Adam and Eve Photography GrouponFirst, check out Adam and Eve Photography’s Groupon Deal, then return to this page.  We are wondering if they will be “Abel” to complete all of them and still stay solvent.  Okay, sorry for the pun.  Let’s check out the deal and see how this might pan out for them.

Here is the deal as offered on Groupon/Denver (3-8-2011)

Groupon: for $75, you get a 30- to 45-minute on-location photo shoot, plus a picture CD of 15 edited high-resolution images from Adam & Eve Photography (a $300 value). Photo shoots can be held anywhere within a 50-mile radius of Denver.

*A&E is offering 30-45 minutes of shooting time and they are willing to drive up to 50 miles (one way) to shoot sessions.  The Groupon expires in one year.  Let’s analyze this.

 Financial Breakdown of the deal:

  • $75 paid by Groupon purchasers x 461 sales = $34,575
  • 50% goes to Adam and Eve or $17,287
  • A&E will get that money in three payments over the next 6-8 weeks

Assumptions

  • 52 weeks in a year
  • 5 working days per week
  • Assume 2 weeks vacation
  • That leaves us 250 working days
  • Session time averages 37 minutes
  • Editing time, including import averages 30 minutes
  • 15 miles travel or 30 minutes each way.  Some will be longer, some shorter.
  • Putting 15 edited images on disc, assume cost of 50 cents and 5 minutes time
  • Time per session = 2 hrs, 12 minutes or approx. $17 per hour.  This doesn’t include email time, time
    on the phone scheduling, etc.  Just raw time shooting, editing, traveling and delivering.

With 250 working days in the next year, a full 4hrs 24min of each day will be spent “working for Groupon” leaving 3hrs, 36 minutes of an 8-hour day to work on anything else like marketing, wedding edits, etc.  The problem is that most clients won’t be able to shoot at normal times during the day because they have regular jobs.  They will want Saturdays and Sundays.  It is inevitable.

If their experience with Groupon clients is like ours, clients will want to fill up any weekend slots they make available.   This will cause an issue.  Either A&E will have to refuse those clients because of weddings that are already booked for Saturday or they will have to refuse weddings to take the Groupon clients.  Weddings pay much more than Groupon clients, so my guess (and it is just a guess) is that A&E will reduce the times for Groupon clients.  This can be a customer service nightmare

A&E could hire someone to shoot the images, but the Groupon clients are expecting the same quality as A&E have on their site.  So, this could turn into a PR nightmare.  Whatever the case, it would be nearly impossible using all 52 Saturdays in one year to cover all of the shoots.  They would have to shoot about 20 per day each and every Saturday.  In our experience, this is impossible as well because of the weather and scheduling conflicts.

Digital Images

Giving away digital images with a Groupon severely reduces the opportunity to upsell a client.  Even in our own case, the three digital images we provided kept many clients from buying additional prints or digital images
from us.  This is especially true with family portraits.

Once a family has an excellent portrait made, as will be the case with A&E, they really only want one.   So, given that A&E are giving 15 of them, the family will most likely have plenty to choose from with the included amount.