Tips to Effectively Curve A Discount At Your SalonJune 23, 2020Running a salon is all about facilitating clients. But clients tend to take the whole “a customer is always right” mantra a bit too seriously, leading them to believe that they can get whatever they want out of a salon if they make enough of a fuss. Since salons make up a huge part of the service industry, their primary focus is on the client experience. Clients know that, and often ask for discounts; in fact, ‘loyal’ clients expect them! Most of them don’t consider the years of effort and razor-thin margins salon owners have to face to get this far in the beauty industry. While giving discounts is a great strategy to boost business, you need to make sure that you’re not letting go of too much profit. It must make sense, business-wise, to be handing them out. In order for your business to truly thrive, you need to be able to convince clients to choose your services without them being 30% off. Here are some ideas that can help you avoid giving out a discount: Phrase it well You’ve probably heard the phrase, “It’s not what you say, but how you say it.” You could be giving the worst news to someone, but if you say it right, they’ll take it really well. Likewise, salon owners need to be careful with how they phrase discounts. What would you opt for, 50% extra value on the service you opted for or a 30% discount? The 50% extra sounds like a better deal, right? Instead of offering your customers 30% off on services, give them a bit more for their buck. Let’s say your salon gives 60-minute massages; offer to increase the time to 90 minutes. Instead of reducing prices, you’re increasing the value a client is getting out of your service. Offering a 90-minute massage is also cheaper than offering 30% off from a salon’s perspective. Offer services together in a deal You know how buying a deal for two at McDonald’s is ‘cheaper’ than buying two meals separately? In the long-run, however, the restaurant nets more revenue because you still bought two things instead of one. Salons can also benefit by providing a combination of services clients prefer getting together and offering them at lower rates. Just make sure that you specify that the services that will be rendered will be shorter than getting them individually. Clients love such deals since they get to experience multiple services, even if they’re for a shorter period of time. They’re also perfect for women on the go who don’t have much time to spend in the spa. The overall value clients receive is also higher than receiving these services individually. Offering services in a deal is also beneficial to the salon. Your staff can work on more clients because of the shorter time frame. It’s a win-win. Offer alternative services Salons and spas often offer a variety of services that are of a similar nature but are priced differently. These services differ based on the quality of products used. If a client is asking you for a discount because the price of a certain service is too high, suggest a similar service that’s cheaper. Let’s say your client is looking to have an Olaplex treatment done; that’s quite an expensive treatment, requiring expensive shampoos, conditioners, and hair masks as part of the maintenance. Make sure you inform the client of the total estimated cost, so that they’re sure they can afford it. If they find the treatment to be out of their budget, offer them a keratin treatment instead. This way, you can cater to their budget and not have to forgo any profits. Always mention a time frame for discounts As a business operating in the 21st century, your salon will have to give discounts once in a while. It’s a good way to give your business a boost when your client base slumps. Salon discounts can be heavily promoted on social media so they get the maximum views possible. But often, many salons post about discounts online and forget to delete those updates. Clients then show up at salons thinking those discounts are still valid. As a salon owner, you can’t deny clients discounts that you’re still advertising on your social media accounts. Remember to upload every discount with a time limit that’s clearly stated. Having a time limit is a great way to encourage clients to visit the salon as soon as possible. Salons that are looking to increase revenue immediately greatly benefit from such promotions. Make sure you’re investing in heavy marketing to inform as many people as possible about your salon’s limited time offer. You also won’t have to deal with any haggling clients looking for a discount this way. It’s easy to deny customers who ask for a discount past the deadline when you advertised it clearly. However, always be polite none-the-less. Recommend alternative services they can get done which will give them the best value for money. Focus on the services you provide and not the prices It’s easy to get into the rut of crunching numbers when you’re running a salon. If a client has come in for a consultation, don’t be greedy and sell them the most expensive services. For example, a client is looking for a remedy for their dry and brittle dyed hair; recommend a service to them that can repair the damage. Often, salons use products that only work for the duration of the first wash instead. Your clients will only be disappointed with your salon and will most likely leave a bad review. Always focus on the client experience. They should feel good about the results even after they leave your salon. Looking for more advice on making your salon a success? At Salon Income Booster, we cater to businesses and help them increase hair and beauty salons income and salon retail merchandise for optimum growth. We provide everything from marketing strategies to income generation, we provide end-to-end solutions to all salons. We also assist new businesses in the industry with their investment plans by offering consultation.