Written about photography, but definitely applicable to many other types of business. 5 Reasons Not to Use Groupon Marketing for Your Photography Business is a good read, and mostly centers around the sort of clients you attract with the groupon model, the type you want to attract, and knowing and valuing the time you use to do your craft (be it photography, web design, plumbing, etc).
That breaks down to under $6 per hour for those clients who didn’t choose to purchase any additional products and I spent over 285 hours laboring to earn 5 repeat clients whose current session/product purchases cumulatively totalled 2 of my average session’s sales.