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Old 11-21-2003, 06:45 PM   #41 (permalink)
 
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I agree with the last 2 posts. What's it cost you to give a free tan? 35 cents. Not much if you can put your salesperson magic into effect and retain those people, convince them that your salon is the place to be. This may all depend on your geographical location/demographics, but you have to get them in the door before you can get them to stay! If not a free tan, a free tan with the purchase of a lotion sample, 1 free if you buy one at regular price, etc., etc..
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Old 11-24-2003, 01:19 AM   #42 (permalink)
 
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We have been doing 3 tans for $5. for new clients. Clients cant believe they are getting 3 tans for only $5. and never mention a free tan. They can upgrade these sessions to our level 2 and level 3 beds just as if they had 3 sessions on their account. Would say half of all new customers upgrade their second or third visit to try the high pressure bed.

Rather than giving the free tan, you have generated income and given yourself 3 visits to try to retain this client as a regular customer. Also by the end of the third visit the client feels comfortable coming here.

Each new client also recieves 10 referral cards advertising the 3 tans for $5. If 3 of them come back they get to tan in the high pressure bed for free. This has been working incredibly well.
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Old 11-24-2003, 01:18 PM   #43 (permalink)
 
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Please allow me to weigh in on the subject of offers.

Investing in the Market
You bought equipment and expect a Return On Investment (ROI) on that equipment. You bought a sign out front, bought rent, employees, and expect a ROI on it, too. You also must buy the market. How much of the market can you afford, and how much do want to buy?

Filtering
“X” Tans for “Y” $ won’t buy as much of the market as a “Free” Tan, but along with the free offer, you won’t “filter” out any undesirables. When you cast your net, to get the top fish, sometimes you must get the bottom fish, too. This is known as “filtering”.

Advertise for a $50 customer and you will get a $50 customer – but what about people who have only $25 to spend right now? With a $50 offer, you won’t get them as you have filtered them out of the marketplace. Many of the $25 spenders will get inside your salon, get excited and make unplanned, emotional, impulse purchases and with just a little salesmanship…

On the other hand, advertise 3 Tans for $6, and you’ve filtered out no one. Everyone has $6 in his or her pocket to spend.

The most successful retailers, except in the extreme upper end of each industry’s market, do NOT filter much or at all. After all, most salon owners want to try to sell something to everyone.

Think of it another way…

Buying the Market
Single Free Tan (buys very little of the market over a long period of time)

3 Free Tans (buys more of the market a little more quickly)

Week of Free Tans (buys a lot of the market a lot faster)

Month of Free Tans (buys most of the market very fast)

It just depends on how risk averse you are, how deep your pockets are, and how well you can sell. If you can’t sell well, buying more of the market at once won’t really help you. If your salon is not some place people would like to return to then the additional exposure that better offers will get you, won’t help much.

5 Offer Criteria

1. Must be a small hurdle for your salespeople to jump. Only killer closers can move a client from a single free tan to a $200 sale.

2. Must match your in-store pricing. You don’t want to risk a disconnection between your promotion and your in-store pricing and between you and your customers.

3. Must sound irresistible to the public. This takes into account what your competition and you have done in the past. Old and tired offers can sound commonplace.

4. Must meet customer’s expectation levels. You are losing sales when someone asks “Is your first tan free?” and you answer “no.” At that point, not only did your salon not meet their expectation level, it becomes even more difficult to exceed it. No amount of talking can overcome this issue. When customers ask, be prepared with a ready answer that, at the very least, meets this expectation in consumers’ minds (not in your own mind).

If you decide not to even try to meet this expectation, then know that you are “filtering” out these people from buying from you.

5. Be seasonal. There’s no problem offering 30 days for $30 in November, but you don’t need this strong an offer in April.

Just remember that whatever you decide to do, it must have creative hook to catch the eye, engaging copy to win the mind, imaginative design to provoke emotion, and rock-solid promotion to deliver value and consumers will respond!
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Old 11-24-2003, 01:48 PM   #44 (permalink)
 
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The best way to convert a single tan, free week, or any other coupon offer is to have a trade in value. "We offer a bonus on your initial visit. You can trade your coupon in for 1/2 initiation fee (or whatever you want to market). If you take advantage of the coupon I would love to keep you after the week is over, however, you won't be entitled to the initial visit bonus. Is it worth it for you to waste the bonus when you know you will want to join and the end of the week?"

This approach raises the value of the coupon exponentially depending on what you offer as the trade in.
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Old 11-24-2003, 11:33 PM   #45 (permalink)
 
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We offer a first time client a discounted visit. If they come in with a Free visit card they must purchase a lotion sample $3.00 or more. We also offer them a discount if they buy a tanning package on their first visit. I don't agree with free tanning because I think it lowers the levels of the service you are trying to sell. As they say nothing good in life is free so why should a visit at ours tanning salons be Free! My business is my livelihood and I don't take that lightly so I certainly wouldn't lower my standards.
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Old 11-24-2003, 11:35 PM   #46 (permalink)
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just offer a discout to students or a coupon in the paper then you can
say that you what to offer a deal everyting to them just not once.
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Old 11-25-2003, 08:00 PM   #47 (permalink)
 
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I absolutely believe in the tan free for a new client. Your are basically selling your salon to a possible long term client. We also have more perks on a free tanning visit. Every new package you purchase you will receive a free visit, the clients love that. I also do a drawing once a month you can purchase a raffel ticket for $1.00 in turn you have a chance to win a free package. That is a good money maker, we put the money to the side and save for those lonely slow months.
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Old 11-25-2003, 09:05 PM   #48 (permalink)
 
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Raffle ticket? Sounds like a good idea for some extra cash. Hmmm, I'd check local regulations to see if that is legal. I know we can't do that here without a "raffle" license issued by the city. Are you collecting taxes on that $1?
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Old 11-25-2003, 09:48 PM   #49 (permalink)
 
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1/2 price tan. If the person is too cheap to come up with 1/2 then they are probably just hopping from place to place.
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Old 10-09-2004, 04:58 PM   #50 (permalink)
 
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[ This Message was edited by: farrah on 2004-10-10 00:06 ]
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