Salon Spa Business Information for Salons and Spas

The Business Physical Fitness Check-up

11.07.2017 · Posted in Articles


The Physical Fitness Check-up – Answering the following questions will give you insight into your businesses current fitness and health and what steps might be necessary for improvement:


  1. What is your businesses niche or Unique Selling Proposition what does your business offer customers or potential customers that sets it apart from competitors in your trade area? You’ve heard the old saying ‘Differentiate or Die’? Well in a highly competitive industry you have to offer something a bit different, unique or special to be successful.


  1. The SWOT analysis to identify your businesses Strengths – Weaknesses – Opportunities? Some of the Key Areas you should investigate would be. Convenience – is your business located in an area that attracts attention and does it provide good parking? How does your Customer Service stack up? Are you offering highly effective treatments or just the basic average? Do you stock the products that offer the results customers are looking for and are they the price they can afford? Does your supplier provide the service and support to help build your business? Could it be that you have the opportunity to be the first in your trade area with the latest technology or a new skincare range? These are just some of the questions you need to know the answer.


  1. Competitors – who are your Head-to-Head competitors in your locality? What do you know about their operations? And how do you stack up in regards to Service – Skills – Location – Marketing – Price – Trends – Client Loyalty – Magic Moments? If you don’t have the answers to these then you need to do a Secret Shopper Survey on these competitors. It this way you will know what you are up against and where you need to improve and just where you could blitz the opposition.


  1. Customer Base – Defining your Target Customer. Your business exists for one purpose and that is to make money/ profit and this only happens if you meet and provide to your customers needs. You need to identify and understand your target customer in many areas. Ask yourself what are their needs, their concerns, their purchase behaviour, their product usage, just to name a few. Knowing your customers will allow you to get better bang-for-your-buck and get your brand message to those more likely to buy from your business.


  1. Service & Retail Selling – is it hit or miss or do you have quality procedures for every step of the way from the first point of contact with a customer right through the consultation/ analysis process, prescription/ recommendation, and finalizing the sale? If you don’t then you are leaving money in the customer’s wallet that they can and will spend with your competitors.


  1. Customer Service – what’s it like is it the ‘Expected’ the ‘Above Expectation’ or is it the ‘EXCEPTIONAL’? The excepted is when the customer comes in for a treatment and goes away with having just that. It’s only when more is offered or recommended that would improve the customer experience/ or results outcome that they will receive the ‘Wow Factor’ and feel they have received ‘Exceptional’ Customer Service.


  1. Quality Control – can only be provided if you have the policies, procedures, and systems in place to train your staff in the delivery of uniformed high quality service. With the KPI’s to measure performance and allow you to control quality outcomes. There is no excuse for any salon or spa to not have a Staff Policies, Procedures, and Systems Manual*. It is the Blue-Print of how you want your business to be operated and it is the most important communication tool between you and your employees. If you don’t provide this essential tool for your employees then it’s fair to say this lack could be stunting your business profits and will certainly be affecting rebooking rates.


  1. Team Training, Targets, and Rewards – what more can I say about the need to provide on-going profit building training for your employees. It’s all been said in the past – so if you’re not providing it then start to ASAP. Set stretching but achievable targets while supporting them to reach and exceed by providing all the tools necessary. And reward for a job well done.


  1. Business Plan and Money Management – a well-prepared business plan is essential throughout the life of your business, not just before you start. You will need it later on to guide your focus, to prepare for expanding the business or to help implement new directions, technologies or products. If you don’t have one how will you know where you’re heading or even if you have got there? The most common risk to any business comes from lack of financial planning.


  1. The Marketing Plan and Yearly Marketing Planner – if you are in business to make money then you need a Marketing Strategy and a Planner. Plan wisely because to be financially fit you need to have a strong marketing plan one that focuses on assisting profitability by promoting sales that have a high margin and bring in the cash.


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