Groupon Push Marketing Strategy: 17 Things a Killer Push Pipeline Must Include (Part 2)
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Groupon Push Marketing Strategy: 17 Things a Killer Push Pipeline Must Include (Part 2)

push marketing strategy, Eric Beer, Performance Marketing

Groupon Push Marketing Strategy: 17 Things a Killer Push Pipeline Must Include (Part 2)

Hey Performance Marketers, 

Last time we started talking about the Groupon business model, and in this episode, I’m going to wrap up the topic!

Today I’m focusing more on the company’s push marketing strategy and the way they’re generating their impressive revenue. I’m also playing with numbers, but this time really HUGE ones.

You don’t believe me? What if I told you that Groupon is sending 15 billion messages a month through email, SMS, and apps. Yeap, 15 billion! Or think of this – we said that Groupon has 24 million active users. That means they might have a few billion emails in their database.

Pretty impressive numbers, I say!

If you join me for this episode, you’ll also find out 17 things that Groupon sees as the most important for their push pipeline programs.

So, tune in and find out a ton of details you should be aware of when running an email campaign, which little thing can increase your revenue by as much as 800%, and even how to win free Mets tickets!

Let’s dive in!

Segmentation Rules! 

 

As I said last time, Groupon is a public company, so I was able to collect a lot of information from the company’s available reports. I also used other sources to pick the most relevant (and the most interesting) details to present to you.

I’ve already mentioned the detail that the company sends 15 million messages a month. It means they send about half a billion emails, mobile notifications, and app inbox notifications a day. 

All of us who’re sending emails and know how hard it can be to reach customers’ inboxes must be impressed! But here’s the thing. If people want your messages, you can send as much volume as you wish. The problem is when you’re sending things that aren’t relevant.

That’s why one thing I often mention is crucial – segmentation. It rules! If you know who you’re targeting and some behaviors of your potential customers, it gets much easier to get into their inboxes. 

Groupon uses various things people in their database do to send them relevant notifications (such as purchase, password reset, shipping, voucher expiry reminders, and many other use cases). But the bottom line is that Groupon is sending all of the messages for some reason. 

The company has a whole team figuring out how to target customers in all verticals (health, food & drink, goods, travel, coupons, etc.) and application platforms (desktop, mobile web, iOS, Android). They use scheduled marketing campaigns as well as user-event-driven campaigns (deals someone viewed, deal price drops, searched deals).

 

Why Is Timing Important?

 

Timing is one of the most important things you can think about for your marketing. The success of your marketing campaigns directly depends on the time at which users receive messages from you. 

Depending on who you’re targeting, you have to consider the time zone those people live in. For example, Groupon is a company working in 15 different countries, so that’s obviously crucial to send messages at the best time when targeted users would likely open and read them. 

Also, there are time-critical notifications. Those are messages about time-limited offers, promo codes, late reminders, etc. 

Apart from timing, when planning a campaign, you should also think about where your customers are and what they’re doing. If you can figure out where they are, you can send notifications to them by location. 

How does Groupon do that? For example, if it identifies a user near a store (or any other seller) who has a deal to offer, they immediately notify the user, informing them about the deal.

Let’s say you’re passing by a car dealership, and at that moment, you receive a message like, “If five cars go in the next month, we’re giving off $25,000.” You’ll probably be interested in the deal and get into the shop. 

But if you received the same notification when you got home or when you were miles away from the shop, you would be less likely to go back to the shop to check out the cars they are offering. 

 

The Magic of Personalization

 

There are three metrics that matter in push marketing: 

– open rate

– click-through rate

– purchase rate

Groupon points out message personalization as an essential factor that can drastically improve these metrics. In a blog published on Groupon’s website, they cite a study that reveals two insane facts:

– personalization can increase open rates by up to 26%

– with personalized messages, the overall revenue can go up by almost 800%

No, it’s not a typo – if you use what you know about customers, you can increase your revenue by up to 800%! That’s why I’m building the Survey Detective – to help you guys learn more about customers.

