Join me on Instagram where you’ll find mini-trainings on how to grow your spa business.
Let’s put the social back into social media!
Are you a spa owner who is simply obsessed with “how do I get new clients”?
In today’s video, I’m gonna share with you exactly why that shouldn’t be your top priority.
The three things that you’re going to learn in this video today are: How to double or even quadruple your revenue through boosters.
We’re also gonna talk about how to welcome back your old clients without being sleazy.
And lastly, a simple daily process that you can implement as soon as today that will help you boost your revenue while enhancing your client’s experience. Sound good?
So oftentimes we always ask ourselves as spa owners, how can we get more clients? That is the number one question that I oftentimes hear in our business lounge.
And although client acquisition is of great importance, what I’ve come to find is that oftentimes what we’re really saying is that we need more business, we need more revenue, and we need it quickly, efficiently, and economically. And what you can do as soon as today is take a look at your appointment book, map out your revenue game plan, and maximize the business that you already have.
So if client acquisition isn’t the main focal point here, what is? Your CR—That’s your client retention rate. The reason why you wanna focus on your existing clients is because statistics show that over 80% of all revenue is generated by only 20% of our client base. So think about your MVP—most valuable pair.
You’ve oftentimes heard about the ideal client, but what I’ve come to find is that if you really tap into the leads that you already have, if you really tap into the audience that we all are trying to drum up on social media, and if you tap into the appointments with the people who are there with you right then, right now.
The first thing is revenue boosters. Some of you think of this as add-ons, enhancement options, customization. However, I like to think of it as boosting the revenue and the impact for your client. And the way that you go about this is before your client comes in, just like you have an appointment protocol, you want to create a protocol and a roadmap and have a little bit of anticipatory services by identifying what their needs are.
What kind of conversations have you had with them prior? Did you maybe give her some samples? The fortune is in the follow up. So you want to ensure that if you’re maybe doing a bikini wax and you noticed and or have had conversations about how her ingrowns have been painful for her, or the sight of some hyperpigmentation in the intimate areas is just something that she’s not comfortable with.
Or maybe it makes her feel self-conscious when she wears a bikini. That’s a perfect time to offer a revenue booster and enhance her experience with a vajacial. So that is just one example of how you can boost the revenue as well as the confidence of your client, the experience for your client, and ultimately extending an amazing value to her.
So if you’ve been following me for any type of time, you know I am a numbers gal. I am all about metrics. Follow the data. It is your friend because the numbers do not lie to you. They don’t have any feelings or emotions attached.
So a few KPIs, which are key performance indicators, that I really want you to lean into is AOV and FOV. Let’s talk about the first one. It’s your AOV, which is average order value. Ultimately, what this means is on average, what are your clients spending with you, right? What are they investing in? And so by simply increasing that number, even as little as 25% can be a huge driver for your profit.
The second one is FOV, one of my favorites. Frequency of visit. So what does that look like? Frequency of visit is really how often are the clients coming in? On average, if you were to take a pool of everybody that you have in there and see that maybe on average the frequency of visit is five right across the year, they’re coming in five.
If you can increase that number even by one—just one—it’s the small wins that lead to big victories. So by simply increasing your SOV and your AOV, this is a key profit driver in your spa business.
In essence, when you really think about a revenue boost, you really just simply want to look at segmatizing your revenue. If you had a pie, like a revenue pie, and you were to slice it up, how much of it is coming from service or retail? Other things like gift card sales. This can be extremely insightful in terms of identifying untapped areas of opportunity within your business. You may even discover other ways to leverage your expertise.
Method number two is welcome back. Welcome back, it’s all about loving on your clients and just acknowledging that they’re there. Oftentimes, we’re sitting on a gold mine. You have someone who was once active, they were regular, they were coming in frequently. And then all of a sudden, they dropped off, and this happens. Churn happens in every business.
But what I have come to find by staying in communication, following up and simply incentivizing clients to welcome them back is a fantastic way to give your business a cash flow injection.
You have to think about it. If they’ve done business with you before and they’ve had a relationship with you, statistics have shown that clients who have done business with you spend 50% more than new clients. So if you eliminate the acquisition cost for a new client, and then flip that and ask yourself how you can reinvest your time, money, and effort towards the customers that you already have, those clients are far more likely to spend more with you than the new clients.
Now what you don’t want to do is reach out to a client that maybe you have ghosted, that you’ve not spoken to, and just say, hey, do you wanna come back and buy something from me? All of your communication should follow the 80 20 rule: 80% value to the client and just communicating to them with things that could be of great value or importance.
20% is going to be promotion. So one thing that you could do is simply be genuine. If she was a client of yours, aren’t you wondering: Why did she leave? Why isn’t she coming back? How are things going along her skincare journey? So share that you have a relationship with her, right?
