Case Studies: Groupon & Foursquare for Businesses

Last month, we learned how Groupon is beneficial for businesses. Today, let’s take a look at some real life examples of how Groupon and Foursquare can be used to bring in new customers:


Cafe 50’s Uses Groupon
The concept of discounted dining is not new. Restaurant.com has been around for much longer than Groupon but it lacks a social and “cool” aspect of Groupon deals.

This weekend, I ate at Café 50’s for the first time after seeing a Groupon. This kitschy 50’s themed eatery has fairly good Yelp reviews and two locations in Los Angeles. After a yummy breakfast, the owner thanked us for coming and told us how much he loved Groupon because it was bringing him in so much business. How much exactly? He revealed that within 24 hours, nearly 4,000 people had purchased a Groupon! That number is pretty amazing to me for a local business. It’s also the kind of restaurant that is good for groups and families so I’m sure that they’ll be looking forward to more customers through word of mouth and online reviews.


Checking into Dodger Stadium with Foursquare
This weekend was full of new things as I checked into Dodger Stadium for the first time using Foursquare. I even earned a “swarm badge”, which means that I checked into a venue where 50+ others have also checked in. Foursquare badges and mayorships provide customers with a fun way to show their loyalty and encourage them to explore new venues. I also saw that fans checking in using Foursquare could also save 25% on their next visit! Groupons and Foursquare is great for restaurants, retailers and venues because they provide incentive. It’s a new way to invite people who wouldn’t normally visit your business.

Of course, there are downsides to Groupon and Foursquare if businesses believe that they could lose money (especially for service provides or small businesses who are not equipped to handle the volume). If your business is interested in Foursquare or Groupon, make sure to read the conditions carefully.

Thursday Topics: Over Optimization & Social Media Marketing

Optimization Strategies
What happens if you overkill your optimization strategy? I just saw a short interview clip with Matt Cutts on a SEOBook article about this very subject. Although Matt claims that you won’t necessarily get penalized, it’s obviously not ideal to over optimize. Google optimization is a delicate task and the key is to make your efforts look as natural as possible. This means doing away with duplicate content (your own and content “borrowed” elsewhere) and mixing up the keywords you use on a single page. If you feel like you’re using a particular word a little too much, you probably are. This not only looks spammy but it makes it annoying for your average reader.

Have You Checked in with Foursquare?
Whether you love or hate social media marketing, you’ll certainly be at a disadvantage if you ignore it. The internet is abuzz over the Foursquare phenomenon and that’s cool, but I don’t really get it. I mean I “get it” from a marketer’s point of view so I guess we’ll expand on that note. Like local search, Foursquare pulls in customers to drive business. But, how does it work? The jist of it is that customers “check-in” on their smart phone using the application to keep track of the various locations they’ve visited. Depending on the amount and variety of places you’ve visited, users can earn badges that showcase their accomplishments.
Interesting… but what’s the point? Social Media Examiner shows how businesses can implement loyalty programs and build relationships using the app. By using the ‘check-in’ feature, customers can take advantage coupons and promotions available for locals. It’s beneficial for all, so why not? Foursquare, and the lesser-mentioned Gowalla, are fun and engaging new ways to use location based services to connect with customers.