As a spa and salon owner, your primary business goal – the reason you do all that you do – is to attract and retain clients. Simply put: Without clients, you have no business.
But did you know that that 80% of your future profits will come from just 20% of your existing customers? Or that a 5% increase in customer retention can increase business profits by 25% to 125%?* Wow! With stats like that, it’s clearly well worth the time and effort it takes to keep your current clients happy and engaged with your business.
Let’s face it: Competition for your clientele is keen, so finding a point of differentiation for your business is crucial. Using your spa or salon management software can help you identify who from your client lists would be the most appropriate to approach with any client retention activities you want to pursue. But before you do that, I thought these basic best practices and pointers on customer retention would be useful to you.
Make a Good Impression
Delivering a positive first experience to your customers at your spa or salon will make them more likely to come back (and, hopefully, bring a friend!). Studies have shown that on average people (read that — clients) visually assess a person or place in seven seconds. If you get a chance to speak to them, you might get 30 seconds. So, when a client places a call to or visits your spa or salon, make sure that your staff speaks clearly, uses the client’s name, and engages the client in a conversation, rather than just takes an appointment. Convey enthusiasm over the phone and greet visitors with a warm smile.
Build a Following
Today, potential clients typically ﬁrst interact with your business through a business directory site like your Yelp listing, website, or Facebook Page. Each of these outlets should reflect the personality and brand of your business; be welcoming and inviting. Facebook can be a great way to keep clients engaged, informed, and loyal to your spa or salon. An effective Facebook post follows this formula: image + message + call to action. Images are key because viewers engage with photos more than text. Your message should be relevant, engaging, and stylistically in tune with your brand marketing. Every post should have a call to action, such as comment, like, watch, read, or answer. And don’t forget to give your clients a way to book appointments through your Facebook Page.
Focus on the Details
It’s crucial to view your business through the eyes of your customers. Ask yourself: Is your facility clean? Is your staff in uniform? Are the magazines in your waiting area current? Remember, small disappointments can add up to an underwhelming experience. Regularly reviewing how your business looks can make a big difference when it comes to a client’s impressions.
Upsell Products and Services
Many studies indicate that a customer is approximately 50% more likely to return to your business when they purchase a retail product from you. Make sure your staff is well-versed on your product line and can describe their benefits accurately. Help your staff upsell products by arming them with a mobile device rather than waiting for the client to reach the front desk. Your clients will appreciate the convenience and, as a result, may be more likely to return to your business.
Following these business basics and training your team to use them will provide your clients with an experience that will bring them back through your doors time after time.
Visit me again next week when I’ll talk about the first of our three approaches to improving customer retention — Loyalty Programs.
*Gartner Group and “Leading on the Edge of Chaos”, Emmett C. Murphy and Mark A. Murphy
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