Retail is Easy – at the right time
Retailing is easy when you know how to do it.
However, if a team member doesn't know how, it can also feel stressful, frustrating and difficult, especially if staff FEEL the pressure to hit targets with performance reviews and daily targets.
And that can create the "I can't" destroying confidence and revenue or worse they don't even try which will seriously damaging a salons revenue!
There's 2 keys to successful retail, training, teaching a sales method that works, and then building and developing that skill with practice, and having a target system that really works.
Retailing is either smooth, enjoyable and flows naturally in a clients service or a rough and difficult journey that ends with low figures.
I’m Caroline Turner founder of The Salon Money Maker and in this article I’m going to share with you why retail is critical to a salon or spa and some useful tips to start improving retailing, home-care.
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Plus revenue-generating techniques because that's my focus, supporting salon and spa professionals to make money in a way that clients enjoy and teams feel comfortable.
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It’s no different to cutting hair or any professional beauty service. Retailing is a skill
When you know how to retail and practice the skill it becomes easy and flows naturally, it's enjoyable.
But when team members are asked or told to retail with no knowledge, training and little experience - It's difficult and hard work especially if the team member is new to the industry.
Think of it like this, imagine being asked to perform a skill without the training, like a completely new color system or facial service, just think about how hard it would feel.
Being excepted to get results and get the steps right having never seen the service before.
That's what retailing is like for any team member who has no specific sales training.
It becomes hard work and for many team members in salon's and spa's across the world when they keep failing over and over again, it's easy to give up!
"I can't do it" "clients can't afford it" "they buy online" "I don't like it this line, at my old salon we had..."
All reasons that can justify in their minds why they can't retail, building a negative and closed mindset to retail. But the 4 R's are the business skills teams need to and they're all linked to sales.
Retention - I sell a time slot
Retail - I sell home-care
Referrals - I sell to my client why she should tell her friends
Recommending Services - I sell more services
The business skills team members need has to be trained, practiced to build confidence and monitored. No different to learning the practical skills of our industry.
After all would you allow an unqualified person loose on clients with a pair of scissors or a electrical facial machine?
So why give a client who could be worth tens of thousands to the business to someone who has little or no training in sales or the 4R's?
If a Salon or Spa owner wants an increase in financial results either
Hire expensive highly experienced expert stylists / therapists
or
Train the skills to the team and create the experts
It's that simple
Retail is critical to a salon or spa's success, but NOT for the revenue it makes, retail is a key way to measure the health of any salon or spa.
People only buy from a business and people they like, they only RETURN to a business they like.
You see over the last 20 years I've seen a clear link,
Low retail = Low client retention,
And that kills salons or spas
SLOWLY
When a business has for example 25% + retail in my experience the retention rate is in the 80%+ mark.
But if retail is as low as 8% then either the team is not being professional OR retention low, and this is dangerous.
With low retail being a clear sign of the Nice Client Zone, retention could be as low as 20%.
Here's the interesting thing, a study also found a clear link between retail and client retention, just as I've seen.
If clients purchase...
1 product retention rate increases by 30%
2 products retention increases by 60%
3 or more products retention increases by 90%
You see retail isn't just about the money, it's a clear sign of financial security for everyone in the business.
Think about it, clients ONLY buy from a business / person they like, so if retail is LOW either a team isn't offering home-care advise (retail) or the team is creating the Nice Client Zone, and that KILLS salons and spa's SLOWLY.
Creating the salon experience that MOVES clients into the buying zone is critical.
If the advise IS being given and people aren't buying then there's a serious issue, the business has what I call, The Oblivious Virus.
A team or individuals that are breaking the links with the client, unknowingly.
The links that build loyalty, and increase client spend. It's what I call and train online to salon and spa teams, the Client-Team Links©
Here are 2 Tips that can be used to increase retail, but remember, training is key to financial success.
"Tip #1 - Never close at reception
I WANT IT - I'll TAKE IT - I'll BOOK IT"
Stop Closing at the Reception Desk
I cringe when I hear team members say "would you like me to get you that shampoo" at the reception desk, it's success rate is low because it's the wrong time too close, let me explain why.
There's a psychology flow to the clients salon or spa journey, and there is a key point in time when a client is more likely to be interested in buying. As long as the experience in the salon has moved the client into
The Buying Zone
In every service there is a PEAK buying point when a client is more interest in the 4 R's of revenue, including retail.
It is at this specific point, which can be timed to the exacted minute when a client is most likely to say;
"I WANT IT" "I'll TAKE IT" "I'll BOOK IT"
As the client's time in the salon or spa ends the interest in buying or booking DROPS drastically, and the lowest point is just before leaving, which generally is at the reception desk.
The focus of the clients mind changes, and with that so does the sale result. The desk CLOSE is like the edge of no return!
Lower retail and a lower re-bookings!
The Second Reason - NEVER at the desk
It can SERIOUSLY affect the next client/s arriving and the chance to recommend to them can end before the new client has even left the reception!
