Living Social

Flash Gordon said:
By the time you devide the price in half and L/S gets their 15%, its going to equal the same as what they've been paying, no?

As far as your existing customers reffering someone to you, what the hell would they be doing seeking someone else on L/S anyway?
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These statements tell me you're still not on the same page.

The existing customers and referrals from existing customers didn't come to you via L/S, nor did they purchase your L/S deal (in fact, it's entirely probable they don't even know you're running an L/S deal). They just came to you by looking at the retail pricing you advertise pre-discount.
 
C. Charles Hahn said:
These statements tell me you're still not on the same page.

The existing customers and referrals from existing customers didn't come to you via L/S, nor did they purchase your L/S deal (in fact, it's entirely probable they don't even know you're running an L/S deal). They just came to you by looking at the retail pricing you advertise pre-discount.
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I really don't follow you Charlie

Are you talking about existing customers or ppl you are trying to reach on L/S?
 
Flash Gordon said:
Serious as a heart attack
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OK, I'll try one more time:

Let's say you have your own business website, and on it you advertise retail prices for your services, as well as using that website to allow customers to book details. You have a customer that has been coming to you for a few years, and he always looks at your price list every time he books a detail with you.

It's time for him to book his next detail, and he discovers that the retail prices you list on your site have gone up substantially from what he is used to seeing. This customer has no idea what Living Social is, and doesn't know you raised your list prices because you wanted to market yourself through that service. Because of this, he assumes there is some other reason the prices have gone up and because they are now out of his price range (or because he thinks you're trying to gouge him), he decides to look for another detailer to go to instead.

Alternatively, a customer who has been coming to you for years tells his friend to go to your website and book an appointment, and stated that for his car, he has been charged $xxx price in the past. That friend also does not know about Living Social, so he simply goes to your website to look at your retail prices listed there. Because he discovers your list prices are much higher than his friend told him you charge, he decides not to use you.

Now, do you see why raising list prices just to knock them back down with a discount specifically for people who purchase a deal through Living Social is a BAD idea? Not everyone knows about or has access to L/S, and some simply will not use it even if they do know it exists.

Plus, even the customers who you do get from the Living Social deal will assume you're way too expensive for them to come back to after they've used the Living Social coupon, which could potentially prevent you from gaining repeat customers after the promotion is finished.
 
C. Charles Hahn said:
OK, I'll try one more time:

Let's say you have your own business website, and on it you advertise retail prices for your services, as well as using that website to allow customers to book details. You have a customer that has been coming to you for a few years, and he always looks at your price list every time he books a detail with you.

It's time for him to book his next detail, and he discovers that the retail prices you list on your site have gone up substantially from what he is used to seeing. This customer has no idea what Living Social is, and doesn't know you raised your list prices because you wanted to market yourself through that service. Because of this, he assumes there is some other reason the prices have gone up and because they are now out of his price range (or because he thinks you're trying to gouge him), he decides to look for another detailer to go to instead.

Alternatively, a customer who has been coming to you for years tells his friend to go to your website and book an appointment, and stated that for his car, he has been charged price in the past. That friend also does not know about Living Social, so he simply goes to your website to look at your retail prices listed there. Because he discovers your list prices are much higher than his friend told him you charge, he decides not to use you.

Now, do you see why raising list prices just to knock them back down with a discount specifically for people who purchase a deal through Living Social is a BAD idea? Not everyone knows about or has access to L/S, and some simply will not use it even if they do know it exists.

Plus, even the customers who you do get from the Living Social deal will assume you're way too expensive for them to come back to after they've used the Living Social coupon, which could potentially prevent you from gaining repeat customers after the promotion is finished.
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I understand what your saying now, but I would never advertise a set price on a website. nor would I let someone pencil in their own appointment

Thanks for taking the time to explain :props:
 
I just got a call from the rep at L/S. She said that the company searches the internet daily to see what people are saying about them. They came across this thread and she wanted to know if I was upset at her. I told her no. I do not feel that she did anything wrong, but that the service was not for me. I would like to publicly apologize to Living Social and the rep if my original post was offensive. Maybe I jumped the gun and my written experience was taken as a slam.

I would like to add that in MOST cases advertisements and or marketing campaigns are misleading, or have very fine print that explains more. Its the nature of the MARKETING beast. I am not specifically talking about Living Social as the rep did come right out and tell me, in a nut shell, that they take my price, advertise it at 50% off and split it with me. Look at any commercial on TV, or listen to them on the radio. Listen for the fast talking little man that mumbles at the beginning or the end of the commercial.

I do see how their service would be great for a multiple person, more production oriented or high volume business. All I was trying to explain by my original rant was that for someone like myself who prides themselves in providing the highest quality service available and works as a one man show this, IMO, is not a good business decision.

Again, for the high volume detail business that provides more a production oriented service, or the new start up that could really use some extra attention, I feel like this service could really be beneficial.
 
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Garry Dean said:
I just got a call from the rep at L/S. She said that the company searches the Internet daily to see what people are saying about them.
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I find it interesting and a trend that companies monitor the Internet in general and "Discussion Forums" specifically to monitor their brand. It's a good practice on their part to stay ahead of any potential problems and also to use the feedback to change course if needed.


I think you made the right decision Gary. You do quality work, not quantity work. It's all about matching your services to your customer and along with this matching your marketing to your customer.


A few tips on starting a part-time detailing business




:xyxthumbs:
 
Garry Dean said:
I just got a call from the rep at L/S. She said that the company searches the internet daily to see what people are saying about them. They came across this thread and she wanted to know if I was upset at her. I told her no. I do not feel that she did anything wrong, but that the service was not for me. I would like to publicly apologize to Living Social and the rep if my original post was offensive. Maybe I jumped the gun and my written experience was taken as a slam.

I would like to add that in MOST cases advertisements and or marketing campaigns are misleading, or have very fine print that explains more. Its the nature of the MARKETING beast. I am not specifically talking about Living Social as the rep did come right out and tell me, in a nut shell, that they take my price, advertise it at 50% off and split it with me. Look at any commercial on TV, or listen to them on the radio. Listen for the fast talking little man that mumbles at the beginning or the end of the commercial.

I do see how their service would be great for a multiple person, more production oriented or high volume business. All I was trying to explain by my original rant was that for someone like myself who prides themselves in providing the highest quality service available and works as a one man show this, IMO, is not a good business decision.

Again, for the high volume detail business that provides more a production oriented service, or the new start up that could really use some extra attention, I feel like this service could really be beneficial.
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Wow. I think I still would've said something about the "double your prices so we can advertise 50% off" being ethically questionable, but maybe that's just me. That's about the only "wrong" thing they said to you in the first place. I just hate businesses that take advantage of consumers or assume them to be too stupid to see what's going on.
 
If she hated your thread, I bet she was spitting bullets over mine
heh.gif
 
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