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Old 01-29-2015, 12:54 PM   #11 (permalink)
 
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Re: Need advice on refunds!

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Originally Posted by perfectgirl View Post
Thanks everyone for your advice!
After thinking about it, we decided to just refund her. We also gave her a free tan in the level she originally bought, so that when she gets the "cheaper" package at the other salon she can see the difference in quality.
Ironically, it took her a few days to call us back and we weren't going to call her again. 1 message left was enough! When she came to get the refund she had all kinds of questions about sprays and said she might be back to try one!
The thing that baffles me is that we toured her and her husband a couple of weeks ago, they went price shopping, and ultimately came in and bought the package they wanted. It wasn't an impulse buy. That's why we were having such a difficult time with this.
Better to take the high road?
What are you going to do when someone comes in, buys a package and after a week wants her money, saying that she isn't aren't getting any color?
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Old 01-29-2015, 01:31 PM   #12 (permalink)
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Re: Need advice on refunds!

Had a sale this past for our 25 years in biz. $21.85 for the month in level 1. Had a lady buy one and taned 3 times, and wanteg her money back because she was going away......... told her sale items were not returnable... she's tanned every day since.
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Old 01-29-2015, 02:01 PM   #13 (permalink)
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Thumbs up Re: Need advice on refunds!

Quote:
Originally Posted by perfectgirl View Post
Thanks everyone for your advice!
After thinking about it, we decided to just refund her. We also gave her a free tan in the level she originally bought, so that when she gets the "cheaper" package at the other salon she can see the difference in quality.
Ironically, it took her a few days to call us back and we weren't going to call her again. 1 message left was enough! When she came to get the refund she had all kinds of questions about sprays and said she might be back to try one!
The thing that baffles me is that we toured her and her husband a couple of weeks ago, they went price shopping, and ultimately came in and bought the package they wanted. It wasn't an impulse buy. That's why we were having such a difficult time with this.
Better to take the high road?
Well done. She will be back one day and can only say good things about you and your company!
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Old 01-29-2015, 03:14 PM   #14 (permalink)
 
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Re: Need advice on refunds!

If you have never had a steak, it is hard to understand why one would cost $10 and another steak the same size would cost $100.

You can and should explain why the price difference exists, you gave her a sample of your "steak" now she can try the other cheaper "steak" and decide which she prefers.

There are $15k cars and there are $150k cars. There is and always will be a market for the low end as well as the high end.

Porsche won't price match with Honda. Your job is to know where your salon fits and price accordingly.

If your price structure is wrong for the salon experience you are offering, you will fail.

We all have strengths and weaknesses in our salons, some things we can control as well as some we can't. Make sure to be honest with yourself about not only the good but the bad, and then you can structure your prices correctly for your market.
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Old 01-29-2015, 03:26 PM   #15 (permalink)
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Re: Need advice on refunds!

Nice post KYguy!
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Old 01-29-2015, 03:32 PM   #16 (permalink)
 
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Re: Need advice on refunds!

Thank you Robert!
Kooky- the problem is that the customer wanted to pay the "Honda" price for the "Porsche". She told me that outright. I offered her other alternatives, but she wanted that specific level. The problem is not the price structure.
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Old 01-29-2015, 04:10 PM   #17 (permalink)
 
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Re: Need advice on refunds!

P.s. perfectgirl and kimb3107 are partners LOL!
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Old 01-29-2015, 07:04 PM   #18 (permalink)
 
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Re: Need advice on refunds!

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Originally Posted by kimb3107 View Post
Thank you Robert!
Kooky- the problem is that the customer wanted to pay the "Honda" price for the "Porsche". She told me that outright. I offered her other alternatives, but she wanted that specific level. The problem is not the price structure.
We all get Porsche shoppers with Honda budgets, explain why your prices are correct for your salon experience and let the customer go elsewhere.

Don't get upset or defensive, many people simply won't know why your steak costs more than the steak down the street.

Your job is to educate them on why your prices are what they are and then let them decide where they want to go.

Some higher end things are easy to understand, cars, houses, elite schools are all easy to understand when it comes with a premium price. Tanning is more like a steak, for those customers that know about steak, (and can afford it) they will never go down the street to the cheap place.

Price correctly and never worry about those few that want a Porsche for the price of a Honda. Oh, and never give them the Porsche for the Honda price, those few customers are never worth what little they will spend.
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Old 01-30-2015, 04:03 AM   #19 (permalink)
 
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Re: Need advice on refunds!

Quote:
Originally Posted by kookyguy View Post
If you have never had a steak, it is hard to understand why one would cost $10 and another steak the same size would cost $100.

You can and should explain why the price difference exists, you gave her a sample of your "steak" now she can try the other cheaper "steak" and decide which she prefers.

There are $15k cars and there are $150k cars. There is and always will be a market for the low end as well as the high end.

Porsche won't price match with Honda. Your job is to know where your salon fits and price accordingly.

If your price structure is wrong for the salon experience you are offering, you will fail.

We all have strengths and weaknesses in our salons, some things we can control as well as some we can't. Make sure to be honest with yourself about not only the good but the bad, and then you can structure your prices correctly for your market.
The only problem is that not everyone can afford the $150 k car! I can test drive one tho!
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Old 01-30-2015, 04:05 AM   #20 (permalink)
 
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Kooky, you could sell sand to an Arab!
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