|
|
Go to page 1~2 [Next] | ||||||||||
MichaelDouglas Special user Portland, Oregon 766 Posts |
I wanted to share with all of you that I was approached by Living Social last March. I agreed to a deal that ran later that month. It resulted in 50k people in my area getting a "Deal of the Day" email from them that featured my birthday magic show. You don't agree to these things with the thought that you're going to sell a bunch of gigs through this marketing effort and gain a stack of cash. They sell your show at 50% of your normal retail price. They then split that sale with you 50/50. The result is you get 25% of your normal fee.
Yeah...I know. That sucks. However, there is good news. I have been successful at upselling a more expensive package or goodie bag addons, etc, to about 40% of the 30 shows I booked through them. I also ended up getting a juicy corporate gig for walk-around during during a cocktail hour plus my after dinner stand-up comedy magic show. And that company has booked me again in a neighboring town for a different group of their employees. It has also yeilded some great references. It will take about a year for me to know if the spin-off gigs that I get from the 30 shows will cover the 75% loss in revenue from the initial shows. Lastly, it also forced me to take a hard look at my booking system. This is so because once that ad arrived in inboxes, my phone began ringing by 8:30am that same morning. It didn't stop ringing until the 10 days they promoted my show in their daily deal email expired. I was overwhelmed with paperwork. Based on what I see now, I'd not do this again. Even so, I'll hold off on my final evaluation until I see how many spin-off gigs I get from this effort. Since then I've improved my booking system but still....if you have a web site that is 1/2 way eye appealing with good sales copy, pics, videos, etc., then you'd better brace for impact if you promote your show via Living Social or Groupon. |
|||||||||
amakar Loyal user 235 Posts |
I like the application of social deal sites for products or services with repeat business (carpet cleaning, massage)
I don't know how well it applies to a family entertainment market.... The average rate in my area is $125-$200 for an entry level entertainment package. After a Groupon deal, you'll get $35 to $50 If you view it as the cost for client acquisition then I'd pursue it...but at those rates, it just doesn't make sense. Groupon and Living Social makes sense for commodity based products or services. Magic shouldn't be treated like a commodity but when your competition is a bounce house or a Chuckie Cheese party, it gains that perception. Thank you for sharing the results data! Andy |
|||||||||
Bill Hilly Elite user 449 Posts |
I got this emai from Seth Godin. Is this the same Living Social thing?
http://sethgodin.typepad.com/seths_blog/......%21+Mail |
|||||||||
MichaelDouglas Special user Portland, Oregon 766 Posts |
Quote:
On 2012-06-28 23:23, amakar wrote: Andy, I believe you are right. Yes, Bill Hilly, it is the same company "Living Social". I got that offer from them too. However, I didn't feel it would be worth my effort considering the 10's of thousands who'd apply for it. I case you haven't guessed, I don't play the lottery either. |
|||||||||
Dynamike Eternal Order FullTimer 24148 Posts |
They did call me late last year. We put a package together. I did not get any approvals because my fine print was to tight. People emailed and called me, but I would not change the fine print. The reason it was so tight was because I wanted the shows to be in January and February only. Those are the less busy times of the year.
