Hey there, Jonas “Honey Badger” Deffes here…
I don’t know about YOU but I’m totally disgusted with all these Group Deal sites.
I know some of yall built a business over night with them and love them and crap..
so this post probably isn’t for you or maybe it is ..I really don’t give a shit.
So the reality is these sites expect you to split profits usually at around 50% and make the deal rock bottom for like a whole month of boot camp for $50 bucks or less…. Plus they expect you to pay all kind of hidden charges as well.
Hell No, that’s like almost a dollar a day you get and on top of that, you have to convert these people to paying a normal price of $150 plus dollar program?
Ughh. FAIL! Well I’m sure some trainers can swing it….mad Props to them for the extra work.. it’s just not worth it for me ..all that extra work and dealing with the workout tourist.
You know what the workout tourist is right? That’s some of the kind of people you are going to get from deal sites who just go around from deal to deal each month and will never join your program regardless. NEXT!
Ok … I’m done Hating on Group sites..
Actually I’m learned something pretty cool from them..
-PEOPLE LOVE buying off Group Deal Sites..
-They Create Urgency
-They have Social Proof Built in!
AND These sites are actually training massive amounts of people to BUY and insert their Credit CARD # into them like Butter!
People are not afraid to pay online with them and sometimes buying multiple times.
I took the ALL same high converting elements from them ..
And I made my very own Custom deal “sales page” so to speak and integrated MY shopping cart into it.
Yes My Very own Shopping cart! That means I make 100% of all profits and Sales! This also allows me to test different price points and offers. LOL
Now, you are probably wondering how do I get traffic to it?
Well…first off EVERYONE should have their own email list of leads and inactive
clients by now…if not, again this might be too advance for you.
I did some good old internal marketing to my list. For those of you who don’t know what internal marketing is ..
It’s when you offer discounts to qualified leads and inactive clients without letting everyone and your momma know about it.
BTW- You don’t want to de-value your internal deals by offering them to everyone.
My list doesn’t even really care that it’s not a real Group Deals site.. All I have to do is tell them I own my own Deal site and they don’t give shit! Plus.. they have a new deal sites popping up every day now.. how could they even keep up?
I can also post my deal on my fanpage and get some traffic that way too!
Since I’m in total control of my deal and get 100% of the profits..it’s actually very profitable and manageable . I really don’t need Massive amounts of traffic.
Anyway…
So even though I hate Deal sites with a passion.. I actually thank them for inspiring me to think outside the box to keep up with the trends with more Money in my pocket!
Now .. Go get your REAL Deal on!
Jonas “Honey Badger” Deffes
Brilliant! How would someone go about creating one with limited programming knowledge?
great idea! you are a genius…thank you to tell us this idea!
Sean- get some to do it for you from elance or the like.
Its not a big job for someone with web skills cos your new tech guy can go to any deal site and save as, then customise enough for it to be unique to you and your traffic.
things like “number bought” etc can actually be static as well
Hahaha! Jonas you crack me up with your blog post..you have such a twisted way of looking at things but quite intelligent as well.
Thanks Honey Badger J!
Hey, this is a plug, but only because its useful and relevant to this. I was pissed at deal sites too, so I started a company to make them give more to merchants. And they do, now that I represent a lot of merchants. If any of you all want better revenue splits and even upfront money, we’ll get on the phone for you for free and make it happen (we charge the deal sites, not you). Its that simple, really. dealVITA.com.
Magic!! Smart more will put this one into action!! Thanks!
Going on Elance now :-)
Class idea
Brilliant Jonas! I’m getting on this ASAP! I’ll make mine look like Living Social…
Awesome post!
I would never give my services away for basically free! Good luck to the ones that attracted 5oo buyers for $29.00 a month!
That is a cool idea to create a copy page that looks like Living Social or Groupon. How much would Elance charge to create something like that ?
Brilliant, very clear ….
Type your comment here… I use the daily deal sites and it did will for me to get my business off the ground other then that i will never use it again. It’s to cheap and it becomes more work and you have to spend more money on trainers and some other overhead.
Like i said it really works to get a new buisness off the ground aslong as you have your systems set and ready to deal with the traffic.
Roger Blackshear
http://www.blackshear-fitness.com
I’ve always thought and let my thoughts known that “Deal” sites often create a huge dilution in your brand… but the way you have used the idea of a deal site and it’s “urgency” factor to your own list in pure genius.
I think that Jonas makes a great point and one of the things that we should take from this is that “status quo” is something we should stay away from as much as possible. What do you want your business to be known for? Where do you want to be in the future? How are you different then everyone else?
