My final Groupon numbers

Chris A

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My deal from October expires Saturday, we've stopped scheduling the 3-room deals as of now and are only scheduling for the value of the voucher ($49.) I'm not trying to say that Groupon is good or bad, just reporting my findings

Total amount of Groupons sold= 264
x. our cut ($24.50) = $6468 (Paid in 3 installments ending 60 days from sale)
+ Add. sales = $6827 (Could have done better but some just DIDNT want to add anything)
Total Revenue =$13,295
/185 Jobs completed=$71.86 (factoring the 20 or so we have scheduled out a week or so.)

So, at the end of the day, WE didn't lose money on the groupon, we made a profit (although a slim one) For first time customers though, I'll take it. Also, out of 264 sold, we will only clean about 185, so there's $1935 of free money right there. I still don't know if we'll do it again, it's a huge pain in the ass when 50 people call in one day, or when you get a batch of 20 cheap assholes at once who will do anything in their power to not spend more money with you, but all in all, I would call our groupon a success. I will say, however, that I probably will not work with Groupon themselves again, our rep has changed 3 times and they are completely inept at answering questions or helping customers with problems.
 

Brian R

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Not horrible. Good for building your client base as well.

I flagged the "bad" customers so I would know for next time.

I think my average ticket from my $55 deals (the one I tracked) was about a $95 average my cut.


It's not the greatest program in the world...But it's an awesome way to get work RIGHT NOW and get customers who have prepaid for the job.

I was scheduled out about 3 months at one point...So I didn't try to schedule everyone ASAP.


Chris, I would be curious to see what kind of money is made from the repeats.


In Service Monster there is a tab under the source on the customer page you can click to apply "Goupon" as the source to all invoices on that account...... I do that so I can see how much money I make from repeats of Groupons as well.
 

Brian R

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Chris, What would you say your average clients house was from the deal jobs?

Ghetto
middle class
Mid to upper
Upper
High end


Maybe a % on each of those from your best guess.
 

rwcarpet

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Brian R said:
Not horrible. Good for building your client base as well.

I flagged the "bad" customers so I would know for next time.

I think my average ticket from my $55 deals (the one I tracked) was about a $95 average my cut.


It's not the greatest program in the world...But it's an awesome way to get work RIGHT NOW and get customers who have prepaid for the job.

I was scheduled out about 3 months at one point...So I didn't try to schedule everyone ASAP.


Chris, I would be curious to see what kind of money is made from the repeats.


In Service Monster there is a tab under the source on the customer page you can click to apply "Goupon" as the source to all invoices on that account...... I do that so I can see how much money I make from repeats of Groupons as well.



Well, as they say..."everything's bigger in Texas". I find it amazing that custys that are cheap enough to seek out the cheapest deal would actually buy any upsells that weren't also a 1/2 price. I'd rather continue to service my regulars and their referals than to try to service throngs of cheap seeking coupon cutters. I don't see a retain rate with those custys.

Less customers and higher payouts is the way I roll.
 

Chris A

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10% ghetto
30% middle
30% upper middle
20% upper
10% high end (like super high end).

Those are just numbers off the top of my head, but probably pretty close. Hudson is a pretty nice area but the deal was for our entire service area which cover s 4a counties, and includes everything from Akron and canton (rough) to some really nice suburbs. Im not a high end cleaner but we are on the higher end of the price scale for may hood.
 

Chris A

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Also Im not a super salesman by any means. The two questions I ask every customer is there anything else you'd like us to look at while were here and would you like Scotchgard reapplied. After that I give up...
 

Wayne Miller

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Brian's tried to beat it into my head but I still don't understand the Groupon thing. I just don't see the benefit when you're selling a once or twice a year or more, $200 or $300 or more service. Coffee and donuts, yes. A sandwich or a pizza, okay. A haircut, sure. Carpet cleaning, not so much.

Our most loyal customers didn't call looking for a deal, haven't left us for a better deal and call us back because they feel they're getting exactly what they want at a fair price. In my experience, people driven by deals are most heavily influenced by who's got the next "best" deal, not necessarily by who best met their needs.
 

Brian R

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You also have to educate your customer.

Let them know why you are doing it etc. I believe most people understand it.

I also believe that once people find a great service company/person...They are OK with paying full price.


But if you just go in and bang out the 3 rooms and never really speak to your customer.... You will lose.

These are real people.... Looking to spend real money. The deal just sparks their interest.


Let's not forget all the hits to the website, the people who call and schedule directly and the huge amount of exposure you get from showing up in people's email inbox who subscribed to the service.


So many more pros than cons IMO and in my experience/s
 

Brian R

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Or you can use the shotgun approach and just pay a monthly fee to an ad company that may or may not get you customers....PLUS you still have to sell the customers over the phone.....God help the one man show who doesn't have Full Circle answering their phones......Doesn't work that way with the deal of the day companies.

The job is sold and they're waiting for the job to be done before they ever speak with you.


Or you can spend tons of money on adwords where someone may or may not like your website and doesn't realize that your service is sooo much better than your website building capabilities.


