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I had an interview at a hair/ nail salon and the owner said she's been extremely successfull with Groupon. I have never used Groupon. She said in 9 months 2 of her hair dressers have built up a clientele & full book.
Wondering if anyone used this for nails? Good Bad ugly success?
Groupons are not good for service businesses. My background is in marketing, and I would discourage anyone in the spa industry from offering a Groupon for a variety of reasons. This article explains most of them.

(08-22-2013, 09:28 PM)plumgirl Wrote: [ -> ]Groupons are not good for service businesses. My background is in marketing, and I would discourage anyone in the spa industry from offering a Groupon for a variety of reasons. This article explains most of them.

I agree with the above. Groupons are only good for Groupon! You hardly make any money from the service they redeem. Groupons also cheapen your image and the majority of people don't come back once they've used their groupon. They are forever looking for bargains, and find and use a groupon elsewhere.
That's what I think - this salon owner says that 2 of her girls have really built up from it- ugh!!!
Groupon and other sites like it are basically for the hoppers that are bargain hunting. I went to work at a place that had already started doing Groupons and the former tech left because of it. I told the owner I would honor them if I could. To begin with the original service price was too low- $25 for a spa mani and pedi. Then it was for half price= $12.50. Groupon got half=$6.25 and the salon (me) got the rest. I was getting $6.25 for a service I normally charged $50 and that was a special price. Never again. I also knew a massage therapist that walked away from her job because the owner insisted she do Groupons.
I'm in groupon Hell! I did it (and am still doing it) because I started my own biz and needed to build up. I am working like a dog for nothing (met some really nice people), made a couple of new clients, but most of them are looking for a "deal". I need to figure out how I am going to get some real paying clients! I am only doing this part-time (thank God I have something else that pays the bills). It's okay to get people in, but people are driving 30 miles to me to save a few bucks. Definitely not keepers.
I am in Ireland and we also have groupon. The only people who make money from this are Groupon!!
If you suggest to them a really good package for X dollars/ euros they don't want to run your deal unless it's for peanuts.
Having said this my sister started a small business doing Reiki(a bit -out there - for lots of Irish people !) and she did a Group on offer to include a dry float which is basically a filler. She got lots and lots of people for it, and as she is very good at Reiki and it's very personalized she managed to hold onto a good few of them. So it gave her a clientele to build on.
IMHO IF you have no clients as yet,it may be worth it to kick start but mostly you will have customers who are out for a bargain, and have no loyalty when they have lovely nails done.
If by "built up," she means that they're busy, that's not the same as being financially successful. Anyone can be busy . . . just give it away!
No she told me the one girl there a year has built clientele & doing a $1000 a week in hair - I don't know- sounds crazy
I don't recommend groupon at all. I'm glad to hear "one" person seems to have had success... but there are 1,000's of others that it hasn't worked for at all.

I have to say that I question groupon's clientele.... every time the salon down the street for me signs up for groupon - I get at least three calls a day for people wanting to make a groupon appt. I politely explain that they've called the wrong number. They argue with me everytime! One lady drove in and came in to yell at me for not honoring the groupon she paid for.!! I'm polite because I'm trying to win them over - but I get so tired of explaining that they have the wrong phone number. I asked one lady why she didn't refer to her groupon confirmation email to get the phone number - and she said it was easier to just google it! It's exhausting for me to field the phone calls... so I can't imagine that they have luck with it there.
Groupon was the worst mistake of my professional life. They oversold me by 100, which seriously screwed me over maintaining my regular clients, and I got one client out of 200 groupons that I retained.
I had a good experience with Groupon. I offered a manicure and pedicure. Charged them extra for gel polish and made good tips. I had just moved to a new city and was starting from scratch. 2 years later some of my best clients are people I met from running those promotions (I did 3 over the course of about a year and a half) I have to say though, it's easier to retain a client you get a more traditional way, like a referral. And I think the percentage these companies keep is too high.
Thx - !!
Walk away. Groupon is a joke for a service industry. Unless you are working hourly it is a huge waste of your time.
I actually did!