As car wash owners search for ways to increase revenue during economic downturns and “off” seasons, new social media sites like Groupon.com present new marketing opportunities. Groupon.com has recently caught our attention here at Tommy Car Wash Systems because of the pure simplicity – and effectiveness – of the site’s advertising model. We’ve dug deeper to see how effective Groupon.com advertising might be for local car wash businesses, and we were pleased with what we found.

How Groupon.com Works for Car Wash Businesses

Groupon uses what it calls “group buying power” (hence the name) combined with social media to promote your business’ brand or service. Each day, Groupon promotes a single product or service at a deeply discounted rate from a local area business. People who have subscribed to Groupon.com via email or social media sites see the daily special and may purchase it, if it’s of interest to them. A minimum number of coupons need to be bought in order for the deal to be offered – which is where the “group buying power” comes in. With a guaranteed minimum number of customers, selling car wash services at a deeply discounted rate is a lot more affordable.

One of the great things about Groupon, from an advertiser’s point of view, is that you aren’t required to pay Groupon any upfront fees. Instead, Groupon takes a percentage of each coupon sold.

While Groupon’s model makes it unlikely that you’ll see an immediate ROI from advertising on Groupon.com, it’s a great way to draw in new car wash customers and let people near your car wash business know it’s there.

Groupon is only available in major cities, although they’re constantly expanding, so check to make sure Groupon is available for your area.

Originally Published at tommycarwash.wordpress.com