You see clients like to buy - love to buy, when it's done well
BUT they HATE being sold too
When the arriving client witnesses team members trying to close at reception it tells clients
THEY will try and sell me stuff!
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Plus revenue-generating techniques because that's my focus, supporting salon and spa professionals to make money in a way that clients enjoy and teams feel comfortable.
I will NEVER share your email and will only send you useful information focused on generating revenue. I will NOT bombard you with loads of emails; no one likes that, right?
Thank you for Signing up to the Revenue Newsletter, simply check your email for the link to get your voucher and all the other free tools.
You see firstly, people HATE being sold to and in witnessing the CLOSE they're seeing someone being SOLD too.
But, it's worse, the arriving client is also at the lowest point of interest in their salon journey too.
So if they see the sale, they know it’s coming and will close down to the idea before they’ve even made it to the chair or treatment area.
Let me tell you a little story, I had a friend read this article, when she read the above in a loud and strong voice she told me;
"That's so true, if I see them selling, I will NEVER buy from them, EVER. I really hate that".
Seriously, clients love to buy and really want to spend more with you, but they HATE being sold too.
So if they witness a stylist or therapist trying to close at reception, it will damage business.
Now, yes some people will buy and of course do re-book at the end at reception. This is about where is the best place to ASK, too pre-close and it's less effective if left till the desk.
In my nearly, 30 years of experience with clients myself, and as a trainer in sales techniques, world wide in our industry, I can say;
Pre-closing in the chair or treatment room / area is far more successful and better for business.
If however, there is a front of house person working, for me they will get the "final chance”.
The front of house person can answer any questions about the recommendation and potentially complete a sale, BUT ONLY IF
1 - They know what was recommended
2 - The recommendation and pre close has been done with the stylist or therapist
And that's one reason why a salon or spa MUST work with some form of monitoring system.
Tip #2 - Change your target and monitor CPS
The Complete Professional Service
Monitoring the Complete Professional Service
Monitoring is critical and simple to do.
When professional advice is given to every client it completes the professional service, and that advice is not limited to just which service or home-care the client would benefit from using or booking.
The focus is to get team members speaking as the true professional that they are, and sharing their knowledge to benefit the client and enhance the clients experience.
Offering advice helps build trust, it shows knowledge, confidence and professionalism, all of which are key to client retention and building the The Buying Zone.
Getting team members to control their conversation to offer advice as well as chat is key to everyone's financial freedom.
But don't just take my word for it, I'm not the only hair and beauty expert using this system. As Neil Ducof CEO and founder of Strategies uses a similar system, called Happiness.
Here's what Neil Ducof says about the benefits of using this style of monitoring.
"We've seen countless salons and spas increase retail sales by 15% - 25%+ of total sales, AND drive up their pre-book rates to 90% just by following the Happiness System."
CEO and Founder of Strategies
Sign up for the Revenue Newsletter and receive TWO FREE lessons from Salon Team Training and more!
Plus revenue-generating techniques because that's my focus, supporting salon and spa professionals to make money in a way that clients enjoy and teams feel comfortable.
I will NEVER share your email and will only send you useful information focused on generating revenue. I will NOT bombard you with loads of emails; no one likes that, right?
Thank you for Signing up to the Revenue Newsletter, simply check your email for the link to get your voucher and all the other free tools.
Let me just recap
A team will struggle IF they get no training in the 4 R's which are all linked to sales
Recommending to clients is fun, easy and enjoyable when you know how
Closing at reception has a lower success rate than closing in the chair or treatment area
If closing at reception is witnessed by the next client it can seriously damage a business
A front of house team member can finish a sale but only if they know what was recommended and the stylist or therapist informed the client and pre-closed
Monitoring is critical to having financial security and success
What would I do next?
If you haven't already sign up to the Revenue Newsletter to receive more useful revenue focused tips, hints and techniques
Then if you know someone in the industry that would benefit from reading this article then share, and spread a little love.
With the team... When I work with salon owners and teams my first step is to make the team aware of the damage caused by reception closing, and then as a team we discuss it and then THEY ban it.
I would NEVER personally just tell a team "IT'S BANNED" that would make me a dictator.
A leader involves people to get their commitment, especially when looking for change.
It's very important to remember that change can take time, patience and reminding.
My next step is to really drive home how much knowledge they have and giving advise is what clients want.
Final tip - When you make practicing a new habit FUN it speeds up the change, so as a team find a way to make it fun.
We learn and develop new habits much fastest when it's fun!
Sign up for the Revenue Newsletter and receive TWO FREE lessons from Salon Team Training and more!
Plus revenue-generating techniques because that's my focus, supporting salon and spa professionals to make money in a way that clients enjoy and teams feel comfortable.
I will NEVER share your email and will only send you useful information focused on generating revenue. I will NOT bombard you with loads of emails; no one likes that, right?