Category: Shopping

Is Groupon Good for Business?

After watching the Freakonomics movie, I started thinking about this…

I’ve been on the mailing list for the “Flash Sale/Deal-of-the-day” site called Groupon for several months.  It was not until I learned about a Blackberry application did I actually take note of the “deals” and purchase one.

Although I had a good experience and saved 55% off a lunch I would have paid full price for I could not help but notice how many people were taking advantage of the same offer.  I heard the word Groupon mentioned by customer and staff repeatedly.

The place was packed more than I’ve ever seen before & tempers were starting to flare as the number of seats came into short supply.  The constant attempt by the waitstaff to turn the tables, no doubt to help get everyone moved through the system, was also a big turn off.

I’ve started going back through my Gmail archive looking at the previous deals and I’m pretty surprised by the size of some of the discounts (80% in some cases).

This leads me to a couple of conclusions/questions:

  • There’s a tremendous markup in a all of these products and services
  • Businesses are willing to break even (or loose a little money) to bring in new customers
  • If I get a large discount for a product or service, am I going to be willing to pay full price for it again?
  • If hundreds of people take advantage of a service, such as a hair salon, how many weeks can that business survive with decreased margins and what about the regulars who suddenly cant get an appointment?

How are these online services any better than the Entertainment books we’ve all bought for $20 at one time or another that gave us hundreds of buy-on-get-one coupons for places we would probably never check out were it not for the “deal”?  A little research online revealed that Groupon takes 50% of the already discounted price and then pays the rest to the business over 2 months.

I’m going to continue using the service & look forward to some good deals while doing so.  So my take is this, if you’re a consumer these deals can be great.  If you’re a business, be very careful before jumping on board…

Finally, if I can’t get into my dentist or barber because of one of these deals I’ll quickly change my opinion!

My Review of Commute 2.0 Messenger

Originally submitted at Timbuk2

An updated Commute that's TSA-compliant.


Even better than V1.0!

By Andrew from Indianapolis, IN on 4/3/2010

 

4out of 5

Pros: Attractive, High Quality, Good Organization, Good Strap Length, Enough Compartments, Great Color, Easy Access

Best Uses: Everyday

Describe Yourself: Career, Modern

As an IT Architect I carry my office with me. I need a bag that holds the gear, allows easy access and has the durability to handle whatever I put it through (construction site to board room). The Timbuk2 line of bags have always out performed the competition and have proven their value time and time again.

(legalese)

Lenovo IdeaPad S10

lenovo_s10Cashed in some points a while ago and picked up a new Lenovo IdeaPad S10. Great little NetBook with a LOT of features!

Still trying to figure out how I want to set it up but I think it’s definitely going to be used as a portable media machine (movies, etc).

If you’re in the market for a NetBook I would definately check this on out.  Here’s a link to a very through review at www.notebookreview.com.

Seventeen Dollars For A Notebook? Well Worth It, Say Fans

moleskineForbes.com had an article about one of my favorite daily carry items, the Moleskine notebook.  while expensive when compared to spiral bound notebooks, the craftsmanship is first rate & you will want to write in it all the time!

I’m glad to see people still taking the time to enjoy the finer things in life.

If you’re going to be traveling soon the City books are a really good accessory to have with you.  You can document your journey and create a real keepsake for future trips.