|
|||||||||
TheDean Inner circle Reno, Nevada 2164 Posts |
The Cost of Regret and Investing in your future with marketing…
One more perspective… I am NOT suggesting that Groupon/Living Social and the host of such sites cropping up are good or bad… one way or the other. They simply 'ARE what they Are' and though I am definatly NOT a fan of ‘discounting’ en mass, (or most other forms… hehehe!) like any marketing outlet and outreach, you've got to weight the pros and cons generating leads and the potential ensuing business result for each business and situation. It's not good or bad just because we are a service, nor is it better (per say) just because the product may be a commodity alone… The cost of generating leads is what it is… and if the simple math works for you and your long-term business then the numbers work, if they don’t then they don’t. The idea of the cost/benefit associated with (new) 'lead acquisition' is the consideration here… One quick example: (For Me...) I would 'loose money on the first deal' if I know the real “lifetime value” of my ongoing business relationship with my prospective lead generated every time. (depending… as I said) on the real and genuine average of that lifetime value of each real and generated buying relationship. - - I could and would happily loose thousands of dollars acquiring a long-term buying relationship over the next 5 to 10 years of ongoing business with them… in a heartbeat if it meant tens and/or hundreds of thousands over the next several years! (Almost any and every time! - Try getting those returns in any other form of investing... marketing pays off better n almost every situation when done well and properly WHEN you know your numbers!) Now, I know what my numbers are so I know what I am willing to ‘invest’ into my business growth, but the cost of marketing is only a loss if the numbers don’t make sense over the potential lifetime of each lead on average… for me, it almost always is. There IS a “Price For Every Prize” and a cost associated with new lead acquisition in business and you will ether pay the price of discipline or the cost of regret… and regret weighs TONS compared to the ounces of long-term discipline and the ensuing ROI! (Return On Investment) AGAIN, as long as you know your numbers and it makes economic sense for you and your LONG TERM Business. Simple math tells us that if I invest $1 and get 5, 10, 20, 50 or $100 for each dollar invested over the next ‘X’ years… I’m still making a profit… even if it’s not in the first gig! Just another thought in the pool of consideration… Hope That Serves… I am at Your Service and in HIS Service, Deano (Serving & Supporting You and Your Success!) in Reno <><
Dean Hankey, *M.D. - The Dean of Success Solutions!
Serving & Supporting YOU and Your Success! "Book More Shows... Make More Money... SERVE MORE PEOPLE! - Not Necessarily In That Order…" (*Marketing Doctor) |
|||||||||
Blair Marshall Inner circle Montreal, Canada 3660 Posts |
Michael,
Thanks for the post! I was thinking for those that offer magic classes and courses this would be an excellent way to attract clients. To take ads out in the family papers etc. would cost you at least as much with no guarantee of attendance, even for a "taste". A "sample" class with the upsell being a 10 week program could be VERY interesting. Minimum number of folks for the offer to kick in....15-20 (especially in a metropolitan area), and a decent per class price could make it worth your while. Folks bring their own materials for the sample class, or material would be available for a "minimal cost" at the class (ie. cards, rope etc.) Blair
Visit My Facebook Fan Page At
www.Facebook.com/BlairMarshallMontrealMagician www.BlairMarshall.ca www.ShaZzamShow.com www.MontrealMagicien.com |
|||||||||
MichaelDouglas Special user Portland, Oregon 766 Posts |
Dean, you raise a great point. As aluded to before I won't really know for about a year if the investment of time and discounted rates will pay off in additional bookings. Part of that is how well I do at promoting my show to the kids/parents of the guests at these discounted shows.
Blair, yes, I've considered doing a workshop. My analysis, which may be flawed, of the ROI is not leading me to try this at present. |
|||||||||
Howie Diddot Inner circle San Francisco & Los Angeles California 3288 Posts |
Michael;
I charge $300.00 for a show, if I cut it in half to $150.00 and split the fee I would be getting $75.00; then subtract $10.00 for fuel, $10.00 for the magic kit and the button and the framed Junior Magician’s certificate I give out to the birthday child, and the Junior Magician’s Assistant certificates I give to every other kid in the party and the confetti I toss. I can make myself at least $50.00 per show |
|||||||||
Dynamike Eternal Order FullTimer 24148 Posts |
Quote:
On 2012-07-04 09:47, Howie Diddot wrote: That's all? |
|||||||||
charliecheckers Inner circle 1969 Posts |
Building you client base up with bargain hunters seems like a poor way to go. If you want to offer a one time discount to a customer that is likely to be in a position to hire you many times in the future at full price, you can do that without the need of cutting a third party in on it. It should also be made clear why the discount is offered, vs just offering half price shows to bargain hunters.
|
|||||||||
Al Angello Eternal Order Collegeville, Pa. USA 11045 Posts |
To have the opportunity to make 25% of my regular fees while working my butt off sounds like a real sucker deal to me, and the thought of having someone making more money than me for every show I do is the reason why I quit my day job.
This thread has to be a joke, or PT Barnum was right.
Al Angello The Comic Juggler/Magician
http://www.juggleral.com http://home.comcast.net/~juggleral/ "Footprints on your ceiling are almost gone" |
|||||||||
Howie Diddot Inner circle San Francisco & Los Angeles California 3288 Posts |
Quote:
On 2012-07-05 06:39, Dynamike wrote: Yes, if I charge any more it will classify me as a 1% person and I will have to deal with the homeless occupy encampment that would set up in front of my home; living in California sometimes is tough |
|||||||||
Al Angello Eternal Order Collegeville, Pa. USA 11045 Posts |
Originally I only thought about working for practically nothing was a stupid idea, but after reading Charliecheckers post you get the added advantage of a long list of undesireable customers that expect $75 magic shows. This boondoggle is a loose, loose situation, and it must be some kind of a joke.
Al Angello The Comic Juggler/Magician
http://www.juggleral.com http://home.comcast.net/~juggleral/ "Footprints on your ceiling are almost gone" |
|||||||||
Vick Inner circle It's taken me 10+ years to make 1120 Posts |
Bad idea for me, my time and show are far much too valuale and too high quality to discount
(except for few the charities I work with by my choice) I provide a quality entertinment experience ... you can't get that on groupon or living social ... price shopers are not the customers I want to work with Some people shop Wal-Mart becuase that's what their budget is ... other don't because they don't like the Wal-Mart feeling (I can't call it an experience) I've worked enough, I don't need practice in front of a live audince for a % But thanks for sharing the expereince, already my mind thought of a way to make it work but ..... nah
Unique, Thought Provoking & Amazing Magical Entertainment Experiences
Illusions By Vick Blog of a real world working magician Magic would be great, if not for magicians |
|||||||||
Dynamike Eternal Order FullTimer 24148 Posts |
Quote:
On 2012-07-06 11:16, Howie Diddot wrote: GZ charges $350 for only 40 minutes. |
|||||||||
Al Angello Eternal Order Collegeville, Pa. USA 11045 Posts |
I'm a little disappointed that Mike, Howie, and I are the only ones laughing at the silly notion that a lot of cheap jobs will make you real money some day.
Al Angello The Comic Juggler/Magician
http://www.juggleral.com http://home.comcast.net/~juggleral/ "Footprints on your ceiling are almost gone" |
|||||||||
Howie Diddot Inner circle San Francisco & Los Angeles California 3288 Posts |
Quote:
On 2012-07-25 21:11, Dynamike wrote: GZ Lives and works in DC and goes to the Obama house to play with his kids, he has no worries |
|||||||||
Al Angello Eternal Order Collegeville, Pa. USA 11045 Posts |
Howie
The white house is only one gig the Great Zucchini does 400 other jobs a year for $350 each, and in the Summer time he does festivals for big bucks. Now lets get back to these $75 jobs that are going to launch Michael Douglas' career.
Al Angello The Comic Juggler/Magician
http://www.juggleral.com http://home.comcast.net/~juggleral/ "Footprints on your ceiling are almost gone" |
|||||||||
Howie Diddot Inner circle San Francisco & Los Angeles California 3288 Posts |
Al
The point of my post was that the Great Z, has many high ranking officials in the government that will protect him from any tribulations if he was to make an honest mistake with his taxes. Congressmen and Senators would never do anything to prevent him from performing at their children’s parties as they would not be able to go home if he were for any reason prevented from performing. I would not be surprised to find out that he has secret service protection |
|||||||||
The Magic Cafe Forum Index » » Tricky business » » Living Social (0 Likes) | ||||||||||
Go to page 1~2 [Next] |
[ Top of Page ] |
All content & postings Copyright © 2001-2024 Steve Brooks. All Rights Reserved. This page was created in 0.05 seconds requiring 5 database queries. |
The views and comments expressed on The Magic Café are not necessarily those of The Magic Café, Steve Brooks, or Steve Brooks Magic. > Privacy Statement < |