With the Survey Detective, we’re segmenting the data (who they are, what they like and don’t like), they’re learning about themselves, but at the same time, they’re giving us the information we can use to customize our messaging and make it relevant. In that way, customers feel like someone listens to them and understands them. 

 

What a Push Pipeline Must Include

 

Groupon defines 17 important requirements of any of their push pipeline programs (and I added some explanations): 

1. Deliver all email and mobile notifications within two hours of scheduled time because the campaigns are strategically targeted for a duration where the chances of opening, clicking, and purchasing are higher. 

2. Deliver the right content (relevant set of deals) to the right audience. (They send targeted messages with relevant offers to customers segmented by their buying behavior.) 

3. Use the user’s subscription to determine the kind of marketing messages that can be delivered

4. Use the right look and feel for the right email type

5. Be able to detect moving users and target them with deals in the vicinity 

6. Be able to handle a sudden spike in traffic due to many campaigns at the same time. (When you start to scale your business, you got to be prepared to handle if the things are working and people are clicking away like crazy.)

7. Handle personalized sends for large audience campaigns (You have to have a person in charge of monitoring this thing as it can be easily messed up.)

8. Consider resting non-engaged users to avoid resource costs on those deliveries; however, unrest as soon as they start. (When it comes to non-active users, you should try to reengage them with less frequent emails and messages relevant to them – perhaps once a month.)

9. Consider blocking sends to users who do not want any marketing emails or mobile notifications irrespective of their subscriptions (It’s about  suppression files. Ultimately, suppression files mean “don’t mail,” so you use that to scrub against the mailing list. And you apply it to users certain mails are not relevant for.)

10. Ability to support automated data-driven marketing campaigns, which may get scheduled in large numbers

11. Deals sent in an email or mobile notification should be active and non-sold-out deals. (edge cases should be rare)

12. Ability to constantly update both rested users as well as user denylisting (You have to have an unsubscribe file to give people the ability to opt out. And you need somebody managing and updating this list at least weekly (daily if you can.)

13. Ability to support every kind of client who wants to use the notification platform for user communication.

14. A message which is delayed beyond a threshold should be dropped (Let’s say they have a two-hour window for emailing a specific offer. And they throttle the messages, which means sending X amount every five minutes. But if it gets delayed, they stop sending it and drop it to avoid losing money or any other bad experience.) 

15. Mobile notifications should almost never be delivered beyond a certain delay

16. Various platforms should not impact each other (i.e., email campaigns should not result in the delay of push campaigns)

17. Able to manage email and push notification bounces (hard and soft) as they waste resources and impact the company’s reputation with ISPs (Hard bounces and soft bounces are bad emails or phone numbers. The ISPs look very negatively at sending messages/emails to those numbers/emails, so doing that may hurt your reputation, and you may lose delivery altogether.)

 

And that would be all about the Groupon model and their push marketing strategy. Hope you picked up some details to apply in your own business. 

If you have any questions or you want to suggest a topic for the podcast, shoot me a message on social media or in my text community (917-636-1998) and let me know!

If you’d like to get bonus Performance Marketer content, sign up for my SurveyDetective VIP waitlist!

🕵️‍♂️  Sign up for the SurveyDetective VIP Waitlist HERE

I’m looking forward to hearing from you! 

See you next time!

 

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Transcript…

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Eric Beer (00:00)

Half a billion messages per day. That means that per month, they’re sending 15 billion messages through email, SMS, and apps. And it comes down to one thing, and this is what’s so important. If people want your messages, you can send as much volume as you want.

I spent the last 17 years building my eight-figure performance business without using any of my own money, working with some of the most brilliant direct response marketers in the world today. Now I’m looking for entrepreneurs to join my affiliate army built on ethics, transparency, and good old hard work. Join me to change the perception of how people view the greatest business in the world, affiliate marketing, and follow along as I learn, apply, and share performance marketing strategies, working with some of the brightest people on the planet. My name is Eric Beer, and welcome to the Performance Marketer podcast.

