Hey. What’s happening, everybody? It’s your main man Seven-figure Sam here just kicking back in my office and just wanted to just share with you real quick about this Groupon promotion that we did and just show you some real cool features that you can really do some market research through Groupon.
Now before we get started, I know it’s a big debate. A lot of the trainers love to do Groupons and a lot don’t and there’s that debate. Should I Groupon or should I not Groupon? That’s the big question, the big debate. If you want my thoughts on this, I say that you should absolutely do and here’s why.
Before, if you were going to go and start a boot camp or a personal training business, now let me just explain that. I truly believe that a daily deal site like Groupon definitely works better for a group exercise program such as boot camp and not so much for one-on-one personal training because for one-on-one personal training, there are a lot of expenses involved. So if you ever get 200 people in the door, you got to have 200 trainers to service them.
So it definitely works a lot better with the group training because the more people you get in the door, that doesn’t necessarily increase your expenses and that’s the beauty of doing group training or boot camp classes. Also if you look back, if you are going to start a boot camp business say six, seven, eight, four, five years ago before the Groupon era, for you to get 200 prospects into the door, you would have to spend tens and thousands of dollars for you to get those prospects into the door because if you just do say for example a print ad, that’s $2000. You do some pay per click. That’s at least $500, $600 a month. You do SEO, anywhere between $400 to $800 a month. Any kind of advertising is going to cost money.
Now, no time in history ever you’re able to bring 200 or so – some cases, in Chicago we do close to a thousand. I see people do 1100 crazy deals but the point is not how much you do. It’s the fact that you’re getting people that are interested in what you have to offer and so all you have to do is do a damn good job servicing them, over-delivering and just doing that really thorough follow-through to convert as many of them as you can into clients.
Now are you going to convert 100 percent of these into clients? Heck no, you’re not and you shouldn’t even expect that but I was thinking like we do as much as 28 to 30 percent. My boy Jeff Sherman, I know he did, if I’m not mistaken, like 34 percent with some of his Groupon.
So let’s do the math for a second. Let’s say you sold 200 and so 200 people showed up to your door and you convert 30 percent of them into paying clients. So 30 percent, that’s 60 people. Let’s just say your price is $147 a month. So 60 times $147, that means you just increased your EFT by $8820. You times that by 12. That means in a year, this promotion has yielded you $105,840. So it’s a no-brainer. A matter of fact in my Chicago boot camps, we have done no other forms of advertising except daily deals and I and all my three partners are getting paid very, very well.
So now that we got that out of the way, let me show you some cool features. Now, if you go here, you see that there’s something called “View deal analytics”. So you can go in here and check this out. It tells you out of all the people that bought, the percentage that are males and the percentage that are females. It gives you age demographics. Right here, we have 7 percent, 18 to 25; 37 percent between 26 to 35; 40 percent between 36 and 50 and 50 plus, 14 percent.
So our demographic is females obviously, 80 percent; and it is of 26 to 50 making 77 percent of our clients. So now we know if we’re ever going to advertise in a magazine or we’re going to write a sales copy or we’re going to do anything, now we know which population we can go after and that’s cheap market research at their expense.
That’s a beautiful thing and even better, if you look at here, it’s like little heat maps and it shows you exactly where people are most interested and where are the pockets that people bought the most from. When you scroll down a little bit more, you see the zip codes.
Now this is priceless information because now we know which zip codes are most interested in what we have and now if we were going to do for example like a postcard campaign or a direct mail campaign, now we know exactly who we’re going to try to address it to, male or female; obviously female, what ages and what zip code.
So there you have it. I just wanted to share this cool tool with you that I found on Groupon and I hope this was helpful to you. Again, this is Seven-figure Sam signing out. Peace!