Groupon, Living Social, And Yelp Gone Bad!

Steve Manier

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Re: Groupon and Living Social Gone Bad!

I have nothing to do with this company. I was just researching cleaning, Groupon, Living Social and Yelp and this came up.
 

Chris A

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Sounds like they did too much at once. Mine expires at the end of this week (thank God) and Ill be thrilled to go back to regular clients calling...
 

Brian R

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I've done really well with mine but I can see how it can get overwhelming for some.


Now I'm just doing the repeats from them.


My last one expires on the 28th of this month. This last year has been busy as heck from them.


The only complaints I've gotten is in the scheduling..Whattyagonnado?
 

Brian R

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Yeah, you really have to structure those deal right and not let the reps push you around.

Low enough dollar amount to attract customers...But not so low that you sell to a 1000 ghettofabulous peeps.


When done correctly...It's an awesome tool.


When not done correctly....It can really screw you good.


(Not like that Bawb)
 
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If 1000 90 minute cleanings were sold, then it would take a crew of 2 31 days and 18 hours NONSTOP to fulfill all the vouchers. That is with NO travel time.

To realistically clean all of the customers within a month, the owner would have to hire 9 more crews, with the owner and her mother making the 10th crew. Figure 5 jobs/day to account for a lunch and travel time. The company was just the owner and her mother. Without extra crews, it would take about 9.5 months to complete all the work.
 

Bob Foster

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Brian R said:
I've done really well with mine but I can see how it can get overwhelming for some.


Now I'm just doing the repeats from them.


My last one expires on the 28th of this month. This last year has been busy as heck from them.


The only complaints I've gotten is in the scheduling..Whattyagonnado?

So would you do another Groupon again?
 
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Nate W.
Eric Valentine said:
If 1000 90 minute cleanings were sold, then it would take a crew of 2 31 days and 18 hours NONSTOP to fulfill all the vouchers. That is with NO travel time.

To realistically clean all of the customers within a month, the owner would have to hire 9 more crews, with the owner and her mother making the 10th crew. Figure 5 jobs/day to account for a lunch and travel time. The company was just the owner and her mother. Without extra crews, it would take about 9.5 months to complete all the work.


90 mins to OP it? 25mins tops...

Brian on Nate the great's computer.....
 

Ross Buettner

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Yeah...

I BOUGHT THEIR SERVICES!! Through another company with lots of fine print they didn't read.

I'd never do that. Reason being is I want return custys... not cheap ass people who walk you through the whole job and ask you 50 questions.. then complain that they didn't get 750.00 worth of work for a measly 100 bucks. They won't call you back.. they'll wait for the next person to do that to.

Real customers who appreciate this luxury service (well, most of it is.. the rest are in the above mentioned catergory) will want a good job done for a modest price with people they can relate to. That's what will get you callbacks... and not the kind where you go back 5 times for a wicking spot that randomly pops up in a different place every time shiteatinggrin
 

Brian R

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Bob Foster said:
[quote="Brian R":1g3nyyvv]I've done really well with mine but I can see how it can get overwhelming for some.


Now I'm just doing the repeats from them.


My last one expires on the 28th of this month. This last year has been busy as heck from them.


The only complaints I've gotten is in the scheduling..Whattyagonnado?

So would you do another Groupon again?[/quote:1g3nyyvv]


If I wanted to create more customers....Absolutely would.

I get awesome customers who want to spend more money when I get there...Fairly non dirty jobs because it wasn't a "need" when they bought it, and that initial low price is more than made up for by the end of the job.

Everyone does this....Just backwards.

Pride gets your price high to begin with and then you lower it for doing more.... I prefer to use the good faith approach....

Yes, I'll get semi screwed on a few jobs...But for the most part I make really good money doing it...Especially after all the repeat business.

I don't work for Groupon ...Nor do I make any money shilling them...


But again... YOU HAVE to set the deals up right

The ones who don't...Bitch and moan and blame Groupon.



I can schedule them 6 months out.... They don't all have to be in a month or right away.

Most buyers know they will have to wait...Most buy just to have ready when they decide to clean.



Like anything....It's all about how you do it.


