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Old 02-09-2007, 07:09 PM   #5 (permalink)
excitednewguy
 
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Re: EFT... please explain

Quote:
Originally Posted by Neon Beach View Post
Simply put?

You come up with some ridiculously low monthly charge to use base beds for example.

You set it up so that clients will be charged automatically thru credit card or debit from the bank. Most don't even use a "binding" contract anymore.

Pray you get tons of them to do this, pray they don't cancel on you.

EFT's are great, as long as your customer base can support it, and you have the ability, and you don't base your entire business model on it. When we first started, we were worried about the 29.95 per month, and how many people would tan like crazy and end up spending 2 bucks per tan, as well as what our costs per tan would be. It can get pretty complicated, depending on how much you analyze it, (as I do/did,,I'm quite the research nerd).

We found that after using the EFT, our customer base who actually signed up for it, and tanned enough to make me nervous, was less than 2% of our EFT Base.

I say, do EFT, Single Tans, Packages, and offer other Tanning Packs and prices. Give them a choice. A lot of people just do not like to give out their info for a monthly draft, and you would be suprised at how many will end up paying 4 times the price for their tans, because of this.
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