Print Page | Contact Us | Sign In | Register
AmSpa Now
Blog Home All Blogs

Build Loyal Med Spa Clients with a Loyalty Program

Posted By Administration, Wednesday, November 7, 2018

By Dori Soukup, CEO and Founder of InSPAration Management

In the early 1980s, American Airlines’ goal was to increase retention and provide their clients with something extra special. The airline created the first frequent flyer program that allowed travelers to accrue miles and gain benefits when they flew with American. 

American Airlines was one of the first companies in the country to offer a customer loyalty program. It set the standards for the entire industry. Since then, loyalty programs have gained significant popularity. According to a recent study, companies spend more than $2 billion on loyalty programs every year. Statistics show that the average American household belongs to about 14 different rewards programs. 

If you want to increase your retention rate, it is a great idea to offer your clients a loyalty program that will keep them coming back. 

What type of loyalty program should you offer? 

There are several types of programs to offer consumers, and no matter which one you choose, it is important to keep it simple. Below are two of the most effective loyalty programs: 

A. Charge a fee to join the loyalty program. 

For example, Barnes & Noble charges its clients $25 to join their loyalty program. Then, its members can save 10 percent on their purchases for an entire year. For a person who frequents Barnes & Noble weekly, this type of program provides great benefits. The end-of-year savings are significant. This program keeps me loyal to Barnes & Noble, and the $25 fee to join is well worth it. You can do the same, but I recommend you charge more. For example, you can charge a fee of $150 to join and offer them the following:

  • Two $25 gift cards—to be utilized one at a time 
  • A complimentary consultation valued at $50 
  • A complimentary makeover valued at $50 
  • A loyalty program welcome kit 
  • A discount of five to ten percent on every spa visit or retail purchase 

You are giving them the $150 enrollment back in value. This allows you to raise cash flow, and encourages the new member to visit the spa on a regular basis. As part of the loyalty program, the client will benefit by receiving a small discount with each spa visit. 

B. The second plan offers clients a chance to join for free and earn points with every visit. You can reward them by letting them earn one point for every dollar they spend. Once they reach a certain number of points, they can use them toward gifts, services or products. 

You will need to determine the amount of rewards you are willing to offer. For example, if someone spends $500, they will earn 500 points. If you wish to offer them a 10 percent reward, you will need to select a $50 prize that they can have once they reach 500 points. This represents a 10 percent reward. If you are offering this type of loyalty program, I recommend you offer merchandise as a reward because your cost will be $25, but the client will receive a value of $50. This practice allows you to decrease your loyalty cost to a five percent reward instead of 10 percent.

Select gift items that you can brand with your logo. This includes robes, T-shirts, hats and water bottles, all displaying your logo. This method has many benefits: 

  1. Provides your loyal clients with desirable, quality gifts 
  2. Gifts are a great way to promote your business 
  3. Shows a higher perceived retail value while reducing your loyalty cost 
  4. Saves money and increases retention 

The point system can also be used as a marketing tool. If you have some slow slots within your schedule, you can reward your clients with double points on slow days or hours. Instead of offering discounts, offer double points for promotions. You can ask your clients to write reviews to earn points. Or, let them earn points when they “like” your page on Facebook, and so on. 

Keep in mind that no matter which program you offer, you have to market it, track it and deliver a great guest experience. 

Offering a loyalty program is a great opportunity to promote your business and recognize your VIP clients with special value while motivating your clients to keep doing business with you. Implement a loyalty program and increase your retention! 

Dori Soukup is the Founder and CEO of InSPAration Management, a firm specializing in medical spa and salon business development, advanced education, and business tools. Throughout the past 15 years, Soukup has contributed to the success of spa companies worldwide. Her passion is developing innovative, effective educational programs and business strategies leading to exponential growth and profits. She is the recipient of the American Spa Preferred Educator award and is a sought-after global speaker within the spa and medical spa industries.

Tags:  Business and Financials  Guest Post  Med Spa Ownership 

Share |
PermalinkComments (0)
 

5 Tips to Make Med Spa Consultations More Effective For Your Practice

Posted By Administration, Wednesday, October 3, 2018

By Dori Soukup, CEO and Founder of InSPAration Management

A consultation in a medical spa isn’t just the introductory part of a treatment, it’s a key piece of your med spa process that can lead to better results for your patients and better profitability for your practice. 