This has been a moment with Brian. 8)
 

Jtuseo

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Big Hoss
Brian is right. I have done may groupons. you have to Structure them right. I had three repeat Groupons call this week already, but and this is a BIG BUT. You have to do the Groupon in upper class suburbs. If you do them in the inner city or in the city area where you live you will lose out. You want home owners only!!!!
 
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Nate The Great said:
[quote="Eric Valentine":qwsu0kqs]If 1000 90 minute cleanings were sold, then it would take a crew of 2 31 days and 18 hours NONSTOP to fulfill all the vouchers. That is with NO travel time.

To realistically clean all of the customers within a month, the owner would have to hire 9 more crews, with the owner and her mother making the 10th crew. Figure 5 jobs/day to account for a lunch and travel time. The company was just the owner and her mother. Without extra crews, it would take about 9.5 months to complete all the work.


90 mins to OP it? 25mins tops...

Brian on Nate the great's computer.....[/quote:qwsu0kqs]
The company being discussed is a maid service
 

Vivers

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Totally agree with the groupon, living social thing being terrible for our industry! Even if you do keep some of these low price shoppers it de values our services and further drives the prices down making it more difficult to command high dollar for truly professional services. They have contacted me and the prices that they allow you to use is a JOKE! You don't get to make the special, they do. These vultures take take 50% of the job which on 3 rooms leaves you with $20 or so.

Listen, I can really sell and please clients but, you are way behind the ball with this deal going inn. I laughed at them and told them there crazy! Somebody else called me from living social again recently. Professional carpet cleaning should not be any lower then $25 per room IMO anywhere we may live and work.
 

Bee Busy

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This type of "marketing" has done damage to the carpet cleaning industry in my opinion, it's a modern day Pennysaver or Val Pak, but 100% worse. I'm glad I do tile/grout and stone more than carpet now. It seems more and more cheapskates and tirekickers are calling and whinning "other companies are cheaper than you" and wasting my time. The only way I see it going away is when groupon and living social decide not to deal with carpet cleaners anymore becasue of the heavy complaints and refunding money.
 

Steve Manier

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I have heard of a local guy that sold around 500 of these "deals" a few months ago, got the money, and decided to quit the business! :shock:
 

Brian R

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Out of 171 Living Social Vouchers that were sold for me only about 25% or so were price shoppers.


What you guys "Think" are price shoppers buying the voucher are really mid to high income house wives buying them.


Just because it's a "low price" to begin with doesn't automatically make them "priceshoppers".


When you've done as many Groupons, Living Socials etc as I have then we'll talk.... I made more money last year than any other year in business....and the Groupon type companies played a role in that.


When you get to the home....MOST of the people buy more...for full price...They don't complain and are happy to pay.

Not all...but most.


Vivers...How many groupons have you done?
 

Bee Busy

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Brian R said:
Out of 171 Living Social Vouchers that were sold for me only about 25% or so were price shoppers.


What you guys "Think" are price shoppers buying the voucher are really mid to high income house wives buying them.


Just because it's a "low price" to begin with doesn't automatically make them "priceshoppers".


When you've done as many Groupons, Living Socials etc as I have then we'll talk.... I made more money last year than any other year in business....and the Groupon type companies played a role in that.


When you get to the home....MOST of the people buy more...for full price...They don't complain and are happy to pay.

Not all...but most.


Vivers...How many groupons have you done?
if it's so great then why aren't more cleaners doing it? most of the people i clean for, tell me they don't use groupon/living because they feel they aren't going to get their money's worth. check out the reviews on yelp, it's not just carpet cleaning, people are complaining about restaurants, house cleaning, sky diving, kids parks, etc. i know i wouldn't use it at a restaurant, probably get a bad case of the shits
 

Brian R

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OK, that's sounded accusatory.....Not what I meant.


I just mean that in any ad, marketing...You name it....You HAVE to control the "deal"..... No matter what.

If you can't....Then don't do the deal.


Too many companies blow it on these things....And then all the bad things said against them get said and spread.


Just about every good review I have is from a Voucher deal.
 

Ken Snow

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Brian R said:
OK, that's sounded accusatory.....Not what I meant.


