebook Daily Deal, or Groupon, Living Social, etc.
- If you run a daily deal, you must plan for and anticipate how to handle a big increase in volume on a short term basis to insure a great customer experience. Line up short-term staff to come help in case you need them. On most sites, you can put a cap on the number of coupons sold. This can help prevent you from being overwhelmed.
- Negotiate! There are tons of these "Daily Deal" sites today so don’t just try the first one that calls you. Be sure to shop around and do your homework.
- Ask customers when they come in to present coupons upfront. This will insure you know about them ahead of time. We know it’s hard to take special care of customers that are paying 1/3 the price, but these are likely to be the critics of today. You have to take care of them.
- To redeem, ask (or even require!) them to provide an email address to send them other deals in the future. Tell them they can opt-out after getting the first email. But you need a digital way to create a relationship with that customer to encourage future visits. (NOTE: you don’t get the email addresses from Groupon, Living Social, Facebook, etc).
- Setup an online review management service to track what people are saying. You need a social media monitoring service like chatmeter to monitor the response and track all of the online reviews. Chatmeter notifies you of all new online reviews and social media mentions every day, so your just one click away to responding.
- Respond to all customer comments, good or bad. If you receive any negative reviews, try to invite them back when business is back to normal, most people would understand the circumstances. If positive, say Thank You. This helps your online reputation and shows the business cares and will drive loyalty and word of mouth, which is crucial for any business to thrive.
Learn more about chatmeter’s Social Media Monitoring service here http://www.chatmeter.com/benefits/social-media-monitoring