Many salon owners don’t even know who their most profitable clients are, let alone how to keep them coming back regularly.
Maintaining and developing client loyalty should be one of your greatest beauty business strategies. When looking into how to make more money in your salon, profitability isn’t simply about measuring a client’s level of spend, it’s also about assessing a client’s level of expectation and ensuring you can deliver on this.
Consider your client’s price sensitivity.
Clients usually consider whether they can justify their spend when making buying decisions. This needs to be taken into account when you are developing your own salon pricing strategy. Excellent levels of customer service can make a huge difference to clients. Most clients are willing to pay a higher price just to have the confidence that they will be looked after much better.
Make your clients your sales team.
Word of mouth recommendations continue to be the best form of advertising available. Making them feel special is by far the best way to help them become even more loyal and a willing advocate of your salon. Many salon owners appreciate the importance of attracting new clients, but underestimate the advantages of increasing client loyalty: research indicates that a 5 percent improvement in client retention could add between 25 and 125 percent to a salon’s bottom line.
Create loyalty programs for your clients.
In a very competitive marketplace, clients find it very easy to switch salons and keeping them satisfied isn’t always enough. It’s a sad but true fact: just because your clients are happy with you won’t stop them from taking their business to a competitor who offers them something extra. To increase loyalty, recognize and reward your best clients. Create a loyalty program to incentivize and delight your most valued clients.
Loyalty initiatives allow you to focus on your best clients and improve client satisfaction levels. By increasing loyalty, you increase profitability. Loyal clients buy more and spend more, boosting your cash flow. Loyal clients are also your best sales people because they recommend you to others, reducing your marketing costs.
But remember to devise it with profit in mind. Focus on specific goals: are you looking for repeat business or do you want your clients to spend more? Above all, your loyalty scheme must be simple to use and the rewards should be attractive and attainable.
Here are a few ways to reward loyal clients:
1. Offer cumulative deductions on selected lines.
For example, 10 percent off their next purchase if they spend $100. Limited time offers can encourage prompt purchases.
2. Give away free items with multiple purchases.
“Buy one, get one free” is a tried and tested method of encouraging short-term repeat sales.
3. Invite clients to try out new products and services for free.
Asking trusted clients to give you feedback before you launch a new product or service will give them a sense of ownership which is likely to increase sales and encourage good word-of-mouth recommendations.
4. Hold a preview event.
If you are launching a new service or product line, invite your best clients to a preview event where they can buy first. Make sure the event has an exclusive feel and that clients have lots of networking time.
5. Reward introductions and referrals.
Give clients a reason to recommend you to friends by offering them a gift in return for every new client they introduce to your business.
Looking to learn more ways to keep your salon clients happy?
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