Let me just go through a little bit about their marketing, so you guys can understand, like how they generate all their revenue. And here’s the deal, right? They send about half a billion messages per day. That means that per month, they’re sending 15 billion messages through email, SMS, and apps. Oh, my God, oh, my God, oh, my God, like all of us are like sending messages and trying to get inbox right. And it comes down to one thing, and this is what’s so important. If people want your messages, you can send as much volume as you want, right? The problem is, when you’re sending crap, you’re sending things that aren’t relevant. And people don’t want it. Right. And I’m sure they run into all these things like they talked about. But bottom line is through emails, mobile notifications, app inbox notifications, they’re sending millions and millions, millions. They’re segmenting by the behaviors of their customers. They’re sending emails, like, based off of like various events, like if somebody purchases if they’re doing like a password reset, shipping, voucher expires, reminders. And like 100, other different use cases. But bottom line is, it’s all for some reason. There’s a whole team here, figuring all that out based off the behaviors, and what’s taking place, the verticals that we talked about health and beauty, wellness, food and drink, goods, things to do travel coupons, and more. And four types of applications that they’re using. The platforms are through desktop, mobile web, and then iOS and Android. Those are the four platforms. They’re all very different. Right? So, it’s, you know, sending email, through desktop, mobile, right? Push Notifications, and mobile, Android, iOS, follow me apps, again, iOS, and Android. And then they’re sending notifications on their phones, right. They’re doing it all based off of different things. But bottom line is, it’s all event driven marketing campaigns, it’s all around different things that you’re doing, if you viewed a deal, if a price dropped on the deal, if you’ve been searching deals, they’re trying to make things relevant.

And the most important things that you can think about for your marketing is number one, timing, the time of when you send these emails is so very important. Okay, so few things that you could look at from timing one is just based on where they are, what time zone they live in, right? They work with 15 different countries, right? I don’t know, who you’re targeting to, and, and where, but you got to think about that. Because that’s, that’s powerful. And number two, is with where they are and what they’re doing. So, if you can figure out where they are, you can send notifications to them by location, right? Like, you’re, you’re, you’re passing a car dealership, alright. And we identify you’re in the you’re in the market for a car, and then we identify your local to a certain dealership, we can send the notification to you, explaining that here’s a deal for some cars. If five cars go in the next month, we’re giving off $25,000 Whoa, that’s huge. I’m interested in that. Right? Whoa, they go check it out. Right, they walk in right there, all of a sudden, they’re communicating with these people. And who knows... It can also be based off of like, if somebody opens, clicks, reads, all of these things are so important. The most important things when you’re in these businesses that you’re pushing out messages is open rate, click rate and purchase rate. Right? And you can create all kinds of different messages around all three of those things.

So, you want to personalize the message. Here’s one thing that a study revealed that they said is one of the most important things that impacts the business metrics. And it’s the study says that if you personalize your messaging name, what city you’re in anything, right? They’re saying that the open rates go up by 26%. And the overall revenue goes up by almost 800%. I’ll say that again. 800% by personalizing the messaging, right by customer. That’s why like Survey Detective, we’re segmenting the data, we’re learning about who they are all the things that they like and don’t like they’re learning about themselves, but they’re also giving us information now that we can use to customize our messaging, to personalize the messaging, to make it relevant to them, make them feel like they’ve been heard, and that we understand that, right, we can empathize with them, and then we can personalize a message to them. And that’s why the conversion rates go up. 800%, boom, crazy.

