Has anyone thought about doing a LivingSocial Deal??

topshelf1042

topshelf1042

SELF BANNED
Joined
Feb 8, 2013
Messages
29
Reaction score
0
Hey everyone.I am about to run a livingsocial deal at the end of March has anyone ever thought of this?? How it works is you don't pay anything up front. My deal which I will be selling for $75per works like this they offer your deal for 7 days on there site and and then the amount of deals sold say 50 you would get $37.50 a deal a 50/50 split. Total for the 50 deals 37.50x50=$1875 then 10 days after your deal runs you get 70% of the 1875 and the remaining 30% balance 25 days later.

my deal is an express detail which includes
1.wash and dry
2.vacumn
3.leather conditioner
4.windows
5.dash shine
6.express wax
7.tire shine
8.air freshner

Now remember when you get paid you have 50 customers that have prepaid for your services. SO DO NOT SPEND THE MONEY UNTIL THE CUSTOMER REDEEMS THEIR DEAL!!!

So I schedule 4 deal customers a day on off days say Mon, Tues, Weds $37.50x4=$150 and it fills in the days that are slow. You would then deduct that $150 from your $1875 and so on.

Some may say this is crazy to discount your services this much.I say no because your goal here is to have these customers be repeat customers. If you provide quality work like you say you do these customers will come back believe me they do and then I get full price the next time around.

Another thing to think about and positive thing is this gives your biz mass exposure, be prepared for your phone to ring like crazy during the time your deal is running.

If your not detailing everyday in your biz this is something to think about. Think of it as a jump start.

RLC Mobile Auto Detailing - Augusta GA car wash and detail, car detail and auto detailing ,mobile detailing

Top Shelf Auto Detailing - Top Shelf Auto Detailing Columbia, SC-car wash in Columbia,SC that offers auto detailing and car detailing services at your location.

happy detailing!!!
 
I'm personally against doing a living social or groupon deal. You are already reducing your price to attract business but at that the same time both of them take a cut (up to 50%) from the total sales so in the end you can end up eating a big loss that may or may not actually make you sour to the customers who have bought the deal. Often times these very customers are the ones we try to avoid that want a $300 job for $50 and will bad mouth you all the way if you don't. So it's even hard to justify word of mouth also. My .02.
 
ProDetail said:
I'm personally against doing a living social or groupon deal. You are already reducing your price to attract business but at that the same time both of them take a cut (up to 50%) from the total sales so in the end you can end up eating a big loss that may or may not actually make you sour to the customers who have bought the deal. Often times these very customers are the ones we try to avoid that want a $300 job for $50 and will bad mouth you all the way if you don't. So it's even hard to justify word of mouth also. My .02.
Click to expand...

I agree William and I had to do a lot of research to see if this would be a good fit for my biz and I do agree on the customers that want more for less. But here is an example of a week I had with the deal included

Monday 4 deals=$150
Tuesday 5 deals=$187.50
Weds 3 deals=$112.50 $120full detail=$232.50
Thurs 4 deals=$150
Fri $210 office park I visit bi-weekly
Sat 2 deals=$75 Full detail $150

total deals 18=$675
regular customers=$480

total=$1150 gross

numbers I can Deal with.

I would say do your own research and it may or may not be a good fit for your biz. But for me it has paid off.

Like us on FB
http://facebook.com/TopShelfMobileAutoDetailing

http://facebook.com/RlcMobilAutoDetail

happy detailing!!!
 
It looks like you are a mobile detailer, if that is the case I think it is a bad idea. Renny Doyle said one thing in his book about mobile guys doing the coupon deals. DON'T DO IT. I agree 100%

So you are willing offer your service for half off, then give half of half to the company who ran the offer. So now you are down to 25 cents on the dollar. now on that 25% you are going to pay taxes, cover business expenses, do the work and try to make money? sounds like a good deal?

Google search a deal by a mobile auto detailing that ran an offer like this, Then Google search reviews for that same company. Do you want the internet filled with bad reviews about you?

One more thing. You won't turn those people into regular customers they are on those sites because they like getting deals. Next time they want a detail they will see who is running a deal on detailing. They will not pay you to come out for $150 when there is someone offering it for $75 or maybe less. All these deals do for auto detailers is drive down the perceived value of what a auto detail should cost.

All you are doing is hurting the auto detailing business in your area. It is not good for your business or any detail business around you.
 
Last edited:
Every marketing technique should fit every business. As long as you are comfortable with the numbers, are confident you can handle the business and not compromise quality you should go for it.

