Spas running Groupon deals

I haven't been able to find a blog out here like this so I thought I would start one. Calling all spa owners who just want to share ideas, struggles and concerns in the day to day running of a spa. I can think of 10 things that happened today that I would love someones opinion on, but not to overwhelm let's start with my favorite:

Groupon/Living Social/all the 50% off deals I get nothing from

I know many of us have been sweet talked into these deals, maybe even twice. I will admit I ran one, the sales person (remember they are sales people) on the line was so concerned for my small business and getting me new customers and getting the word out about my amazing business that I signed up. I did manage to limit the service offering and got in early so the response wasn't insane, but frankly it was a losing proposition. Not just because I only got 50% of 50% but because every other little massage shop, hair salon calling themselves a spa and so on also ran one. So even if the "deal" clients loved our spa they already bought 4 other deals they have to use up.

By the time they come back to actually wanting to pay for a service one of a few things happen: 1. doesn't remember how great our spa was because it was a year until she got through her stash of "deals."

2. Had a couple of bad experiences at some of the places she used her other "deals" at and now doesn't get massages/facials/(insert service here) anymore

3. Is so sensitized to deals doesn't think the services are worth the full price

4. Calls and wants to book with our spa and can't understand why "Mary" doesn't work here anymore even though she hasn't been back for 9 months!!

Another "deal" drawback, maybe your business sold 500 $25 massages and you had to hire more therapists and maybe they even took the pay cut in commission on the assurance that these cheap clients would turn into repeat clients if they did a great job. Now the "deal" has expired and the clients have thinned out and you have 1, 2, or even 3 too many therapists that you're not sure what to do with. The good ones leave and the mediocre ones stay and it's like time stood still for the last year of your "deal"

I know lots of people say that if your deal was bad, you just weren't smart enough to set up a good deal. I don't buy that!! Those people just have stock in Groupon or they just don't want to admit they ran a stupid deal too. These flat just aren't good deals for almost everyone.

I think the only good outcomes are when you're the only spa in town (seriously, is this possible) so you get new clients that have to come back if they want to do it again or... well, I guess that's it.

Living Social is trying to open in my town, a TV station just started one, as did a local print publication. And then the radio, TV and paper has always had 50% off deals where you get 0% of the money. I have to believe these deals will fizzle out at some point, because there are only so many times smart businesses will do them and only so many times dumb businesses can keep doing it before they go out of business. I will keep my fingers crossed!