4 Salon Retention Marketing Tips For Every Budget
Posted by Natasha Gupta on September 6th, 2018
If you’re an owner or manager at any spa or salon, you’ve probably heard the term ‘customer retention’ a zillion times. Just as the name implies, it means retaining as many customers as possible by implementing customer and brand loyalty initiatives.
In the 21st century, the beauty and personal care industry are like two sides of the same coin. It is one of the booming industries growing at 15-20% annually. As a salon owner, numbers are crucial to the growth of your business. Apart from service revenue, employee retention rate and retail revenue, customer retention is equally important.
Before moving on to the retention strategies salons can adapt to retain their customers, let’s understand key takeaways of consumer behavior at salons/spas:
Retaining customers in the salon business is similar to the age-old verse “Make new friends, but keep the old. One is silver, the other gold.” A regular customer adds more merit to the growth of a salon than a one-time customer. However, this does not mean that a salon should not attract new customers. This simply means that a salon should focus on strategies that would drive growth and profitability by retaining old ones and attracting new ones.
According to the Harvard Business Review, acquiring a new customer is 5% to 25% more expensive than retaining an existing one.
Before understanding what kind of customer retention strategies best fits your salon business, basic financial planning is a must. Ask yourself three questions:
After gaining a thorough understanding of your financials, allocate a budget towards focused retention marketing strategies including:
To avail the benefits of all these focussed retention marketing strategies under one roof, signing-up with salon management software is a great idea. It is also a fool-proof way to keep clients coming back to your salon, and making your business agiler.
It aids in acquiring new clients and retaining existing ones by offering referral incentives, loyalty points, and gift cards. Salon management software also helps salon owners with business management, scheduling appointments, automated marketing, online billing, client management and customer feedback management.
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About the AuthorNatasha Gupta
Joined: September 6th, 2018
Articles Posted: 1