Wednesday, October 3, 2012

Why I won't do  Groupon deals for my business

 As I mentioned, I am a Licensed Massage Therapist and now own my own practice. Every single day I see offers for facials, massages, reflexology, manicures & pedicures for half off or more. Im encouraged often by people I know to do a living social or groupon deal so I can get people in the door. While I agree it will bring many to my office, It is not an option for me. I feel these particular offers are great for the consumer and terrible for my business and my talent as an L.M.T.
Perhaps most people receive daily notifications or emails for groupon, living social, savect.com or whichever discount website you may have in your area. You can buy all kinds of goods or getaways for a great discounted price usually half off! I have purchased many things from groupon in particular. I admit, I LOVE a great deal! Who doesn't? 
So, why wont I jump on the bandwagon? I'll tell you.

Here are my reasons for NOT using this form of marketing:

1. I work hard at my profession as a body worker. I use my body and my hands to perform a quality massage. In this field, we have to preserve our bodies for the work that we do. To me that means taking the necessary steps to take care of myself which includes limiting the amount of massages I give in a day or in a week. The years that I may be able to do this work are limited. Therefore, I deserve to get paid the amount that I charge. What I charge is reasonable for my area. 

2. The promotions on these sites can  generate a high volume of customers. Usually 150 people or more. I have seen close to 400 purchases for some businesses. I don't want to feel overwhelmed with a lot of work that I may not be prepared to handle, not to mention practically GIVING away my services to possibly hundreds of people.

3. After only charging about 50% of my service and then paying the advertising site, I may only make out with about $16.00 per service, perhaps less. I still have to think about supplies, rent for my space, my time spent performing the service,  doing paperwork after each session, and any other advertising I decide to do. In the meantime, even after giving a quality massage, (1) I may not receive a tip (2) most who buy these types of deals from these sites, are only after a good deal and have no intention of becoming a return client. I have personally had people say to me they only look for the deals. Well, why not, there are so many to choose from!

4. It feels good to know that the people who visit my office are there because they trust my work and are willing to pay full price for a quality massage. Those are the ones who refer others to my office, who in turn come to trust my work and value my worth.

5. If I would offer 50% off or more for my services then why don't I just make those my regular prices anyway? The truth is, I would not be in business if I charged 50% 
less than I already do. I'm not up for devaluing my services.

6. I have had the bad experience of working for someone who did groupon and living social deals. I was busy the days I worked doing 5 or 6 massages per day but only being paid $9.00 for doing an hour session, even though I was contracting for 60% of what my boss was making. Some of the clients did not tip. I have yet to be paid for those two weeks of slaving. 60% is really good as a contractor but not when it's based off a groupon deal. I never thought it was fair and I left that job after two weeks. 
Right now I don't work for anyone and I don't have employees or sub- contractors to pay but the whole situation left a bad taste in my mouth, especially for those who do get paid based on commission. Usually, as a contractor you only make a percentage of what your client paid, no matter what they paid. I don't agree with having to pay for someone else's advertising. (but that is a whole other can of worms!)

So, how do I advertise? 
Well,  it is still a learning process but so far it's been word of mouth and a lot of other creative ways like Facebook or email blasts. I do believe in offering small percentages off my services especially if it's your first visit. I also give rewards for referring others to my office or for my regular returning clients. Whatever I do, groupon is NOT an option for MY business.

Owning and nurturing a business is a lot of work. So much so that I don't want to sell myself short by offering 50% off or more to hundreds of people. I don't criticize any other business that decides to advertise on groupon or other promotional sites. Perhaps for some businesses, Groupon, Living Social, or other similar sites might be the way to go. However, I feel it's in MY best interest not to. 

Thank you all for reading! 
Please share your thoughts or experiences! 


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~Lorin Janae~

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