When three of the tanning industry’s most successful salon operators join forces, you know that big things are about to happen.
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Combining more than 40 years of hands-on industry experience, 15 established salons and gross sales exceeding $7,000,000 annually, Glo Tanning is a powerful force in the industry. And now, their proven model for success is available to those seeking their own slice of the lucrative sun business.
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The Glo Tanning Story: Part I
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In the fall of 2009, I received a call from a young man inquiring about opening a tanning salon in the booming college town of Fayetteville in northwest Arkansas. Tanning salons had thrived in that area and I knew there was enough demand to handle additional locations. I prepared the young entrepreneur for the realities of this challenging industry by explaining in detail the up-front investment required, as well as the seasonality of the business and, of course, the fierce competition.
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Onyi Odunukwe was grateful for my advice, while at the same time appearing completely unfazed. And why not? At six feet tall and 265 lbs. of solid muscle, Onyi was also a competitive bodybuilder, college soccer player and the owner of the successful Mr. O’s Nutrition & Supplements business – all before the age of 21. Opening a successful tanning salon would be a breeze! Well, not so fast …
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Four years after opening his ten-unit salon, the business was grossing about $120,000 a year and barely breaking even. His business model
was showing few signs of the success he had envisioned. Like others before him who jumped enthusiastically into the sun biz, Onyi faced a myriad of challenges that would test his resolve and have him considering closing the doors.
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“When people join our collective team, we all become stronger as a whole.”
Ambria Hatcher, Glo Tanning COO
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The Learning Curve
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“My mistake was trying to do things my way without analyzing what was actually working in the industry,” Odunukwe stated. Never one to back down from a challenge, he studied the business models of several successful salons. He realized that the foundation of his business was solid as it featured new, leading-edge equipment and offered the most popular lotion brands. However, he was falling short in the actual execution of membership sales and developing customer retention programs.
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“We were doing a great job of getting people in the door,” he shared, “however, we weren’t maximizing every sales opportunity. We did great from January to June, but then the business would fall off and we would barely hang on until the next season.”
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BOOM! From $120,000 to $600,000 in Sales
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Within one year of implementing his new strategies, the business took off. “We re-trained our staff with a total focus on selling memberships,” he stated, adamantly. “We created strategies designed to retain tanners for the long-term and developed promotions that kept them engaged year-round. We incentivized our staff to sell more of what we needed them to sell – and not what they wanted to sell.”
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By 2016, Glo Tanning Centers blossomed into an eight-store powerhouse, generating millions of dollars in sales and a bottom line that would be the envy of any Fortune 500 company.
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Sharing the Wealth
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Odunukwe’s success attracted lots of attention, and soon salon owners throughout the country were contacting him for advice. “There were so many people in the same situation that I was in,” he stated. Odunukwe was quick to realize that these people needed more than just ideas on how to promote membership sales. They also needed assistance with training staff, website design, developing effective social media programs, handling new customers, purchasing equipment and getting better pricing on lamps and lotions.
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“As I began sharing some basic advice, many salon owners told me that they would like to be part of what we had going on at Glo,” he stated.
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“We take the guesswork out of the salon business by thoroughly training operators and their staff how to implement and execute our proven sales and marketing strategies.”
Onyi Odunukwe, Glo Tanning CEO
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The Glo Tanning Story: Part II
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Paul Rudnicki had owned and operated the successful Sandy Beach Sun Spa Salon chain since 2004. His education and finance background provided firm footing for his eight-unit chain. Overall, his business was doing very well and Rudnicki was earning a comfortable living for himself and his family.
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Then, one day, he had the opportunity to sell a used tanning bed to – of all people – Onyi Odunukwe. “Call it kismet or fate, but meeting Onyi opened my eyes to a new way of thinking about the business,” Rudnicki stated. “Onyi exudes positive energy and it’s contagious. I thought I was doing well, until he showed me the true potential of my business,” he added, enthusiastically.