A lot of people (like rustytruck) say steer clear of coupon sites, others say go for it. It is really up to you. You can use this to make your business better by adding a new customer base, branding, and filling your schedule. You can also hurt your business by taking on too much low paying work, rushing through it and getting poor reviews, and not having the time to focus on your full paying customers.

Just some things to think about. I definitely want to hear your results if you go through with this or not. Keep us updated!
 
I don't comment on post like this without either experience or research which is why I commented. I agree with Rusty, unfortunately I bought Renny's book too late. I did it in 2011 in Amesbury, MA and it was an absolute nightmare for me. I didn't realize that they took 50% when I started the deal so that was a shock. But I didn't let that compromise my quality, but the complaints because they wanted more for less are what really soured me. I actually ended up losing $1900 between loss supplies and my hours and the percentage they took. I did retain a few customers but neither of them ever purchased a complete detail and I don't know if they referred me to anyone so it's hard to say if I even recovered my losses in the long run.
 
The only thing you will get out LivingSocail and groupon is no repeat customers and people only looking the todays hot deal. You will just be giving your hard work away to someone who doesn't care.
 
Pureshine said:
The only thing you will get out LivingSocail and groupon is no repeat customers and people only looking the todays hot deal. You will just be giving your hard work away to someone who doesn't care.
Click to expand...

This.

My exact thoughts, no repeat customers just looking for a good deal.
 
rustytruck said:
It looks like you are a mobile detailer, if that is the case I think it is a bad idea. Renny Doyle said one thing in his book about mobile guys doing the coupon deals. DON'T DO IT. I agree 100%

So you are willing offer your service for half off, then give half of half to the company who ran the offer. So now you are down to 25 cents on the dollar. now on that 25% you are going to pay taxes, cover business expenses, do the work and try to make money? sounds like a good deal?

Google search a deal by a mobile auto detailing that ran an offer like this, Then Google search reviews for that same company. Do you want the internet filled with bad reviews about you?

One more thing. You won't turn those people into regular customers they are on those sites because they like getting deals. Next time they want a detail they will see who is running a deal on detailing. They will not pay you to come out for $150 when there is someone offering it for $75 or maybe less. All these deals do for auto detailers is drive down the perceived value of what a auto detail should cost.

All you are doing is hurting the auto detailing business in your area. It is not good for your business or any detail business around you.
Click to expand...

:iagree:
 
ProDetail said:
I don't comment on post like this without either experience or research which is why I commented. I agree with Rusty, unfortunately I bought Renny's book too late. I did it in 2011 in Amesbury, MA and it was an absolute nightmare for me. I didn't realize that they took 50% when I started the deal so that was a shock. But I didn't let that compromise my quality, but the complaints because they wanted more for less are what really soured me. I actually ended up losing $1900 between loss supplies and my hours and the percentage they took. I did retain a few customers but neither of them ever purchased a complete detail and I don't know if they referred me to anyone so it's hard to say if I even recovered my losses in the long run.
Click to expand...

ProDetail thanks for sharing your BAD experience. The auto detail forums are full of experiences just like this. If I saw one of my friends go touch a wire and get electrocuted, then another friend touch the same wire and also be electrocuted then a 3rd fiend be electrocuted by that same wire guess what I would NOT walk over and touch?

Yet we still have guys asking if they should run Groupon and living Social deals. GUYS STOP TOUCHING THAT WIRE, IT HURTS EVERY TIME.
 
VP Mark said:
Every marketing technique should fit every business. As long as you are comfortable with the numbers, are confident you can handle the business and not compromise quality you should go for it.

A lot of people (like rustytruck) say steer clear of coupon sites, others say go for it. It is really up to you. You can use this to make your business better by adding a new customer base, branding, and filling your schedule. You can also hurt your business by taking on too much low paying work, rushing through it and getting poor reviews, and not having the time to focus on your full paying customers.

Just some things to think about. I definitely want to hear your results if you go through with this or not. Keep us updated!
Click to expand...

Thanks everyone...I am slated to run in March for my Columbia,SC market. I definately will keep you updated on the results and or problems that I am facing.

Since I have exp in these deals I think I am truly ready for anything that this deal will throw my way. I have a good support chain in place to help me with any issues I may face...To include you AUTOGEEKS. This forum ROCKS!!!! glad I found it!!!

RLC Mobile Auto Detailing - Augusta GA car wash and detail, car detail and auto detailing ,mobile detailing

Top Shelf Auto Detailing - Top Shelf Auto Detailing Columbia, SC-car wash in Columbia,SC that offers auto detailing and car detailing services at your location.

