Expert Panel:
Each issue of ist Magazine features content filled with valuable and relevant information gathered from knowledgeable salon professionals across the country. This month, the following group of tanning pros – who represent more than 100 years’ of combined industry experience – were kind enough to share their insight:
Mike Blore, CEO, California Sun Salons, Sacramento, CA – Years in Industry: 20
Jerry Deveney, Executive Director of Sales, JK-North America, Jonesboro, AR – Years in Industry: 29
John Farr, President, The Power Group, Hebron, KY – Years in Industry: 22
Bruce Wood, Owner, No Tan Lines, Streamwood, IL – Years in Industry: 14
Brenda Wooley, Owner, Sun Kissed by Brenda, Gainesville, TX – Years in Industry: 14
The “slowest time of the year” for the tan biz doesn’t have to be that way … especially if you try these business boosting tips between now and November!
Are you ready for “JASON?” You know, July, August, September, October and November – the industry’s off-peak months? If you’re not prepared, then JASON might as well stand for “Just Another Salon Owner’s Nightmare,” namely yours! While many salon professionals dread this time of year and insist that there is “nothing to be done” about the loss of revenue associated with it, Team ist Magazine respectfully disagrees. We believe that JASON doesn’t have to be a nightmare – yes, you read that correctly – as long as you’re willing to prepare for it.
While business might be slow during JASON, it doesn’t have to be dead. To prove this, we contacted a number of tanning industry experts to discuss their business-building tips that can help you survive JASON. These folks have either used these ideas in their salons, or they know someone who does. Either way, the results have been nothing short of successful. Maybe they’ll inspire you to implement some or all of them at your stores!
Send the Right Message
According to one tan biz veteran, salon professionals have helped perpetuate the notion that no one tans between July and November. Fortunately, he also has a way you can counter this and increase your cash flow during JASON.
In his 20 years as CEO of his California Sun salon chain, Mike Blore has seen tanning industry professionals use images of bikini-clad women in their advertising. While this provides a certain appeal, it also reinforces the notion that tanning is only done in preparation for the summer. “Once we recognized this, we created advertising campaigns that show indoor tanning as a lifestyle that people enjoy all year,” said Blore. “For example, one of our ads features a young lady in a Santa hat and winter gloves, and her face is the only part of her that isn’t covered. Ironically, it’s become one of our most successful promotions.” Another problem Mike has identified is salon owners who completely give up on advertising and marketing their businesses during JASON. “The minute you stop promoting your business, you’re telling your customers that the tanning season is over, so they end up forgetting about it, too,” he added.
To beat JASON, Mike Blore prepares for it with his “Tan ‘Til” members program, which he launches each June. “This offer includes tanning in our level-one units and 50 percent off upgrades from June until the end of the year for a price associated with that year,” he said. “For example, we’re promoting our Tan ‘Til 2014 program for $14 a month, which provides clients with a whole month of tanning for the cost of two sessions, and gives us a 90 percent closing ratio.” Mike says July is still a good a month to start this program, and recommends advertising it with radio, print and social media, as well as sending an e-mail blast to all clients who’ve cancelled memberships or haven’t returned to the salon in a while.
Roll it Out!
Instead of debating EFTs versus monthly memberships, try offering something that appeals to both customer types and keeps them coming back during the JASON months. It’s called a “rolling calendar” of specials, and the concept comes from one industry veteran known for his marketing expertise.
When your clients decide to cancel their tanning membership, they’ve been thinking about doing so for a while. “This is why it’s best to be proactive and offer them so many great values they’ll never think of quitting,” said Jerry Deveney, JK-North America Executive Director of Sales. “We suggest creating a rolling calendar of special offers for all your clients, such as $1 upgrades on Fridays, Saturdays and Sundays during the month of July, and 50 percent off select lotion purchases in August. In addition, we suggest offering a cumulative lotion credit that offers $20 of in-store credit for one-month members and goes all the way up to $150 for those who stay enrolled for a year. This creates enough value to encourage people to remain members.”
A QR or “quick response” code, Jerry says, is the hottest way to market your salon’s rolling calendar of specials. “By now, everyone knows what a QR code is because they’re so popular in just about every industry,” Deveney said. “By placing your rolling calendar of benefits on your Website’s landing page, your clients can scan the code to access the monthly offers. Not only does it utilize the latest technology, it’s also very cost effective because it eliminates the costs of printing the calendar.” To make the QR code easy to use, Deveney recommends printing it on a flyer to post in your salon’s lobby and tanning rooms, as well as on your business cards.
Cool It!