Also telling her, hey, what’s new? A lot has probably changed since the last time she’s been in there. Update her about some events, your product of the month. Take that as an opportunity to get her back in the know. And then the next thing you wanna do is invite her back. Give her an exclusive opportunity.
This doesn’t mean a cash draining discount, but what it does mean is that maybe you offer her to come back in for skin health assessment, depending on how long it’s been. Most people like to know about themselves, what is going on with their skin. Look at her product history and ask her, what products are you using?
How is it interacting with your skin? Or maybe you are a nail tech and you do restorative foot care for them. If you know that this is something that’s been problematic for her and it’s not really a once in a while type of service, but it’s something that she genuinely needs for her health and wellness.
I would be curious as to how she is tending to that. So don’t give a sales pitch. Be a resource to her and remind her about the experience in the relationship that she’s had with you.
I wanna share with you a process that you should be following each and every single day in order to ensure that you are boosting your revenue and your client’s experience.
Step one, identify the amount that you already have scheduled on your books for the day.
Step two, you wanna identify any revenue boosting opportunities. So this looks like looking at their purchasing order history, looking at their notes that you have from prior services, thinking about ways to enhance the results that they’re achieving. Or if you have a monthly recurring type of option, and this client is more pay as you go, really presenting the value in transitioning her into a monthly recurring container, whether it’s a bundle, a treatment plan, a series, or a package.
The third thing is you want to identify how to fill the gap. There’s a gap sometimes between your target for that day or week or month and what’s actually scheduled on your books. So if you look and take inventory and you tally that up in addition to what’s already scheduled, you can quickly identify how to fill your gap.
And then of course, the data. We can’t forget about our numbers because by looking at your metrics and setting benchmarks for yourself, this will help guide you on how you can make improvements in your own process.
So at the end of the day, you wanna take a look at that amount that you originally had laid out, which is what was scheduled. Now, we all know that things don’t always go as planned. Clients reschedule. They cancel, they no show. They booked one thing and they switch it to something else. So you may have to do some adjusting to that initial number that you plugged in at the top of the day.
Once you’ve adjusted that number and have it finalized, you now want to look at your revenue boost. What were all of the ways that you enhanced your client’s experiences for the day, and what additional revenue were you able to generate?
Lastly, you want to see what that percentage is. So for example, maybe you had a hundred dollar facial that was booked. It was scheduled, money already there. That client comes in and then you tell her about her home care. You want to introduce and provide the full continuum of care, and you end up selling a hundred dollars skincare kit. Well you just boosted your revenue by 100% for that appointment.
So as you can see over time, all of these incremental boosts can really enhance your bottom line and help you reach your revenue target. As a licensed professional, it is our job to identify the solution to the problems that our clients are presenting to us.
That’s ultimately what it’s all about. And I know that sometimes sales can be a dirty word, and we will say “I am not a salesperson”. But what I am here to tell you is that you are a licensed professional and an expert within your industry, and so it is your job.
It is your responsibility to ensure that you are always putting the client first, and in order to do that, you have to anticipate her needs. You have to present to her solutions that she didn’t even know existed. Because sometimes what I’ve come to find is that a client just simply needs a little bit of education.
They need to be informed in order to make a purchasing decision. Maybe she’s not aware that you even have a treatment plan available for her. Maybe she’s not aware of some of the different modalities that can enhance her experience, and sometimes it’s just simply the value of saving time.
Maybe she’s on one plan, by introducing some home care for her and some prescriptive retail that can put her on the fast track to getting rid of that hyperpigmentation that she really dislikes. So when we talk about boosting revenue, I don’t want you to forget about why we go through this process because it’s never about making money, is it?
Most of us, we are walking in our purpose. We chose this field because we’re passionate about it. We’re passionate about serving our clients. But you can be profitable at the same time. And so I invite you to really approach this revenue roadmap and this process from a place of servitude. I want to invite you when you go through this process, to remove the number out of your mind.
Don’t get sticker shock and price shock on yourself, and talk yourself out of it. Sometimes we talk ourselves out of the purchase that we’re trying to ask the client to invest in. This isn’t about you. Your gift is not for you, it’s for others. And who are we to deny others of our gift. You should always share it with the client and allow them to make the decision.
If you’re interested in putting this into place as soon as today within your spa business, I’d like to invite you to download the Spa Owners Weekly Revenue Strategizer. This is going to give you the tools that you need to go line by line each appointment that you have for today, and map out exactly how you’re gonna fill that gap—those untapped areas of opportunity.
You’re going to be able to look at your top three priorities for the week. So it’s a combination of a planner and a strategizer. I find that sometimes we may have a plan, but we lack the strategy, and so I want to gift this to you. You can find the link down below, and depending upon where you’re watching this, you can always go to thespaprofit.com and grab your freebie there.
Join me on Instagram where you’ll find mini-trainings on how to grow your spa business.