By: Ryan Dionne
August 7, 2012
Shop: Santa Fe Mountain Sports
Address: 1221 Flagman Way Ste B1, Santa Fe NM 87505
Owner(s): Steve Melander-Dayton and Dan McCarthy
Number of locations: 1
Year founded: 1995
Shop size: 5,500 sf
Number of employees: 14 in summer; 18 in winter
You guys have used Groupon in the past. What did you use it for and how did it work?
We have used Groupon three times. It was very successful for us. In each case, we sold a tune-up on a bicycle, skis or a snowboard for half price. We thought it was especially effective on the bike side because, in most cases, they were new customers.
We know this because if you purchase a bicycle from us, lifetime service is included. So, people buying the Groupon were already customers but didn’t buy the bike from us, or they were totally new. When you compare the cost of advertising with the intent being to draw new customers, it was very cost effective. We were being paid (albeit a fraction of our usual labor rate) to get new customers in the door.
What other types of advertising or marketing do you do? How has that changed over the years?
Advertising is a huge expense for us. Over the years we have tried all kinds of print, TV, radio and more subtle ways like giving away our water bottles at special events-people hang on to those for years!
We try to be generous at charity auctions as well, especially those supporting schools and children.
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