11 Strategies on How To Make A Jolly Good Profit This Festive Season.

Santas salon to-do-list

by Pam Stellema

in Business Development, News

Christmas!  Love it or hate it, it turns up on your doorstep every 12 months and turns your life into one big stress-fest.

Every client you’ve seen over the past 12 months seems to want an appointment in the 2 weeks prior to the arrival of Saint Nick, and of course, you try to fit everyone in with a smile, multiple cans of Red Bull, and a few after salon drinkies to restore your calm.

In other words…chaos reigns supreme!

However, there are 2 distinct categories of chaos; profitable and not profitable.  And let’s face it, most of us would prefer profitable if we’re going to put ourselves through the stress machine.

So, how do you go about making sure that you not only survive the festive season but also come out at the other end with hair intact and money in the bank?

Well, success lies in good preparation and follow-through, and by implementing some common-sense strategies, you can come out of the festive season with a smile and some hard earned profits.

Below is a list of 11 common-sense strategies that you can implement, to improve your Christmas revenue.

Profit Strategy #1

Start your marketing in early November.  All the major retail stores are gearing up to grab as many pre-Christmas dollars as early as possible.  This means that if you don’t too, you’ll miss out on opportunities to sell gift-wrapped products and Gift Vouchers. Beat those department stores at their own game, and get prepared early.

Profit Strategy #2

Be like a boy scout and always be prepared. You can’t sell what you don’t have, so take advantage of supplier’s special offers if they have them.  This will generally allow you to sell gift-packed products to your clients at great prices.

Also, make sure you have a plentiful supply of Gift Vouchers on hand, so you don’t run out at a critical time.

Profit Strategy #3

Make sure your Gift Vouchers look like a gift.  When a client buys a Gift Voucher from your salon, they want to buy a total solution.  The way you can make this happen, is to make sure your Gift Vouchers are beautifully presented, and ready to be given as a gift by your client.  Beautiful, festive presentation is a must if you are going to provide the ‘total solution’ for your clients. Consider using boxes, gift bows and ribbons to create something amazing.

Profit Strategy #4

Incentivise your Gift Voucher Sales to boost revenue. Give you clients the answer to ‘What’s in it for me if I buy a voucher from your salon?’ Run a promotion whereby your clients go into the draw to win something each time they purchase a voucher from your salon.  It may well be just the reason they buy from you and not the department store down the road.

Profit Strategy #5

Incentivise your team members to sell more Gift Vouchers.  Everyone needs a bit of extra money after Christmas, so run a team promotion to reward your top Gift Voucher Salesperson. Make it FUN.

Profit Strategy #6

Make it easy for clients to buy your Gift Vouchers.  Create a small menu of festive packages comprised of pampering services that your clients will love to give to friends and family.  Vary the price points so that you cater for all budgets.

When a client comes looking to buy a voucher, give them your menu of special packages to choose from.  It makes their life just so much easier when you do this for them, and you are more likely to make a better, bigger sale if you sell a package rather than a service.

Profit Strategy #7

Make sure your clients know that you have Gift Vouchers available.  Let them know by displaying in-salon signage, send an email blast, include it in your newsletter and if you have an app, send it via that also.  Put it on your front window or A-frame outside.  You can’t sell a secret, so let your clients know what you have to offer.

Profit Strategy #8

Don’t offer discounted services during your busy period in December.  Now is not the time to run a loss-producing promotion.  You will be busy enough tending to your regular clients. You deserve to get full price for all your services during this busy time.

Profit Strategy #9

Make sure your clients are all re-booked for the quiet time after Christmas.  For some salons this is in January and others in Feb.  You can achieve this by giving your clients a little gift from your salon of a low value salon voucher redeemable only during your quiet time the following year.  You can adjust the value of your gift depending upon the financial value of the client to your salon.

You can also create some after-Christmas promotional packages that will tempt your clients to treat themselves to some much needed me-time during your normally quiet period.

Profit Strategy #10

Early in the new year is a terrible time for cash-flow in most salons.  You still have to pay out wages and all your regular expenses but get very little back as those Gift Certificates come streaming through your doors.  Don’t just shake your head and accept the inevitable.  Prepare your team and teach them how to add-on and up-sell to these clients.  Your goal should be to sell every Gift Certificate client something extra, whether it be an additional service or a  retail product.  Let your team members know what you expect from them.

Profit Strategy #11

Have a retail promotion after Christmas.  If you’re making a 100% markup on your retail range then you are making 50 cents in every dollar sold in profit.  You can afford to take less profit in exchange for getting retail greater sales during this period.  Buy 1 and get one 1/2 price works well, and still leaves you with a 50% markup of 33 cents in every dollar sold.

So, if you want this Christmas to be your best money earner yet, with less financial stress in the New Year, then consider implementing these 11 simple strategies into your salon this year.

 

Want more on Christmas preparation?  Click here.

Images courtesy of Microsoft Images Online

Pam Stellema
Join me

Pam Stellema

Pam is an industry experienced coach, salon owner, speaker, author and copywriter.She works beside salon and spa owners to show them how to effectively grow their profits and remain in business for the long-term.
Pam Stellema
Join me

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