Or you can get onto industy forums and shill your service/s to a bunch of guys who will give you hell if you even mention something you offer or are doing. !dork!

Trust me,,,, That doesn't work. :shock: Ivebeensold :lol:
 

Chris A

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I honestly have no idea how many will repeat. We were gonna weed out the dirtballs and only market to those we think will repeat, but we decided to just mail to everyone. So they'll get our 6-12-18-24 reminders and then one postcard per quarter for other services. Im going to do my best to track every one and report back in a year or so.
 

Brian R

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I've done well over $100,000 from 3 Groupons, 1 living Social, 1 Amazon Local and a few smaller ones like Urban Dealight, YP.com, Angieslist, Mamapedia, Weekly Plus and others to small to name.


It's nice to get those $5000 or $6000 checks in the mail when all the jobs you're doing are already making money. Goes right in the bank and stays there.

Dare I say it's like free money? :shock:
 

steve g

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back when I first started I did a coupon that when out in a mailer kinda like val-pak. I did it a few times and only got back normally what I spent on it. so bascially I did the jobs for free. 10 years later I still have some of those customers one has a daycare I clean like 4 times a year. at this point it was way worth it.
 

Bee Busy

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Thanks for posting this Chris. I think your totals say it all....you have to upsell like crazy for it to really work. Throw in taxes, gas, chemicals, etc as well....sounds depressing to do that much work for that kind of return.
 

Becker

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Bee Busy said:
Thanks for posting this Chris. I think your totals say it all....you have to upsell like crazy for it to really work. Throw in taxes, gas, chemicals, etc as well....sounds depressing to do that much work for that kind of return.


agreed..

Give me the numbers off repeats in 6-8-12-18 months from now.

I'm trying to build a base in another city, have tech running it.
If I thought I could break even on the deal, I'd do one to get lots of jobs under the techs belt and build a base from to grow.
 

Chris A

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Don't get me wrong, Im not saying a $70 average ticket is gonna make you rich, but factoring in the bad with the good that's not bad. Id like to have been more closer to Brians number but like I said, I didn't spend a ton of time with the clients if I didn't think they were gonna buy. My tech did about 10% of them by himself too and I doubt he tried at all. At the end of the day I know some will repeat, I just have no idea how many.
 

Ken Snow

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Chris, in my opinion if ur tech doesn't sell better than you then either you need a new tech or a different commission structure. If you tell me you pay him hourly I'm gonna get in my car tonight and drive to Kent to smack your forehead.

Sent from my DROIDX using Tapatalk
 

Ken Snow

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Happy to send it to you if you shoot me an email (not pm). All sorts of ways to pay but imo hourly is the worst for unsupervised technicians. The company and employees all make more when performance based.

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Brian R

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Wayne Miller said:
[quote="Brian R":1s3tae8f]I also believe that once people find a great service company/person...They are OK with paying full price.

What's your average job for the folks paying full price?

.[/quote:1s3tae8f]


I do $35 per room and $45 for a staircase.
Rooms and stairs were probably my most common upsell.

I like to stay around $200 for carpet cleaning.
 

Connor

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Brian R said:
God help the one man show who doesn't have Full Circle answering their phones......Doesn't work that way with the deal of the day companies.


Dafuq you sain? I caltcho shillin' ass and you ain't pick up and na'arn Full Circle neitha, foolass corndog.

or

Perhaps I missed it, why didn't Full Circle answer your phones when I called you and got voicemail?
 

rwcarpet

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Brian R said:
You also have to educate your customer.

Let them know why you are doing it etc. I believe most people understand it.

I also believe that once people find a great service company/person...They are OK with paying full price.


But if you just go in and bang out the 3 rooms and never really speak to your customer.... You will lose.

These are real people.... Looking to spend real money. The deal just sparks their interest.


Let's not forget all the hits to the website, the people who call and schedule directly and the huge amount of exposure you get from showing up in people's email inbox who subscribed to the service.


So many more pros than cons IMO and in my experience/s


Don't get me wrong. If I wanted to build a huge client list, I probably be Grouponing or couponing. I don't want to work all day, and I don't want to fill all the slots. CC'ing has become more of a "I'll do what I want, when I want"....pick out the best custys and stick with 'em. I had a custy call today that I haven't cleaned in 2 years. She has had some deaths in the family over the last 2 years, and just didn't feel like cleaning.

(Oh...did I forget to tell you I am collecting a full pension with full benefits. That really helps the bottom line!)
 

ruff

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Ken Snow said:
Chris, in my opinion if ur tech doesn't sell better than you then either you need a new tech or a different commission structure. If you tell me you pay him hourly I'm gonna get in my car tonight and drive to Kent to smack your forehead.

For the hack of it Ken, just drive there and do it anyhow :p
 

Wayne Miller

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Brian R said:
I do $35 per room and $45 for a staircase.
Rooms and stairs were probably my most common upsell.

I like to stay around $200 for carpet cleaning.

Is $200 your average ticket? Do you have to upsell most jobs to hit $200?
 

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