So here you go. Here’s the 17 things that they said in this, in this blog post that I read, that they said is the most important thing for any of their push pipeline programs. And I’m gonna go through these quickly, just so that you can hear it, and then we’re going to be done. Okay, so number one, is deliver all email notifications within two hours of the scheduled time, because the campaigns are strategically targeted for that duration. So, they know the chances of opening clicking and purchasing are higher during this window. So, they need to get those messages out within that window. They also so important that they you need to deliver the right content, right, there’s they have these relevant set of deals for different target markets, to the right audience to the right target market, right. So, what they’re doing is, they’re segmenting by their behavior, what they’re doing where, where people are purchasing certain things, they’re starting to learn about who they are, what they like, what they’re about, right. And once they learn about their, their behaviors, their buying behaviors, now, they can start to create some targeted messages with relevant offers, from what they’ve purchased, that they know they’ve already person that they’re interested in. Alright, so it’s killer, use the right look and feel for any email, then build out the profile of their subscribers. So, they know what kind of marketing messages can be delivered, again, we were talking about earlier, but local area location, detect the moving users and target them with deals in that vicinity. So, the idea is that you give you give a message and a deal to somebody in a certain location. So, if you’re able to identify where they are on their mobile phone with location services, you can serve relevant deals with that in the moment, right? It’s all about intent. Right? Guys? It’s all about intent. Google, when people search, that’s why it’s the best traffic on the internet is Google and Bing and AOL and Yahoo, whatever that search function is, people are out there searching for that they have intent, the highest intent possible, you have to be able to handle sudden spikes in traffic. That’s another big thing for them. So, when you when you start to scale your business, you got to be prepared for being able to handle if you’re if you’re killing it, if things are working, and people are just clicking away like crazy. You got to be prepared for that. personalized messages for audiences, like we said, and if you want, you need to have your team, like, personalize it and make sure that someone’s paying attention to that. So, it doesn’t get screwed up. If somebody’s not clicking or engaging. You should doormen that user, perhaps you try to reengage them with less frequent emails and messages, maybe once a month, you send something to try to get them to reengage, right, if they have 24 million active users, they might have a few billion emails in their database, but only 24 million are active. Right? So, can they get other people to re-engage. And that’s by trying to send them something relevant, that’s useful for them. If they can, boom, it’s added to the actives and then they can start to make money and then they fall back into all these different sequences, that of where they fall within the different segmentation, suppression files. Consider blocking certain users from certain messages. Alright, so what I mean by suppression files is like, ultimately suppression follow means don’t mail so you use that to scrub against the mailing list. So, if you have a mailing list for your mailing to a million people, but then you’re like, you know what, 250,000 people, it’s not gonna be relevant for them. Let’s use that as a suppression file to scrub against the million and it only sends the 750,000 automate your data driven marketing campaigns so that it’s scheduled in large numbers, deals sent an email or mobile notifications should be an active and non-sold out deal. So, this is for their business, right? Like you guys may not have to worry about this. But ultimately, like if something hits cap, they need to prepare for that and then make a change some audible right if they hit cap and there’s no more deals available for that. Then they have to, on the run, be able to change that for all the other people that are getting these messages. Otherwise, it’s not relevant. So, there’s a lot of ways they get to do it on the on the run if they have a system to do it, or they message, hey, this deals not offered to you anymore because it’s gone. But here’s other offers may be interested to you ability to constantly update both rested users as well as users that are trying to get off your list. These are your unsubscribes. It’s so important. If you’re in this business where you’re pushing messages to people, you have to have an unsubscribe file, you have to give people the ability to opt out, right? The way you get people to come in, is you get them to opt in saying yes, I’m interested in receiving your messaging. But at any point in time, if they’re like this is baloney, I don’t want this anymore, you have to have all kinds of ways to allow these people to opt out, let them write a letter, click on something where they can go and unsubscribe. And then you need to then have somebody managing this list that’s updated at least weekly, daily, if you can, that then you use to suppress against any messaging that you’re doing. So, that person doesn’t receive any messages anymore. It’s really important, right? It’s all about can spam, you can get in big trouble, if you don’t understand that. So, you guys, if you’re going to start getting involved with this push marketing, you want to get people to opt in and give you permission. And you want to be able to understand how unsubscribes work, and how you can suppress against your list. So, you avoid any issues and complaints and things like that, that can take down your business. Right? Can you have to be can spam compliant, look it up, you can see, it’ll explain to you got to be able to support all kinds of clients who want different notifications from different platforms, right? It’s a big deal. These guys are huge company. So, if you’re if you’re working on different platforms, right mobile email apps, you gotta be able to manage all that internally, a message which is delayed for them. Okay. So, let’s say they have a two-hour timespan where they say they want to mail this offer. And they throttle the messages, let’s say there’s 20 million people that they’re trying to send to, when you throttle it out, which means you say send X amount every five minutes, right. So, it’s like a little bit at a time to try to get to that 20 million. But if it gets delayed, what they do is they don’t continue to mail it, they stop it and drop it. So, they can only deliver 16 million out of the 20 million, that was 4 million people that are not going to get that message. Because it’s not going to work, it’s going to be a waste, right, they’re going to they’re going to lose money, it’s going to be a bad experience. So, they just they drop it. And more mobile notifications never be delivered on a certain day. various platforms should not impact each other email campaigns should not result in the delay of any mobile push campaigns. So, what they’re saying is like, if you’re sending messages through those three platforms, email, mobile apps, and e-book email gets delayed. That doesn’t mean you just you stop the mobile and the app and the app notifications, those go out just as planned. And you just you miss the email side, their last thing they say, which is anybody that’s in this business should know this, but be able to handle your bounces your hard and soft bounces that waste resources and impact the reputation of your company with the ISPs. hard bounces and soft bounces are just are bad emails, bad phone numbers, right? When you’re sending in that’s happening. The ISPs look at that very negatively. And if you do that, and you start sending to these bogus emails, then your reputation gonna hurt and then you may lose delivery altogether. So, those are the 17 things that Groupon in this blog post is telling you what to look out for. That’s the most important thing for their pipe line for push marketing strategy.

