Shirly293

De BISAWiki

Entrepreneurship Lessons From Groupon

What you might Learn from the FASTEST growing company EVER.

When thinking about the lessons Groupon's success can offer entrepreneurs, I thought of something my grandfather told me:"If you want to be successful at anything, follow somebody that is successful!". During my grandfather's day you had to find out directly from the person or company you were following. In the modern day world of the internet, following in the footsteps of successful entrepreneurs far less complicated.

eric lefkofsky chicago businessman

Groupon's success is based on, knowingly or unknowingly, following principles laid out by Napoleon Hill. He was quoted saying: "It is literally true that it is possible to succeed best and quickest by helping others succeed." This is actually the essence of Groupon's success. By helping small enterprises to offer group discounts, Groupon offers targeted advertising these business owners could not readily afford. By sharing the proceeds with the offer, the consumer is actually paying both the local company, and Groupon. The best part of the business model is that it also helps the consumer and the economy.

eric lefkofsky chicago businessman

Our economy has seen a vicious downward spiral. Widespread job losses keep individuals from spending money, local businesses fail, more effort is lost, and less cash is spent. Groupon has taken one step toward defeating this model. By giving group discounts, they may be encouraging consumer spending, which increases someone's place of business revenues, and helps us keep our local jobs.

Groupon can be a combination of two words, Group and Coupon. Companies have long known the strength of coupons and group discounts. People who receive discounts often spend more money. If they spend more compared to they originally planned, they don't mind.

eric lefkofsky

Groupon offers a daily deal for their subscribers. There is a timer on the right, letting you know the time is left to purchase the daily deal. A minimum number of deals must be sold before "the deal is on", and this number is also displayed. Groupon collects from 30% to 50% from the deal price and the local business collects the rest. The deal that you buy posseses an expiration date attached, so don't forget to use your discount!

What Groupon's success way to entrepreneurs: If you find a method to help people, you too can become successful. Look at other entrepreneurs who've become wildly successful, and you will see that they started off by creating value. Google gave us an easier way to find what we're searching for. Cable gave us in home based entertainment. Groupon gives us the opportunity to try high end services for about half the price.

The ultimate part of this equation isn't disappointing your customer. The big mistake many entrepreneurs make is forgetting what made them succeed in the first place. You might be only as good as you customer satisfaction ratio. Remember you might be only successful because of your customers or clients, don't let them down!