Groupon needs to focus on real deals

Groupon may be refocusing its marketing efforts from customer recruitment to retention, but will this really help in its efforts to ‘shore up future custom’ (www.mwlinks.co.uk/GrouponCuts)?

With consumers continuing to tighten their purse strings, the brands that are successful will be those offering discounts that are relevant in terms of product, brand and timing.

It’s all very well splashing a great headline of 50% off. But if it’s 50% off something that the consumer wasn’t originally intending to purchase, such as a hot stone massage, then is it really a good deal to that individual?

Surely a more relevant offer would be for something the consumer was actually going to buy anyway, such as the weekly supermarket shop, new clothes for the kids or a trip to the cinema, as well as the bigger ticket and perhaps more luxurious expenditures such as the annual holiday.

These deliver real value, create positive brand associations and ensure that the customer returns again and again.

Daniel Nugent
Head of Entice

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