Business targeting college students: Need a second opinion

[Collegecommerce.co]

Hi everybody, first time poster here. I recently bought the domain name for a group buying site which focuses on targeting college students. Things that I would sell are cheap clothes, school supplies, discounts for local businesses such as bars, etc. One of the main attributes of my group buying site which will make it different is that it will focus on attracting college students going out into their local college community and getting small businesses to sign up to give discounts. I will essentially be sharing my profit with the student based on the commission I receive from the coupon revenue. This commission would probably be around 10%, I figure if I can keep my overhead low I would actually be able to help out businesses instead of destroying their profits.

I just need some input on this though. First, do you think there will be any motivated college students that will actually try to get local businesses to sign up? Second, do you think they will be able to network with their friends to get enough people to buy the coupon to make it worth their time? And third, is it a good idea to target a generally low income demographic such as college students?

My thinking is yes, because often times many college students do spend money and if they have an easy way to save they will take advantage of it. But I am not exactly sure, which is why I need additional input.

I am a recent grad, and I did see a lot of spending, especially at bars and cheap dining. But then again, in many of my local college town bars, the places were packed and probably would not agree to a discount coupon since they are already at capacity most of the time.

You can see why I need a second opinion

[phanio]

Welcome to the uncertainty of the business world. Why are you here asking these questions - you should be out in your local college area asking both local businesses and local college students what they think. If you talk to some local businesses - not try to sell them but pitch them your idea - they will tell you straight out if they are interested or not. And, they might even lead you in a direction where they will be interested - i.e. discounts on certain days of the week or even when school in not in secession or where ever it is they need help.

[Harold Mansfield]

First, do you think there will be any motivated college students that will actually try to get local businesses to sign up? Second, do you think they will be able to network with their friends to get enough people to buy the coupon to make it worth their time? And third, is it a good idea to target a generally low income demographic such as college students?


The only experience I can fall back on is my own in college. Using that, my answer is "no" to those questions.

Generally people working their way through college don't have time for commission based sales jobs. They need salary or an hourly that they can depend on, or in the case of waiting tables or bartending can be reasonably depended on.

Second, most colleges already target local businesses who want to do business with the population to advertise with them.
Third, many businesses near colleges are already pricing themselves to be affordable.

On the other hand, plenty of businesses have been started on college campuses or in college towns. Just not sure I see the value or potential in this particular idea. Or course where you are doing it is important. If it's an area where no one is helping local businesses reach out to their target demographic, then I guess it makes sense to fill that void. But in the case of where I went to college, that wasn't the case.

But that's the thing about having a vision. I can't see it the way you do, because I know nothing about where you will be doing it. And that seems to be the whole kit and caboodle of where you see the opportunity.

I'm still a little unclear on what a "group buying site" is and what exactly your business is supposed to do? Is it an ecommerce website, or are you talking about a local coupon company like Groupon?