Happy Detailing!!!
 
Pureshine said:
The only thing you will get out LivingSocail and groupon is no repeat customers and people only looking the todays hot deal. You will just be giving your hard work away to someone who doesn't care.
Click to expand...

thhis x 2.

This was my experience with groupon. Coupon clippers only clip coupons. Out of 75 groupons sold I had ONE repeat customer who comes in once every 2-3 mos for a car wash. I did get 1 good yelp review from a groupon customer so that was nice.

But in general they didn't tip, were very difficult to upsell, were very needy ie: calling all the time asking questions like how to redeem even though they get the instructions straight from groupon. They ALL want to come on your busiest days (sat & sun).

My groupon experience was a nightmare, but other detailers only survive off groupons. They hike their prices up so the end cut is do-ablle.
 
jrs1418 said:
My groupon experience was a nightmare, but other detailers only survive off groupons. They hike their prices up so the end cut is do-ablle.
Click to expand...

This is an important point. If you know what you are doing, are prepared to possibly get ran over, and are used to doing volume jobs, this might work for you.

On the other hand, if you are used to being able to spend hours on even basic services, this whole setup is going to rub you the wrong way quickly, and lowering your standards for minimal return will make this a bad strategy for you.

Anyone who does this needs to get very well educated, weigh the risks, then make the decision... as well as making sure you have the financial backbone to deal with the repercussions if the deal goes sour.
 
IMHO:
By participating in these: "Car-wash-guy"...schemes...

You sure haven't helped members of the Detailing Community...including yourself...
in the struggle to erase the black-eyes Detailers receive from being perceived as:
"Glorified Shoe-Shine Boys".

Thanks a bunch.

:(

Bob
 
Here's my take on Groupon & LivingSocial deals, purely on the consumer level...

I do not buy from service-based businesses anymore. If it's a deal off admission to a venue or a restaurant, I'm fine with it. But after several experiences with service based deals (including a car detailing service) I quickly learned that ultimately I'm just getting what I paid for not what the normal price would have gotten me in terms of quality/pride of service.

It's hard, or at least time consuming, to put it to words from my phone by in a nutshell I paid $50 for a $115 detailing package but when they were done I could tell they shortcutted as many steps as possible so that they would at least break even on time-spent & cost of materials. So I paid $50 for a detailing package and got exactly what you'd expect for $50. Do I blame the guy, no, he was just trying to do what he could to survive the experience until the redemption period expired.

Think about it this way, the clients you attract will likely never be willing to pay the 100% increase and as such will also not likely car enough about their rides to be willing to ala carte premium ad-ons. They will own the dirtiest, most scandalous daily drivers with the most atrocious "problems" to clean and the frequency they're willing to have that level of clean done will perfectly match the frequency you're willing to offer that some deal.

And whatever you do, don't buy a chiropractor's package, that one really was a pain in my...



Lucky Joe,
Wannabe Detailer

Sent from my HTC DNA
 
...after reading everyone else's posts, I should have just +1'd it since I didn't really add much except slightly different spin on the same msg.

Lucky Joe,
Wannabe Detailer

Sent from my HTC DNA
 
I worked out a deal with my local paper in OC, CA a year and half ago. It did not make me a lot of money but it surely got me some quick needed cash.

Most customers were very easy to deal with. Some did expect a higher level of service. 70% of the cars were easy to work with, the other 30% were a mess. The average tip I got was $10, some tipped about $20 and others nothing.

It got me about 5 regular customers. It got me an office where I go to once week to detail cars. I get there at 8am and leave by 12 or 1pm with about $250 in my pocket, sometimes more, sometimes less. Then to my next stop.

Run a deal that works for you. Be ready to be swamped with calls when the deal runs. Also be ready for the long days and hard labor.

Run a deal with your local newspaper better. Most subscribers are folks over the age of 40, home owners and retirees.

Good luck.

William Umana

Sent from my HTC EVO using AG Online
 
If you need a quick infusion of cash that means your business is underfunded. That is a sign you are in trouble. You need to address that problem not run a coupon deal and add another problem.
 
I don't understand why you want to do 4 cars for $150 when you can just schedule one for that price? If you need busy work then create some wash 'n Vac package for $50. Use a rinseless wash, dry wipe wheels, apply tire dressing, quick Vac and you're done. If the vehicle is really dirty then hit it with a pressure washer first. From this service you can up sell add ons. Plus you can advertise being Eco friendly.
 
You must log in or register to reply here.
Back
Top