This should resonate both in your training and in your marketing, sales, customer service.
I have done Deal of the Day sites and had success with them but I feel like it’s getting ridiculous, especially with Google, Amazon, etc. coming into the picture.
Jonas’ idea is GREAT but there is even more to be taken away from the thought process and work on implementing it into business ideas and actions.
Keep smashing the status quo brother!
Luka
J-HB-D,
Love it… awesome job on the DEAL site micro site. I’m so ready to hire your Honey Badger ass to do this magic for me!
Got me thinking…
Now, I hate the opportunity to follow up Larry on this, as it seems he’s managed to transform crap into cream but…
But I’ll say about all I know about this which is that it’s a hell of a lot harder to convert discount buyer into a full price buyer than it is the other way.
I’ve always believed, been taught/told and often even had enough sense to practice starting BIG and giving access to lower priced offerings later…
Now, in these times of great social and economic duress, the reality is people are attracted to the concept of the deal. Hence, your wisdom in meeting them there without screwing yourself.
And if you’re good enough, smart enough and gosh darn it, people like you as they do with Larry, then any opening is a good opening.
So, perhaps it’s a combo or competition between skilfully moving them up, ala Larry or bringing them in directly as you have, with the perception of the discount–or the collective buy.
For me, right now with my high-end premium nutrition, I will share a couple FREE samples with you.. and that’s risky because I set a tone for the relationship. But I do it with the clear expectation that it’s because you HAVE to experience it to get it.
Hence, it’s an easy entry point and an opening that allows for further marketing…
Thanks for the share and conversation HB.
Strength 2U,
Shawn
LOVE it! Brilliant idea. As we know all to well it’s the scarcity and price point at the moment that makes us buy!
What a magnificent idea! Who says everything you hate can do no good to you? You can use it as an inspiration. One inspiration may lead to a solution that will be profitable. Thanks for sharing this with us.
Almost everybody loves group deal site. They want to save much and those sites provide almost half of the price. Who wouldn’t want that, right? They don’t even bother if they will ever get it or not. They were blinded for a fact that you have saved a lot!
I hate it when these group deal sites make you turn the world upside down just to be able to get the deal. There is just like 24 hours for you to settle the payment and if not you are in bad luck. I guess that is how they know if the deal really went good or not. But still everyone loves it.
My friend loves buying from group deal sites. She kept ranting about it whenever she got a good deal. She is a “workout tourist” as some calls it. She would just try and then evaporate through thin air. I told her to stick to the one that really provides good service. She will just say she has to try them all first.
You are clearly one brilliant man. I enjoyed reading this post and made my day as well. I learned to use that hate to create a good cause. This is a best example of it. Good job!
What I don’t understand is why do companies still transacts with these group deal sites? Why continues if the company will lose in the end, paying those hidden charges and wasting time with workout tourist. I guess that is the “in” thing nowadays.
Your post made my stressful day to a happy one. I like the way how you say things in a funny yet intelligent way. I don’t have much idea on how these companies who ties up with group deal sites even earn from it. I mean, they sometimes post 50%off and if the site will still share with the profit. What will be left to the company?
I like this idea! You have very strategic plan that goes profitable in no time. My sister is into buying deals online. Sometimes she doesn’t even need it but just seeing that big discount. She will join the bandwagon without even thinking. That is why I hate group deal sites.
I agree on treating them differently. You may give extra care and good customer service so that they will come back for more. We all want to feel important and taken care of, right? We can give them package of the services at a reasonable price too. Good job on your idea. Cheers!
My best bud is crazy over group deal sites. She won’t stop until the last post. She even told me that she doesn’t really need them all. I told her it is a total waste of money if you don’t really need it. I guess that is already an addiction. Your post is straight to the point and very real. I hope to share this to my friend.
I like how you were able to put things together and got good results. You have a great mind! I wish I can think the way you do. You didn’t give up but you did something about that hate. Not everyone can do that and be able to walk away smiling.
That’s why you’re the honey badger lol. Awesome post bro way to be creative on that one. I will have to definitely try this one out. Thank Jonas!
The idea of copying the daily deal landing page is brilliant. Clear you’re worlds ahead of how everyone else is doing business Jonas. Roger, I agree that daily deals are a way to build your business initially. Sam and CK demonstrated that in Chi Town. But after that, it might actually hurt you. Some brilliant ideas in this post that I’ll be sure to applying myself. Awesome job Sam and Jonas. Overdelivering x 1000.