Discounting is the Groupon business strategy. The method works and drives revenue into your business location; however, many times, these are the types of customers obtained, people that only shop for discounts.
Discounters shop the web for deals and only visit your business when there are discounts. In the long run, this method can ruin your business. Valued customers and generous spenders receive a lower level of customer service because business dealings increase via discounters.
Do They Offer Marketing?
Marketing is a HUGE factor to consider. If there are no Email and Mobile marketing services, you are purchasing a digital punch card. A punch card may be suitable for smaller businesses as digital punch card pricing is cheap. However, becoming a discount business may cost you more.
Automated Marketing Features?
The bottom line is your busy, your staff is busy, and often weekly Emails and SMS messages are pushed under the rug. When a business has time to market, many times, they broadcast to an entire contact list. If sending large Email or SMS blasts, a discount is typically attached to drive business.
If a discount offer is attached, this can lead to discount shoppers as discussed above, and can lead to a bad experience with your generous spenders.
These are essential reward program considerations. Feel free to contact us, and we’re happy to discuss all your options.