January is the time to set up your success for the upcoming year. From marketing, to customer service, to making the most of your software, there are several changes you can make as a salon or spa owner to grow your business. A profitable year requires advanced planning, so here are 5 changes you can make to your business to increase your bottom line this year.
REINVENT MARKETING EFFORTS
Now’s the time to set up new email campaigns, refresh ads, revamp pamphlets, and more. Reinvent your marketing efforts by analyzing what did and didn’t work last year. This will help you focus your time and energy on successful marketing campaigns that will increase your revenue.
INDUSTRY MARKETING TRENDS
There are two industry trends to consider when reinventing your marketing
Free Social Advertising In the age of social media, the selfie is nothing new. However, did you know it can be free advertising for your business? Urge your clients to take selfies after their appointment to show off the talent of your team.
Pre-Booking Culture Increasing your returning customers can have a big effect on your revenue. Consider offering a pre-book discount on your service menu for clients who schedule their next appointment at the time of checkout. Offering this option to customers helps create a culture of prebooking at your salon or spa, which will help to increase your frequency of visit. This feature is automated in Millennium if you chose to set it up.
MAKE POSITIVE CHANGES
Looking to make a few changes in the New Year? Your team is the best place to start. With a variety of experience, roles, and views of your business, your employees can help you see the larger picture.
Host a meeting and discuss with your team any changes that they would like to take place in the upcoming year. If you’re worried some may not speak their mind, you can also ask your employees anonymously with a survey or suggestion box.
Once you’ve taken the ideas of your team into consideration, implement the ones you believe will better your business, motivate your employees, and strength your team.
IMPLEMENT ONLINE BOOKING
The industry’s average missed call rate is 20-30%. 68% of these missed calls are NOT calling back. One way to secure your missed clients is by allowing them to book their appointments online.
Online booking is a powerful tool that can boost your appointment bookings up to 25%. Clients are using the Internet and their mobile devices more than ever to purchase items, book their travel, and more. Scheduling appointments at your salon or spa should also be included in your client’s mobile behaviors!
Online booking caters to your busy, mobile-minded clients—ultimately filling your appointment book and increasing your bottom line. If you have yet to implement it for your business, consider it on your list of changes for the New Year. This feature should be fully integrated with your software.
TAKE TIME TO EDUCATE STAFF
If you have yet to focus on the six growth indicators, there’s no better time than the beginning of the year.
New Guests Per Month Are you attracting new clients to your salon or spa? Guest referral programs, word of mouth, and advertising help generate new guests.
New Guest Retention How well are you doing in keeping your new clients? Are they coming back to your business? How long do they wait between visits? Repeat Guest Retention Are you keeping your existing clients? How many clients are staying loyal to your salon or spa?
Frequency of Visit (FOV) How often are clients returning to your business?
Average Ticket What is your average retail ticket? Are you selling enough retail? Is your staff cross-selling and/or up-selling clients?
Productivity Are you filling up those empty time slots in your appointment book? In other words, are you reaching maximum capacity?
Refresh your team on each growth indicator, and how it impacts them and the overall business. Try to provide examples about how to increase each metric to meet their goals.
EDUCATE STAFF ON UP-SELLS,
CROSS-SELLS, AND ADD-ONS
Educate your staff on how to increase sales by up-selling, cross-selling, and adding-on services. An up-sell is a service upgrade from the requested service to a service of higher value, (e.g. upgrading a 60-minute massage to 90-minute massage); while a cross-sell is the sale of an additional service with an existing service, (e.g. adding a facial service to a massage appointment).
An add-on is the addition of a supplementary service at no extra time, but with an extra cost, (e.g. adding aromatherapy to a massage). Millennium will make automatic up-sell, cross-sell, and add-on recommendations at the time an appointment is booked. This feature alerts your staff when they have an opportunity to increase the service ticket.
EDUCATE STAFF ON UP-SELLS,
CROSS-SELLS, AND ADD-ONS
In the New Year, don’t just deliver a product or service. Deliver an experience. Retaining clients in the beginning of the year is more important than ever. Here are 5 customer service tips to help increase your customer retention, frequency of visit, and loyalty:
Kindness – Take the time to woo your clients. Smile! Be friendly! We know it sounds cliché, but you’d be surprised how much kindness can affect a client’s experience.
Paying attention to details – Details can make a huge difference in making your clients feel special and important. Remembering life events, hair preferences, etc., can make or break a client’s return. Use UDFs (User Defined Fields) and formulas in Millennium to remember the extra “stuff”.
Time management – It’s important to value your customers’ time, too. Always communicate how much time a service will take so that clients can plan accordingly.
Communication – Always be upfront and honest with your clients about time, cost, and expectations. Don’t forget to communicate with clients what products you are using—they may buy it at checkout, ultimately increasing your ticket price.
Keep in touch – Simple appointment reminders or “Happy Birthday” emails can make all the difference! Contact with your clients will continue to strengthen your relationship.