Group on fin

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Groupon or not to Groupon.
great marketing tool or collective promotional madness. Check out this presentation or contact me giulio.derme@gmail.com +79032283029

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Group on fin

  1. 1. MANIA<br />Giulio D’Erme<br />giulio.derme@gmail.com<br />Mobile: +7.903.228.3029<br />
  2. 2. ?<br />Do You<br />Clones: 300 Sites in the US and 500 outside the US (100 only in china)<br />
  3. 3. While WE were sleeping….<br />Groupon Is the Fastest-Growing Company EVER<br />Number of Years to 1 B $ Sales<br />Groupon<br />Amazon<br />Google<br />Ebay<br />Apple<br />1B$<br />Refused a 6 Billion Dollar Acquisition from Google<br />2<br />4<br />6<br />8<br />Groupon > 35 million registered users<br />
  4. 4. 70%<br />discount<br />
  5. 5. Revenues<br />YOU<br />50%<br />50%<br />
  6. 6. ?<br />CPM<br />Collective <br />Promotional <br />Madness<br />Or <br />Great Opportunityfor YOUR Business<br />
  7. 7. The Marketing Director Thinking Process….<br />. Post-Recession Economy<br />. Slow Business Growth<br />. High Price Sensitivity<br />. Need for Customers Fast<br />. Low Marketing Budgets<br />TRAFFIC<br />
  8. 8. Traffic<br />Frequent Customers<br />Fall in LOVE <br />with YOUR <br />Business, Product, Service & Value<br />
  9. 9. Is Groupon BAD or Good for you Business?<br />?<br />
  10. 10. STRENGHT<br />OPPORTUNITY<br /><ul><li> Able to drive traffic
  11. 11. Strong Incentive to TRIAL
  12. 12. Fast Awareness for Novelty
  13. 13. Repeated Business</li></ul> (making them loyal)<br />Weakness <br />Threat<br />WEAKNESS<br />THREAT<br /><ul><li> 50% commission
  14. 14. Need Strong Discounting
  15. 15. No minimal number of sales
  16. 16. No Brand Building
  17. 17. No Loyalty Mechanism
  18. 18. No ability to influence last mile decisions
  19. 19. Erosion of Brand Positioning
  20. 20. Unhappy Staff
  21. 21. Attract Discount Hunters
  22. 22. You Business not ready
  23. 23. Category Value Disruption</li></li></ul><li>When is Good for you…<br /><ul><li> Good Value for Money Positioning
  24. 24. You have new Business or Business Concept
  25. 25. Consumer Experience Superior than competitors
  26. 26. Low Variable Cost
  27. 27. High Frequency of Purchase
  28. 28. Excess Capacity
  29. 29. You are positioned as an affordable offer
  30. 30. Sticky Business Concept</li></ul>When is BAD for you<br /><ul><li> Premium Brand Positioning
  31. 31. Convenience / Commodity Business
  32. 32. Same or Lower Product / Service than Competitors
  33. 33. High Variable Cost Low Frequency of Purchase
  34. 34. Saturated Capacity
  35. 35. Problems In Execution
  36. 36. Highly price sensitive consumers base
  37. 37. Staff remunerated on Variable (Tips)</li></li></ul><li>Unhappy Employee = Lower Service = Consumer Satisfaction = Lower Return Rate <br />+<br />+<br /><ul><li> Higher Compensation
  38. 38. Part of success factor
  39. 39. Highly Appreciated Effort
  40. 40. Trained and Staffed Accordingly
  41. 41. Lower Tips = Lower variable salary
  42. 42. More Customers = More Work = Pay
  43. 43. We were not ready = Lower Service</li></li></ul><li>All Player Clones of Groupon<br />New Model<br />INNOVATIVE MODEL<br />
  44. 44. Launched 09,03,2011<br />Main Advantages:<br /><ul><li> Reward Loyalty
  45. 45. Group Check
  46. 46. Distinguish First Comers from regulars (foursquare)
  47. 47. Free of Charge</li></li></ul><li>
  48. 48.
  49. 49.
  50. 50. WARNING: <br />PROMOTIONS are a useful Tool, <br />Yet Like a Knife it can be very Dangerous if Badly Used<br />=<br />
  51. 51. MANIA<br />Giulio D’Erme<br />Giulio.derme@gmail.com<br />Mobile: +7.903.228.3029<br />THANK YOU !<br />

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