If you read Cart32’s blog regularly you know that I love a good deal! So where is the best place to get a good deal? Groupon, Living Social, and the local deal sites in your area. The deals available on these websites are AWESOME! I just looked at the offers on Groupon and my husband and I could stay in Mexico for three nights for $300.00! Now that is a good deal! But as an online retailer is it possible for you to take part in these daily deals? The answer is YES! During the 2010 holiday season I worked with a client of ours Wendy, owner of www.personalizedfree.com to get her website set up to take part in a local daily deal promotion. I talked with Wendy to get her advice on how other eCommerce businesses should handle their daily deal promotions.
Can you tell me a little bit about your experience?
We put out a coupon deal with 2 different companies. Because we are a web based business we were not limited by our current city so we ran this same deal in several cities across the US. We picked smaller companies to start with as we were worried if the response was too great that we’d lose more than we would make and we wanted to have more control over it. We set a limit on the number of certificates that would sell.
The companies will design your ad for you although I did make changes that I thought represented us better. By doing the coupon deal we were able to let new people know about our business that would not have otherwise. Cart32 made it easy for us by loading in our gift certificate codes. We did need to tweak some stuff to make it work better with our website. I think the coupon voucher business is here to stay for awhile so I’m glad to see that there are ways to implement it into our website.
How did you like it?
We were pretty happy with the results. Not everyone will spend more than the coupon value. Ideally you want them to buy more so that the percentage you are giving away shrinks. It’s basically a way to buy a customer and let them try your business.
Any advice for other eCommerce businesses thinking about doing a daily deal?
I would recommend setting a limit on number of certificates sold so you don’t end up selling more than you are comfortable with or can produce goods for. If you don’t feel good about the offer change it. Make sure that the customer is getting a value out of it or they won’t want to buy it and make sure you are ok with the steep discount that you are going to need to offer. You only keep about half of what the customer pays for the coupon voucher so you are really hoping to gain new customers by taking this big of a discount.
My top tip for eCommerce businesses looking at doing a Daily Deal promotion is to make sure you have a plan. Wendy and I spent a couple of weeks communicating with each other on how this would work. We were able to devise a great plan that worked well for her and her business. So if you ever have a chance to promote your business through a daily deal – do it! Cart32 will be there to help you every step of the way!