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The effect of Groupon promotions on Yelp ratings

93 点作者 eggspurt大约 13 年前

10 条评论

JohnTHaller大约 13 年前
Interesting data and conclusions in there. And it's not really surprising given what I've learned about Groupon customers from their behavior at brick and mortar businesses owned by some friends here in NYC. They classify Groupon users as demanding+cheap, meaning that they aren't willing to pay full price for much of anything (and unlikely to return unless given a similar deal) and far more demanding (special requests, asking for free extras, etc) than their customers who pay full price. Not one of them will ever do another Groupon promotion.
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losvedir大约 13 年前
I definitely believe this. I had a bad experience at a restaurant at which I used a Groupon simply because the food took a long time, the servers were constantly rushing around and couldn't attend to us, etc. Eavesdropping a bit, it was clear most of the customers there were using the Groupon and the place wasn't used to that kind of volume.
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dazbradbury大约 13 年前
One of the comments on the blog perfectly sums up what would have been my hypothesis, so I will simply repeat it here:<p><pre><code> Part of the drop may be due to Groupon inducing people to visit a business selling something they otherwise wouldn't be interested in. E.g., I might check out a Greek restaurant even though I'm indifferent to Greek food because of a good deal and curiosity. Given the same experience as someone who likes the cuisine, I might then give a lower rating. - Anonymous </code></pre> <a href="http://mybiasedcoin.blogspot.com/2012/03/groupon-effect-on-yelp-ratings-guest.html?showComment=1333075513809#c8753365250508256036" rel="nofollow">http://mybiasedcoin.blogspot.com/2012/03/groupon-effect-on-y...</a>
ForrestN大约 13 年前
Are people reading the complete article? I take the author not to be claiming that this happens because Groupon sucks. In fact, I think only the third hypothesized reason of five for the decline is actually a problem for Groupon. The fact that Groupon users may be more critical in Yelp reviews is only an indirect problem (ie. people don't want their Yelp reviews to go down), but isn't evidence of a fundamental problem with the model.<p>But the article suggests a number of very plausible reasons that have nothing to do with bad experiences. Further, as they say, until the compare these effects with any influx of customers, there's absolutely no evidence that Groupon isn't actually performing better with this metric than, say, running an ad in the paper, or getting featured on Oprah.
michaelhoffman大约 13 年前
Such a plot really needs error bars. It's possible that the difference is not statistically significant.
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sanj大约 13 年前
Whenever a Groupon deal appears at a place that I already frequent, my heart sinks a little. I know that I can look forward to crowded seating, poorer service, and harried staff for the next three months or so.<p>I've thought about how to fund a reverse-Groupon: a service where I can pay places to NOT take part.
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jrockway大约 13 年前
This pretty much coincides with my experience; when I'm with a group of friends and we are using a Groupon, we get about 1 star less worth of service. (I've never used one on my own; I'd rather pick the restaurant on my own rather than being told where to go buy whoever happened to feel like buying an ad that day.)<p>That's why I don't get the Groupon hype. It seems like a way for businesses to pay money to upset customers. Probably a bad idea.
hammock大约 13 年前
I wonder if the cost-benefit balances out on this one. Obviously it varies by retailer/restaurant.<p>I'm not just talking about the incremental sales&#60;-&#62;lower ratings tradeoff, either. According to the paper's abstract, running a groupon ad earns you a significant amount of new reviews - new ratings which tend to be 10% lower on average. But is it more valuable to have a lot of "very good" reviews, or a small number of "excellent" reviews?
captjohnr3大约 13 年前
Groupon Spams the internet with cut rate, deceptive advertising, that is killing the legitimate scuba business in Florida. <a href="http://www.scubaboard.com/forums/new-divers-those-considering-diving/417214-groupon-deal-course-recommended-5.html" rel="nofollow">http://www.scubaboard.com/forums/new-divers-those-considerin...</a>
hedgehog大约 13 年前
This is one of my favorite blogs, it's worth reading the archives for the material about CS and statistics.