” A trial and error approach to growing your business in a tough economy is just too costly.” Jon Gonzales
As we approach the end of summer, it is time to plan for the rest of the year and into next year. As we try to grow our business in the middle of a very volatile and uncertain economy, many salon owners will struggle to not only survive but also to improve profits.
Despite these challenges, I believe salons that are well managed will flourish.
Business practices that may have been successful in the past are outdated and obsolete; far too many salon owners are in denial and will fail because they refuse to adapt to change because it requires extra effort. Complacency is the thief of success.
What are needed today are new ways, innovation, and new ideas that will set you apart from your competition. Forget the past and start looking for the future.
Take advantage of your new opportunities; as salons continue to struggle and fail you will probably win by default because you took the time and effort to create new ways of growing your business. I formed Hairdresser Career Development Systems to give you an alternative to existing education that is biased towards special interest groups.
Follow these tips with an open mind:
Client Retention — all the advertising in the world will be meaningless if customers don’t return. Negative word of mouth advertising will not only cost you in terms of money spent, but also diminish the reputation of not only your salon, but your staff. Negative word of mouth advertising in your community is just too costly.
Review Your Profit and Loss Statement — are you making a profit, if not why? As an example, look at ways to reduce your overhead expenses. Maybe your compensation system needs to be reviewed. Perhaps your supply bills are too high. Are you taking advantage of all your legal tax deductions?
Improving Staff Performance — does your staff need a pick me up? What have you done recently to inspire and motivate your team to higher levels of excellence?? Invest in your salon’s greatest profit potential — educate your team.
Lost Customers — believe it or not, old lost customers are the easiest to win back. Simply send a note or post card with a discount by saying we miss you.
Market and Promote Your Business — with the advent of social media, you have a wonderful opportunity to brand and promote your business with your business fan page, email newsletter, your salon’s web site and many other great resources on how to promote your business.
Monitor Performance of Staff — make sure you monitor each staff member’s customer return rate and referrals.
Excel at Customer Service — make sure your team exceeds client expectations by giving your customers more than what’s expected. Make sure you remind your team that customer service is a high priority.
The message here is to stay focused on promoting your salon and keep a constant stream of new clients as well as making sure you keep them coming back.
There are many more ways to promote your business, my book Growing Your Business will help you in this area. Click here