Improved Performance of Existing Facilities

Improvement of Revenues, Margins & Overall Financial Performance

Improving the financial performance of your spa or salon is the goal of every business owner. Have you wondered if your business is performing to its maximum potential? Have new competitive businesses entered your marketplace? Are you afraid you may not be able to compete with your current concept? The salon and spa industries are fashion businesses. This means they change just as fashion does. Are your guests asking for new products and treatments? Have your sales and profits decreased? Does your salon or spa have the potential to be more productive and profitable? What sets you apart from your competitors? How can you offer your clients and your employees what they want without breaking the bank? Which new treatments represent “fads” and which treatments have staying power-or are the “fashion” mainstays that drive profitability?

8 to Evalu-8 Program

Improving your financial performance begins with a thorough evaluation of your current performance. During our evaluation process, we thoroughly review eight key elements within your salon or spa to determine necessary adjustments and determine how to increase profitability. Next, we chart a course to success. To do this, we look at your entire business, from financials to staffing to branding and beyond. Sometimes after careful evaluation, we may not be able to chart a course to profitability. High rents, high labor costs, lower-than-expected sales are sometimes insurmountable. If we do not feel we can help, we will let you know quickly.

Sometimes this process begins on site or remotely with adequate data provided. The in-depth analysis includes:

Financial Model Evaluation including all key expense elements
Review of staffing (revenue versus non-revenue generating), chain of command, policies, compensation rates, rental fees, product charges and more
Front desk and back-of-house operational review, review procedures and paperwork, develop where needed, scheduling
Menu evaluation, service sales recap and retail performance to total cost of goods analysis
Guest standards, amenities, experience, retention
Marketing, social media, brand evaluation, guest perception of brand
Space planning and facility flow-space utilization
Benchmarking, budgets, goals, standards with a one-year and three-year performance plan

We call these the “8 to Evaluate.” With this data, we will be able to tell you where you can make improvements, how to maximize service and retail sales, how to improve margins and more.

How this process benefits your business

Successful spas and salons know that regular evaluations of their operations, service assortment, staffing, marketing, electronic media, brand identity and guest services assures that they’re properly positioned in their marketplace. Often times, just keeping everything going takes up more time than the operator has available. Once per year, every operator should review past successes and failures and formulate a plan going forward. A one-year budget should be formulated along with a one-year marketing plan!

If your facility is under-performing, there could be many reasons for it. Often the systems set in place at opening have not been maintained, defined or modified as needed. Let us figure out where your facility may be deficient and formulate a plan to get it back on track. We can make sure your facility is operating at maximum efficiency with sound procedures in place.

Sound marketing and the message you want every guest and potential guest to take away may not be apparent or effective. Let us help you define and refine. Let us perform an audit of your facility, figure out what is working well and formulate a branding strategy for the future. Our program includes:

Operational Evaluations-Existing Business Model

Review Operations
Review Software data
Review Staffing, Remuneration, Retention, Sales
Review Lease and Other Commitments
Review Vendors
Review of Financials
Review Marketing Expenses
Review Systems, Policies and Procedures, Service Times
Detailed evaluation by month-Sales and Expenses

Brand Evaluation and Position in Market

Electronic Media Review
Web Page Review
Core Message Review
Brand Identity Review
Competitor Review
How is the facility perceived by customers?

Service Evaluation and Pricing

Review lines used
Review service offered
Review performance of each service
Recommend new services or add-ons as needed
Evaluation of existing services
Pareto’s Principle applied to services

Retail Evaluation

Sales per square foot analysis
Sales by item evaluation
Assortment planning
Integrating retail recommendations into services
Addressing aged products and overstocks

Development of New Brand and Marketing Strategies

Define current client and target market
Create a consistent message
Develop pointed, effective marketing campaigns
Positioning as a community leader
Charitable giving through the salon or spa
Path to being identified as an Expert in the marketplace
Quantify and define your brand’s message
Integrate new trends and services into the facility
Define how the brand is different and better
Define how the brand will compete in the market

Implementation of New Systems, Culture & Procedures

Update Service Menu integrating add-ons, upgrades and retail recommendations into the process
Build technician and guest communication
Define how all support systems will function
Daily Operational Forms and Policies
Update of Manuals for training and operations
Site Visits
On-going communication with facility
Monthly Sales and Productivity Review

You may need all or just a portion of the services we offer. Rest assured we will dissect your business and formulate a plan that, when implemented, will set a new course toward success.

Our program begins with an in-depth review of your sales performance for the past two years, employee and remuneration review, in-depth session with owner to discuss issues and challenges, review of systems, marketing, pricing, vendor matrix and more. A site visit prior is the most effective way to get the relationship started.

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Rates:

Please call for rates. We have packages available. Rates do not include travel or other expenses.