Yikes, this is always a tricky subject right? Talking money with friends, family, employees, colleagues… it can be a slippery slope to some unhappy faces. So how do we navigate price increases with customers?
Well, first off, we’re not just thinking about price increases in this year’s conversation. This year, money and budgets are on everyone’s minds with the soaring energy tariffs and cost of living affecting spending habits.
It’s true, we’ve all lost a few clients over the last couple of years who, in their efforts to tighten their belts, have taken to doing their own gel nails (yikes) and even their own bikini waxing (*cringe*). So how do we keep more clients from walking away from salons whilst ensuring we pay ourselves and our teams a fair and profitable salary?
We’ve put together some of our top tips for navigating price increases.
Do your homework.
Check out your current price point in your market. Are you the cheapest? Should you be? We say no. Always charge your worth. Competing for the cheapest beauty provider will only have you playing catch up when all your competition has hiked their prices far beyond yours, and when you’re left with no choice but to hike yours right up there to stay in business, it will seem all the more drastic and off-putting to your clientele. Keep it steady and keep informed.
Trust your community.
Your regulars will always be your regulars. If your clients love your service and the feeling they get from their time in your business, then you’re doing everything correct. A couple of pennies here and there won’t perturb these loyal fans.
Put the feelers out there – communicate with your clients.
You (likely) have a database full of ways to communicate with them all, be it in your phone, a Facebook group or a CRM like Phorest Salon Booking System provides. Reach out to your clients and ask them their thoughts.
Don’t be afraid to charge your worth
Picture this: It’s Friday night, you’re in the wine aisle. Do you go with the supermarket’s budget brand because; “Hey, it’s wine at the end of the day, doesn’t matter about the quality.” …Or do you spend that little bit more to get something you’ll enjoy? To your clients, your treatments are the good wine. If they want that service and your quality shines through, they’ll pay for it.
Try a membership option. Give your clients the option to scale up and down what fits with their budget whilst keeping your prices at point that fits your worth. Create a couple of packages, and/or payment options, and give your clients the option to scale up and down what fits with their budget whilst keeping your prices at point that fits your worth. Not only will this encourage repeat business but is a good way to inject your cashflow each month.
We hope these tips help guide you in this tricky topic. For more information and advice on how to navigate price changes across multiple sites, check out our Business Master course or get in touch with us at email@example.com
Check out the full article over at Vitality here.