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Old 01-30-2015, 02:33 PM   #11 (permalink)
 
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

Quote:
Originally Posted by VirginiaTan View Post
Would love to have some insight on upgrades I'm considering. A few items to consider:

Current Bed Mix / EFT Pricing:
Level 1 $24.95
(3) Laydown Sunmasters 32 lamp x 100w 15 mins

Level 2 $39.95
(2) Tan America Pacificas 36 lamps, 160w top, HP Facials, 12min.
(1) VHR Suncapsule VHR Standup, 52 lamp 160w

Level 3 $54.95
(1) Ergoline 600 Classic, 54 x 160w lamps, HP Facials, 12min.
(1) Sundazzler Standup, 54 x 220w lamps, 9 mins

Level 4 $79.95
(1) Saturn Standup HP, 18 x 1000w lamps
(1) MysticTan MT Blue Box, Spray Tanning

Considerations:
>I have limited space, with all 10 rooms being used
>My biggest wait times are on Level 3, for the ergoline
>My room sizes are small, with fixed walls (not euro walls)
>rooms are approx 8x8, except the ergo room

Proposed changes:
>Offer an upgrade laydown option on Level 4 to increase revenues and take some of the pressure off of the Level 3 Ergoline when it gets business
>My Level 1 isn't the highest demand, but currently has more bed options than the Level 3 and Level 4. With that said, the Laydown Level 4 Option will be replacing a Level 1 unit
>I will be increasing my Level 1 price to $26.95 to have a lower disparity between Level 1 and 2, to encourage more upgrades now that 1 less bed will be available.
>I will be decreasing my Level 4 price to $69.95, to lower the disparity between levels, and make the upgraded level purchase easier to justify.

If everyone thinks these changes make sense... then the biggest question is two fold. I have limited space (8x8) for a laydown bed to be a Level 4 upgrade, that clients would pay to get a better result than the Level 3 Ergoline 600 Classic currently gives.

options:
Matrix L18 Glammy
UWE Sunboard

I know the Glammy will offer a logical upgrade for the client from the Ergoline 600. However, would a UWE Sunboard also be a popular choice for clients to upgrade to from a Ergoline 600? I've never owned, or tanned in a UWE Sunboard - so I'm looking for thougths and feedback. Thank you!

Roger
I suggest making it more simple and eliminate a level. Combine level 3 and 4 and make it level 3 with an option to make it a 3Plus Level by adding spray. Adjust your prices and by having the HP stand up on the 3rd level that will be your most popular level.

Having 4 levels always creates a level that is not being used.

The other option is bring in an HP bed to the mix so you have more than one system for that level. Make the HP level 3, combine level 2 & 3 making it level 2, Make some price adjustments and all levels will get used extensively generating more income than the way you have it now.

These are two viable options, both options will generate more income that your current levels.
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Old 01-31-2015, 07:56 PM   #12 (permalink)
 
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

Your level 4 price is probably too high and your other 3 are too low. Get the sunboard to have a HP laydown option. Try $30,45,60,75
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Old 02-01-2015, 05:27 AM   #13 (permalink)
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

Quote:
Originally Posted by peach2 View Post
Your level 4 price is probably too high and your other 3 are too low. Get the sunboard to have a HP laydown option. Try $30,45,60,75
As you have never offered EFT and don't believe in it, it seems a little incredulous that you are offering "advice" on what price points he should offer for his EFT....
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Old 02-01-2015, 05:56 AM   #14 (permalink)
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

The advice here is now getting silly, with no further data. All we have been told so far is:

1. The Level 3 Ergo Classic has the longest wait times
2. He is going to remove a Level 1 bed to make room for a new unit
3. He would like to increase revenues in doing this.

Without knowing your other package prices (to see if your current EFT "make sense" and are the best value, or the current usage rates on the VHR and HP standups, throwing out pricing suggestions is somewhat silly.

That said - again, you have suggested that the BIGGEST wait time currently is for the L3 600 Classic. So the obvious questions are:

1. How good of a job are you doing CURRENTLY utilizing the L4 Saturn and the L3 Sundazzler?

2. Can EFT members currently upgrade to higher levels on a single visit? E.g. can someone on L3 EFT who wants the 600 move to the Saturn instead? For how much? Will a L1 customer be able to upgrade to L2 if they come in and it is full now that you'll have 2 units vs 3? For how much?

3. How are you educating your customers from Day 1? Do they get a tour? Do they try all units? Are your standups pitched for the great results they give and a critical part of their tanning experience? Or "oh yes, and then we have the standup"?