I just mean that in any ad, marketing...You name it....You HAVE to control the "deal"..... No matter what.

If you can't....Then don't do the deal.


Too many companies blow it on these things....And then all the bad things said against them get said and spread.


Just about every good review I have is from a Voucher deal.

Great points Brian, for sure no matter what a business owner has to control their own destiny however that feels right to them.

Ken
Ps- your last comment though needed an * cause isn't every job you've done come from a deal anyway? LOL
 

Able 1

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Brian R said:
Nahh, I get google jobs too.

Do referrals from deal jobs cou !gotcha! nt as deal jobs?

Referrals from "deal" jobs count as a "REAL" jobs...

A "deal" job only counts as half a "REAL" job. :lol: :oops:
!gotcha!
 

Brian R

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Able 1 said:
[quote="Brian R":243f1wms]Nahh, I get google jobs too.

Do referrals from deal jobs cou !gotcha! nt as deal jobs?

Referrals from "deal" jobs count as a "REAL" jobs...

A "deal" job only counts as half a "REAL" job. :lol: :oops:
!gotcha![/quote:243f1wms]


Until I'm done with it. shiteatinggrin
 

Vivers

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Brian R said:
Out of 171 Living Social Vouchers that were sold for me only about 25% or so were price shoppers.


What you guys "Think" are price shoppers buying the voucher are really mid to high income house wives buying them.


Just because it's a "low price" to begin with doesn't automatically make them "priceshoppers".


When you've done as many Groupons, Living Socials etc as I have then we'll talk.... I made more money last year than any other year in business....and the Groupon type companies played a role in that.


When you get to the home....MOST of the people buy more...for full price...They don't complain and are happy to pay.

Not all...but most.


Vivers...How many groupons have you done?

NONE! They called me and I dug around and found out what a JOKE it is! DE-VALUES our services IMO! Like I said, to go in at a take home on a 3 roomer of $20 or so is to far behind to start. I do believe you can keep some clients and add on of course but, just to much of a deal and these companies take way to much of the cut IMO! If somebody is that slow or desperate for work, then I could see it keeping them busy and hopefully building a repeat clientele? But for our industry it sucks! And for my company it sucks!
 

Bee Busy

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Vivers said:
Brian R said:
Out of 171 Living Social Vouchers that were sold for me only about 25% or so were price shoppers.


What you guys "Think" are price shoppers buying the voucher are really mid to high income house wives buying them.


Just because it's a "low price" to begin with doesn't automatically make them "priceshoppers".


When you've done as many Groupons, Living Socials etc as I have then we'll talk.... I made more money last year than any other year in business....and the Groupon type companies played a role in that.


When you get to the home....MOST of the people buy more...for full price...They don't complain and are happy to pay.

Not all...but most.


Vivers...How many groupons have you done?

NONE! They called me and I dug around and found out what a JOKE it is! DE-VALUES our services IMO! Like I said, to go in at a take home on a 3 roomer of $20 or so is to far behind to start. I do believe you can keep some clients and add on of course but, just to much of a deal and these companies take way to much of the cut IMO! If somebody is that slow or desperate for work, then I could see it keeping them busy and hopefully building a repeat clientele? But for our industry it sucks! And for my company it sucks!
I agree...it's dirtbag marketing. the best they offer is a job under $80 at 50%...you have to be a bait/switch co or desperate...the numbers don't lie. It is the worst thing I've seen in carpet cleaning, carpet cleaning is becoming just as bad as Amway, used car/lemon sales men and Kirby salesmen
 

Able 1

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I think it works great for Brian cause he has all day to do the 2 jobs he has booked for the day... That gives him time to sell, and sell, and sell(we all know how that goes with Brian :mrgreen: :lol: ) while his diaper spinner sits idle.

With a truck mount I expect to make great money with just what I have booked with no "upsells" if I do get them great, and I can handle them with my helper, we don't skip a beat..

I also think it devalues what we do. I run a tight schedule and don't see any of the above companies benefiting me whatsoever, EVER. shiteatinggrin
 

Shane Deubell

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I would like to see the math that you can make a profit, makes sense for like 10% of sales or something but not 80%.

Does anybody have the numbers down good?
 

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