bigaboy
Registered
I think that may be a bit general. Groupons are a marketing tool. Used correctly they are a tool to cull a group of prospective clients. The breakdown comes when it is not used as designed. It is NOT a revenue generator in and of itself. If a dive shop thinks they can make money from them by scaling down service they are wrong. They get disgruntled clients who are less likely to sign up, defeating the purpose of the Groupon. If however they lay out the red carpet and use the opportunity to impress the clients they will likely cull a few of them to go on.So is the general consensus that Groupon allows disreputable shops to prey on unsuspecting new customers and those shops that use them as intended can provide a good service with them?
If a disreputable shop uses Groupons as a revenue generator, well then it is just another example of how they rip people off (I suspect their business practices already promote this type of behavious in other transactions). If a reputable shop uses Groupons as a revenue generator, they are employing a bad business model and are likely just unschooled in marketing. Unfortunately this will tarnish their rep.
Simply put, Groupons are another form of advertising. It costs money to advertise. They create opportunity.