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Rudnicki converted his salons and has now become a licensee of the Glo Tanning Centers chain, as well as the company’s CFO. And the results have been nothing short of incredible.
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“Within just a few months of converting to the Glo business model, our sales were up more than 50%!” Rudnicki exclaimed. “We began attracting a new clientele while also maximizing sales with our existing customer base,” he added.
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“I thought I was doing well, until Onyi showed me the true potential of my business.”
Paul Rudnicki, Glo Tanning CFO
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The Glo Tanning Story – Part III
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After 20 years in the industry and owning the highly successful Tan Spa Salon in Florida, Ambria Hatcher was considering selling her business. “I had done very well and was feeling the need for a change,” she stated. “Through a mutual acquaintance, I contacted Onyi to see if he would be interested in purchasing my business.”
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Keep in mind that when Hatcher contacted Odunukwe, her seven-unit salon was already grossing more than $600,000 annually. (According to my research, this is among the highest per-unit revenue-grossing salons in the industry.) In fact, her business model operates so effectively and efficiently, Ambria was able to take six months away from her business last year to travel the world. And the business still generated record sales and profits.
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“Instead of buying my salon, we decided that the three of us should meet for a round-table discussion and share ideas,” Hatcher explained. It was that meeting that helped re-energize Hatcher, as she could immediately see a team building that could execute their innovative ideas and take the business to the next level.
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“I became a Glo licensee, myself, and we are now looking to sign on other good salon operators and help them become great operators. When people join our collective team, we all become stronger as a whole,” Hatcher asserted.
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The Glo Service & Support Program Sales & Marketing Strategies
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Odunukwe: We take the guesswork out of the salon business by thoroughly training operators and their staff how to implement and execute our proven sales and marketing strategies. We have seen sales increases of up to 50% within the first year.
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Hatcher: To succeed in this business, you need a constant flow of fresh ideas. The “team environment” at Glo encourages and drives everyone to achieve their maximum potential. This is the type of salon owner who will naturally be attracted to Glo.
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Centralized “Guest Services” Call Center
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Hatcher: When a salon employee has to take a call in the middle of a busy day, a salon guest is getting poor service. Either the person on the phone or the guests waiting in the lobby will not receive the full attention they deserve. Glo provides a centralized Guest Services Call Center that professionally handles all inquiries for each individual salon.
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Call Center personnel are able to explain salon services, book appointments and help close sales on behalf of the salons. This allows salon personnel to devote their full attention to helping guests – and sell more memberships and products.
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Employee Training on Equipment & Sales
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Hatcher: We estimate that it costs up to $2,000 to train a new employee. Glo has a proven, online training system that requires ten hours of interactive participation by each new employee. Our program provides in-depth coverage of all relevant topics including business orientation, equipment operation, customer interaction, how to conduct a professional salon tour, dress code, and how to effectively sell memberships and products.
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Preferred Vendor Pricing on Equipment, Lamps & Lotions
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Rudnicki: Due to Glo’s tremendous buying power, we have negotiated deep discounts with major manufacturers and suppliers. The tremendous savings allows our licensees to become more profitable and helps grow their businesses.
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Professional Website Design & Support; Online Membership Sales
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Odunukwe: The time and cost required to create a professional website can easily exceed several thousand dollars. And the monthly maintenance and updates can cost hundreds more. Glo provides our licensees with a progressive, interactive website that covers all aspects of each unique business location. Furthermore, our website is designed to stimulate online sales of EFT memberships.
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The Glo Guarantee
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We guarantee our licensees that they will see a 20% increase in revenue within the first year of converting to Glo – or we will refund, in full, every dollar paid toward the licensing fee.
CEO: Onyi Odunukwe
COO: Ambria Hatcher
CFO: Paul Rudnicki
Headquarters: Oklahoma City, OK
Locations in Florida, Arkansas, Ohio and Oklahoma
owner@glotanning.com
glotanning.com
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