4. Of all tans currently, what percentage are done on EFT memberships vs other package options?

5. Of your EFT memberships, what percentage are on each level?


Other than spray, your equipment levels and pricing seem quite typical and well designed. Your data will tell what YOU need to do for YOUR salon. However, my experience tells me that a lower performing HP (because that is what your room can fit) is not going to be the BEST use of your resources to increase profitability in your salon.
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Old 02-01-2015, 06:10 AM   #15 (permalink)
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

Quote:
Originally Posted by peach2 View Post
Your level 4 price is probably too high and your other 3 are too low. Get the sunboard to have a HP laydown option. Try $30,45,60,75
As an example -

We sell

L1 - $50 mo/$20 EFT (our "loss leader level" - least used - 32 lamp 100W)

L2 - $70/$30 EFT

Spray - $80 mo/$40 EFT

L3 - $100/$50 EFT

L4 - $120 mo/$60 EFT (600 Classic)

L5 (HP) - $180 mo/$90 EFT

The last 25 sign-ups were:

L1-2
L2-4
Spray - 3
L3-5
L4-6
L5-5
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Old 02-01-2015, 07:09 AM   #16 (permalink)
 
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

Quote:
Originally Posted by sunsally View Post
As you have never offered EFT and don't believe in it, it seems a little incredulous that you are offering "advice" on what price points he should offer for his EFT....
Sunsally, prices are prices. How they pay and when they pay is a different subject. I don't believe that efts were the topic of this thread anyway, so you are breaking you own rules on this site by hijacking the thread. You are also showing your prejudice against me by lurking on the site and jumping on every comment I make. I think you need to ban yourself for a week and think about it. lol.
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Old 02-01-2015, 08:22 AM   #17 (permalink)
 
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

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Originally Posted by Steve Underhill View Post
Having 4 levels always creates a level that is not being used.
Not if you know how to run a salon.
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Old 02-01-2015, 08:58 AM   #18 (permalink)
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

Quote:
Originally Posted by peach2 View Post
Sunsally, prices are prices. How they pay and when they pay is a different subject. I don't believe that efts were the topic of this thread anyway, so you are breaking you own rules on this site by hijacking the thread. You are also showing your prejudice against me by lurking on the site and jumping on every comment I make. I think you need to ban yourself for a week and think about it. lol.
1. If you look at the first line, of the first post, he indicates this is his "EFT PRICING". So the "hijack" is you that keeps talking about single month pricing.

2. Prices are not prices. EFT are designed as a significantly lower price than single months, to build longer term commitments. They are part of an overall pricing structure which may or may not include single months, visits or other options.

3. I am not a 'lurker". I am a moderator. My role is to ensure that the threads stay on track. Unfortunately, you post a lot of information that is just wrong, so we are also forced to do a lot of "clean up" behind your posts so that other readers aren't led astray
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Old 02-01-2015, 11:38 AM   #19 (permalink)
 
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

"....so that other readers aren't led astray". Yeah, I'd hate for that to happen......maybe you can explain how someone can lead one "astray" with an opinion.....unless you assume that no one on this site can think for themselves.
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Old 02-01-2015, 02:52 PM   #20 (permalink)
 
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Re: UWE Sunboard - Viable Upgrade Option From Ergo 600?

Hey Guys!

Awesome feedback, thank you for the different perspectives.

Sunsally, here are a few numbers you mentioned:
>Estimated Gross Sales 2014: $257K
>Estimated Gross EFT 2014: $132K (49%)
>34% Avg Year over Year Growth since 2009

>Took over a failed salon in 2009 - they had been closed for 6 months so I negotiated a deal with the landlord on back rent ($10K) to take over assets and renovate ($100K). Salon is maxed with space, 1,200 sq ft with 10 rooms. We make sure to offer a tour to all new members, and EFT's come with a free upgrade on each level.

12 Months, Nov - Nov
single price total percentage
l1 237 $10 $2,370 13.23% 3 laydowns
l2 323 $14 $4,522 25.25% 2 laydowns, 1 standup
l3 345 $18 $6,210 34.67% 1 laydown, 1 standup
l4 185 $26 $4,810 26.85% 1 HP stand up, Mystic
1090 $17.00 $17,912.00

12 Months, Nov - Nov
week price total percentage
l1 106 $20 $2,120 14.39% 3 laydowns
l2 123 $30 $3,690 25.05% 2 laydowns, 1 standup
l3 148 $40 $5,920 40.19% 1 laydown, 1 standup
l4 60 $50 $3,000 20.37% 1 HP stand up, Mystic
437 $35 $14,730.00

Nov, Current Active EFT List:
EFT price total percentage 3 laydowns
l1 99 $25 $2,470 16.63% 2 laydowns, 1 standup
l2 160 $40 $6,392 43.02% 1 laydown, 1 standup
l3 80 $55 $4,396 29.59% 1 HP stand up, Mystic
l4 20 $80 $1,599 10.76%
359 $49 $14,857.05

A very basic question that I was hoping to have feedback on, is the preference of customers to choose the Sunboard HP, over the Ergoline 600. IE: If you had 1,000 customers come through, which would the demand naturally be higher for?

Thank you!
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