Opportunity can present itself in the strangest of circumstances, such as when a loyal EFT client wishes to cancel her membership. By following the advice of one indoor tanning industry expert, you can keep that client and earn additional revenue from her while she tans during the summer.
Let’s face it, JASON makes many tanners hot to cancel their memberships in hopes of saving a few bucks. When this happens, John Farr, President of The Power Group, suggests “cooling” things down a bit. “We encourage salon owners to allow EFT members to freeze their accounts for just $6 per month,” he explained. “During that time, we also suggest they allow these clients to keep tanning for just $3 a session. This not only keeps people in your system during the slowest time of the year, it also encourages them to tan during that time by offering them an easy way to do so … and it’s more affordable for them because they won’t have to pay a sign-up fee again.”
While Farr says the $6/$3 is a good way to keep EFT members in the system through JASON, it isn’t something salon owners want to promote. “The last thing you want to do is remind tanners that they can cancel their memberships!” he exclaimed. “Instead, only offer it to those who are considering cancellation. In order for this to be successful, though, your staff must to trained to offer it to everyone who wishes to cancel, and you must create some type of incentive to encourage your staff to sell a lot of ‘freeze options’ as opposed to just allowing tanners to quit.”
It’s Party Time!
If you know JASON will be a slow time for tanning, then give members of your community a reason to stop by your salon. Nothing does that better than throwing a party with plenty of free food, free tanning and a lot of awesome deals, says one longtime salon owner.
The weeks leading up to Memorial Day weekend are exciting ones for Bruce Wood and the staff at No Tan Lines in Streamwood, IL. This is when Bruce hosts his Customer Appreciation Weekend party. “A friend who owns a salon in Wisconsin turned me on to this idea after he made $50,000 in sales in just 12 hours with his event,” said Bruce. “Since we’re a smaller, boutique store, we don’t pull those kinds of numbers but we still do quite well with our Customer Appreciation Event. We typically attract about 250 people, and each of them spends an average of $50-$75.” Bruce’s shindig takes place Friday, Saturday and Sunday, and includes free tanning in base beds and level-two booths, with free upgrades for everyone who purchases something. He also has a barbecue on Saturday, and sells all retail products in sidewalk kiosks to relieve congestion inside the store. “Whatever year it is, a second month of tanning sells for that price,” he said. “So this year, everyone who purchases a month of tanning will get their second month for $13.”
After recently hosting his ninth Customer Appreciation Day, Bruce says the event has become quite popular. “Anyone who has tanned with us for 12 months or more will start asking about it in May,” he said. “We also contract with Chronos Marketing to produce postcards that we mail to clients in our database and to women in the community ages 21-45. By focusing on three strategic locations in town and avoiding the areas saturated by our competitors, we’re able to attract a good number of new people who become clients. We also started promoting the event on Facebook by converting the postcard into a graphic and posting that on our page.”
A Matter of Convenience
While some tanning salon owners dread JASON, this time of the year is the busiest for those who operate sunless tanning businesses. What does this have to do with indoor tanning salon pros looking to increase cash flow? Plenty, says one experienced sunless tanning provider.
“Because of all the weddings, graduations and other special events, JASON is my busiest time of the year,” said Brenda Wooley, owner of Sun Kissed by Brenda in Gainesville, TX. “People want to look good while spending time outdoors, and the convenience of spray-tanning helps them do that in just one session. We easily average more than 200 clients each week, with 50-60 of them coming in on Thursdays to get their tan for the weekend.” Brenda knows that many UV salon owners offer spray-tanning, but some are more serious about it than others. She urges everyone to find a passion for this tanning method because that will translate to an increase in clients’ interest level, as well. “Our love for sunless tanning helps us provide an amazing client experience, and this has resulted in a lot of positive word of mouth for our salon,” she added.
“The fact that sunless tanning provides instant color is the best thing to advertise in today’s age of instant gratification,” Brenda said. “We advertised on Facebook this year to practically everyone who lives in a 75-mile radius of the salon, and we used a picture of a beautiful girl in a bikini with the phrase ‘Instant sunless tanning.’ By stressing the convenience of our services, we attracted 28 clients in the first month the ad ran.” Brenda said that UV salon owners could do something like this with a “tanning cocktail” offer – a back-to-back spray-tan and stand-up UV session – at an attractive price.
Get Moving!
If you’re reading this, then you’re already in the first month of JASON. Don’t panic. There’s still time to develop a strategic plan of action to reinvigorate your cash flow. This group of tanning industry veterans have offered a number of ideas you can implement at your salons or tweak to fit your needs. Since they all operate upon the same premise of retaining and even generating revenue, you can use each one of these tips to help your business survive JASON. You better hurry, though!