The “GUEST” is the most essential component to the success of any medical spa business. The way we take care of our guests while they are in the med spa is what determines whether they come back or disappear forever. 

When I ask industry professionals why they chose a career in the med spa industry, most of them say it was so that they could help people. Yet when a new guest visits a spa, they are normally expected to simply select a treatment from the menu, with is then administered with little (if any) discussion. Sometimes I intentionally select a treatment from the menu that is wrong for me to see if the provider will recommend something else more ideally suited for me. They rarely do. 

Why? Because in most cases, med spa professionals don’t take the time to conduct a proper guest consultation. To me, the guest consultation is the most important step of the entire experience. The consultation insures that providers are going to provide the guest with exactly what they need, address their challenges and deliver the results they are looking for. Without a consultation, we are disappointing our guests and hurting our retention rate.

If you want to improve your guest satisfaction, retention rate and income, I suggest implementing the following five steps to generating revenue through guest consultation. 

Check the AmSpa Store for more resources to help you implement your own successful consultation process.

1. Schedule Time to Conduct a Detailed Consultation

When you have a new patient, you should always reserve a consultation first in order to learn and discover their concerns and needs. It’s wise to have the receptionist reserve time for both a treatment and a consultation. 

Have the provider decide which treatment is ideal for the patient once a consultation is performed. To do this, your receptionist must be trained on how to present the consultation appointment and make the reservation for it. 

2. Identify Guest Concerns 

To identify the guest’s concerns, you can use analysis equipment for face and body depending on the type of treatments you offer. We found that when people see their skin care issues with their own eyes, they are more motivated to take action on your recommendations. You can also use consultation forms; just make sure the form includes problems that guests could be experiencing with their face and body. The guest will mark the concerns they have, which gives you the opportunity to make the appropriate recommendations. You should focus on solving their problems via your menu of services. 

3. Develop a Customized Treatment Program 

Addressing people’s concerns and gaining results normally requires multiple treatments. As a medical spa professional, you should recommend a series of treatments, not just one. One treatment is not going to solve problems or produce the results your guests are looking for. 

4. Recommend a Home Care Program 

At the end of the first treatment, take the time to help your guests by recommending a home care regimen. Home care is an important part of gaining results. Don’t cheat your guests of your professional advice or lose the additional income you could generate from home care products.  Find resources to help you train your team to better recommend products here in the AmSpa store.

5. Measure Results

 Since the goal is to recommend a series of treatments with your consultation, it’s important to measure results and gain a testimonial from happy clients. You can take before and after pictures, document conditions or measure improvements. Whichever method you choose, make sure you gain a raving fan to help build your business. 

When establishing your consultation procedure also remember that medical spas are medical practices, so before a treatment plan is finalized, and especially before a patient receives a procedure he or she must be seen by a physician or mid-level practitioner. Conducting the initial exam (or good faith exam) is one of the top legal issues in the medical spa industry so make sure your patients see the required medical professional prior to their first treatment.

Conducting a guest consultation is truly the most important function of your practice. It is the foundation of the entire experience. Don’t dismiss it, embrace it! Implementing the consultation process with every new guest will help you boost client satisfaction and your income! 

Dori Soukup is the Founder and CEO of InSPAration Management, a firm specializing in medical spa and salon business development, advanced education, and business tools. Throughout the past 15 years, Soukup has contributed to the success of spa companies worldwide. Her passion is developing innovative, effective educational programs and business strategies leading to exponential growth and profits. She is the recipient of the American Spa Preferred Educator award and is a sought-after global speaker within the spa and medical spa industries.

Tags:  Business and Financials  Guest Post 

Share |
PermalinkComments (0)
 
Contact Us

224 N Desplaines, Ste. 600S
 Chicago, IL 60661

Phone: 312-981-0993

Fax: 888-827-8860

Mission

AmSpa provides legal, compliance, and business resources for medical spas and medical aesthetic practices.

Follow Us: