Let's Make a Deal

Frugality is in, and some business owners are reaching out to coupon-conscious customers through a mix of innovative online and traditional print strategies that attract folks on a budget.

The recession has caused a change in attitude among some businesses that have dismissed coupons in the past as a desperate measure to lure clients. Jack Serfass, owner of Naples Tomato, has noticed more diners embracing deals and discounts on wine, food and other specials, and fellow restaurateurs promoting coupons.

“I’ve had many restaurateurs say they would not use coupons because people become loyal to the coupon and not loyal to the restaurant. In a normal economy that’s probably true, but this is not a normal economy,” he says. “Many, many people have put up in writing [on online restaurant forums] that if it weren’t for the promotions, they wouldn’t eat out at all.”

Discounts ranging from a percentage off the purchase price to freebies are flooding e-mail inboxes and popping up on chamber of commerce and company Web sites, joining those in traditional print media and direct-mail coupon books. Some businesses require customers to physically bring in the coupon; others accept a mention of one.

Through its e-newsletter, Naples Tomato has offered deals up to 50 percent off wine and two-for-one lunch or brunch entrees. Negotiations with food and wine vendors in the past two years resulted in lower costs, which Serfass is passing onto customers.

“Everybody’s doing something to try to drive value to the guests,” he says. “More people are looking for better values than anything that I’ve ever experienced before.”

Nancy Dagher, owner of Naples-based Wind and Water Consultants, often finds her e-mail inbox filled with coupons from national chains. She’s also hearing plenty of buzz about online coupon sites such as Red Plum (www.redplum.com) and Hot Coupon World (www.hotcouponworld.com), as well as online shopping portals that allow people to comparison shop and see retailers’ discounts.

“People are utilizing ways to save money that they didn’t really think about doing before,” says Dagher, president of the Public Relations Association of Collier County (PRACC).
Audrey Brooks, owner of The Coupon Book, says the number and variety of businesses placing coupons in the Cape Coral-based direct mail piece (also found at www.thebettercouponbook.com) has increased in the past two years. Clients have changed from low-end restaurants and oil-change outfits to include a dentist, full-service spa and salon and high-end jewelry store. The book, which is distributed monthly to 70,000 homes in Cape Coral, 90,000 homes in Fort Myers and 40,000 homes in Bonita Springs/Estero, has a renewal rate of more than 90 percent among businesses, Brooks says.

“The consumer is not going out to try new restaurants, try new things unless they have an incentive,” she says. “They’re willing to try a new place if they have a coupon.”

Online ventures by companies such as Clear Channel Communications also are paying attention to deal-seeking customers. One component of its business directory at www.bizchoice.biz is the ability to use a “landing page” that appears when someone clicks on a business’ link or advertisement to view a coupon or offer. “Maybe it tips their hand toward getting that business,” says Tim Hardy, general sales manager at Clear Channel Radio Fort Myers.

“As the economy gets rougher and rougher, I just see people getting more desperate,” he says. “At least the business owners are feeling they’re doing something and they’re trying something.”

Pets are Inn of Southwest Florida is among the businesses with special offers on the Greater Naples Chamber of Commerce’s Web site. Co-owner Mike Horn sees results from offering a 10 percent discount on pet-boarding costs to first-time clients as well as a $25 coupon to existing customers for referrals. “They have something physical in their hands that reminds them to refer [their friends],” he says.

Coupons are just one piece of a strategy to attract customers, Serfass says. Diners must not only see value but must have a memorable experience, he says.

“A promotion is a way to get people into the restaurant. If that’s all they are, they won’t be successful,” he says.