The phenomenon of group buying sites has opened a whole new world for small businesses. Using the marketing reach of the group buying site, small business can promote themselves to a much larger database than they could on their own.


Whether Scoopon, Groupon, Living Social, Cudo – there is a myriad of these sites vying for deals from small businesses to fill their daily email marketing newsletters.

As a regular user of group buying sites, it surprises me how many small businesses take the first step of utilising the sites to bring in new business and then fail to convert the new business into repeat business.

Here are three easy tips any small business can implement to increase their return on a group buying site investment.

Treat the Customer Well

If you are bringing a new customer into your business you want to dazzle them.  First impressions are crucial.  If a customer feels like a second-class citizen due to the fact that they purchased a deal, they are never going to return or refer your business.

Take this opportunity to make an amazing first impression that will make the customer want to come back and pay full price.

Capture The Customer’s Details

This one is crucial!  Now that you have a new customer in the door, take the opportunity to open the lines of communication with them.

Ask the customer to complete a client card, or simply ask them to provide an email address.  Build a database and continue to communicate with your new (and existing clients) through electronic direct mail.

Setting up a mail chimp account is simple and free.  Add your new customers to your mail chimp list and follow up their experience with an electronic direct mail.

Ask the Customer to Join You on Social Media

Before you launch a group buying deal, make sure your social media accounts are up to date and use the opportunity to build your audience.  Encourage the customer to like you on Facebook or Instagram whilst on your premise.  Offer an incentive for checking in and use the opportunity to build your community on social media.

Many small business fail to capture their new customers and, as a consequence, fall into the trap of repeatedly offering deals on group buying sites.  Instead of investing in a new deal, by implementing the above you can instead turn these once-off deal customers into repeat business.

Keeping an existing customer is far more cost-effective than seeking out a new one! Group buying sites offer a fantastic opportunity for small business, but only if used to build repeat business and not just as a once-off cash injection.