So, guys, with that said, I hope this was useful. dove into this business little bit, did some numbers gave you some insight on what they’re saying they’re doing and how they’re able to send 180 trillion push marketing messages a year. Wow, that’s insane. Insane, huge business. Really, really impressive. But so that’s what it’s all about. But yeah, I mean, listen, all this is here. You want to sell your business 36 million, go follow this model. You know, not watch this 10 times from we’re talking about earlier, and sell your company for 5x 36 million, and then, you know, buy me a cup of coffee. I appreciate you guys being here. Appreciate all of you that are subscribed. I thank you the path of 1000 subscribers in YouTube, which is cool because it’s all organic. I get a lot of messages from that. I love YouTube. I think it’s the most powerful medium on the internet, followed by a podcast. So, that’s why this is for both. So, if you’re watching us on YouTube, subscribe. And you know, give me a thumbs up if you like it helps out really appreciate it. If you’re listening to this on my podcast, subscribe. I’ve turn on your notifications on both. So, you can get any new episodes as we publish them. Leave a review, that would be great. It’s really helpful. And share this with anybody you think may be interested, any entrepreneur that you think can get some value out of this, I would appreciate it, I’m here, my mission is to just make an impact on other people’s lives with things that I’ve learned over the years in my business ventures. And, yeah, make a difference. And it’s fun. And it gives me purpose, and I love it. Subscribe to all of them. And if you want to text me, you can join my text community 917-646-1998. And there, I try to answer that daily as much as I can. There’s a lot of people on it. So, sometimes it takes a little bit of time, because there’s a lot and I try to be doing it myself personally, bear with me on that. But I also have some announcements on there when anything new is going on. So, that’s helpful.

In the end, lastly, if anybody that listens to this, or watches this is a Mets fan, let me know, because I have Mets season tickets. And there are times where I can’t go to the games. And what I like to do is I like to give away tickets to people that are awesome. Maybe we could do a little like giveaway here like people share like or things like that. Because they’re awesome seats all you can eat killer seats, so much fun. Right behind home plate, like few rows back, you’re right by the players. It’s fun. It’s an experience. It’s so much fun. I post on my Instagram and, and Facebook when I’m there. So, I’m going there today, right? They have two games right now I’m going to meet my company. So, three guys from a company are meeting me there, and we’re going to have a meeting and hang out and watch a ballgame and have fun and live life to the fullest. And I expect all you guys do the same. So, love y’all. appreciate y’all. Mom, I’m rooting for you. If you’re going for it. Hang in there. Keep a good mindset. Mindset is everything. It’s the most important thing stay positive. You can do this. I believe it. I know you can you have to believe it. So, with that said, appreciate you. Thanks for being here. I’m out later.

Would you like to learn how I built my business using other people’s money? If so, then join my 21-day challenge at performancemarketersecret.com. I look forward to meeting you and welcome you into my family. And remember, results don’t lie, but the people who don’t have any do. Thanks for listening.