I think this is a really unscrupulous business model! It seems that the salesmen (hah) don't advise the business how the offer system works, only that they have to offer a massive deal (like 70% off, and then, they, Groupon, keep 50% of what the customer pays. Leaving only 50% of 30% for the business. There is no mention of putting a cap on how many customers/vouchers will be accepted, or that any of the terms are up for discussion!

It seems to me that Groupon have the power to put small businesses out of business, by offering absolutely NO VALUE. How is a small business expected to cope with 700 requests for service with only 15% of the 'real' charge coming back to them? Something that was seen as a bit of a 'loss leader' and a chance for repeated sales may actually put people on the dole? How is that right? How does that add value to our country's parlous state?

All businesses beware! Be very careful about signing up - MAKE SURE YOU GET A COPY OF THE CONTRACT! TEST the salesman! Push him on every point!
And Customers, if you are ringing to book a service, remember that the business had NO IDEA how many hits would be coming their way. They're still trying to service their EXISTING (and full paying) customers. Getting naffed on with the staff isn't helping anyone! Go back to Groupon for a refund (Wish you luck on getting through, though).

Or what happens here in the states is the small business has to upsell the customer to make any sort of profit at all

If anyone knows how to report groupon, please let me know!

Lesley J did anyone let you know?

Unfortunately, no, they didn't!

Hi all,

I can sense the frustration here from buying deals that haven't worked out for one reason or another and that is understandable. I think sites like Groupon do have the potential to help small businesses as long as both parties can agree on terms are productive rather than counter-productive (for e.g. capping the number of vouchers sold if necessary). I had come across an interesting article on MoneySavingExpert.com that is worth a read here for deal lovers and merchants: http://blog.moneysavingexpert.com/2011/07/26/bought-a-spa-day-from-groupon-or-others-did-you-get-it/

Best,

Aadit
Founder, www.sellthedeal.com
"Helping the UK resell deal vouchers"