Launched in 2008, deal-of-the-day site Groupon gives small businesses the chance to attract new customers by offering discounts on selected products or services. The model has given some unknown brands a bigger platform for sales, but others have criticized Groupon for absorbing too much of business’ profits and only attracting bargain-seekers, thus failing to build brand loyalty.
Depending on your brand, offering a Groupon deal might be a good idea for your business. Of course, it is not enough to just offer your Groupon customers a one-time deal and then expect that they’ll keep flocking back for more. If you are serious about using Groupon to attract and keep new customers, then you will need to implement some effective customer retention strategies that fit with your overall marketing campaign.