Go Back   tanTALK - Tanning Salon Business Owners Community > Health & Beauty > Skin Care

Skin Care All about skin care!

Reply
 
LinkBack Thread Tools
Old 08-22-2006, 08:18 AM   #141 (permalink)
TJ
 
Join Date: Dec 12 2000
Location: Michigan
Posts: 220
Rep Power: 19 TJ has a spectacular aura about TJ has a spectacular aura about
Re: Lumiere (Anyone making money?)

Well............I'm trying.
TJ is offline   Reply With Quote
Old 08-22-2006, 01:44 PM   #142 (permalink)
 
Join Date: Mar 8 2006
Location: Colorado Springs
Posts: 28
Rep Power: 0 rooney3 is on a distinguished road
Re: Lumiere (Anyone making money?)

Well, I guess I'll be the one to go against the mob mentality here and say 'yes', we are making money with the Lumiere.

I run a 30 unit salon in Colorado Springs, Sun Spot Atlantis. If there are any old timers out there you may remember our submarine themed salon winning salon of the year honors way back in '96.

I've been disconnected with the industry for the past four years working on another project but was suddenly thrown back into the business this season when my partner of 14 years decided we should divide our two stores and go our own ways.

The decision was based in part over our disagreement with the future direction of the company and my desire to bring the Lumiere in as the first step in diversifying into more of a 'Sun Spa' concept with multiple light spectrum services like the Lumiere. My partner strongly disagreed. So now we're finding out who's right I suppose.

We are and always have been an EFT focused company. While we will sell the Lumiere regimes if that's what the customer wants, we try to steer them to our new $99.00 down, $79/mo. VIP membership (our normal tanning membership is $20.00 sign up fee and $15.95/mo with a 2,000 member limit, which he hit on April 25th of this year).

The Lumiere was the first high end service we added to our VIP suite of services to justify that new price point. We have since additional services that are also included at no extra charge in that VIP membership.

So far we have sold 19 VIP memberships this season in our first go around. Fifteen of those are currently active. Response to the Lumiere as far as the results go, have been good. We offer a 100% unconditional money back guarantee if a customer is not satisfied with their results. We've had two customers so far that were not completely satisfied. Interestingly when we offered them their money back or to do another regime at no cost, both choose to do another regime.

The Lumiere is a difficult sale, I'll grant you that, both from a customer standpoint and an employee standpoint, as trying to sell a $500.00 solution to your typical tanning customer ain't easy! A $99 down $79/mo sale seems a lot more inviting to the customer and a lot less intimating to our employees.

Fortunately my GM is a 54 year old woman who is a superb salesperson. My kids have watched and learned a ton from her on how to sell this high end VIP package.

Also, since I instituted a $50/$60/$70/$80/$90/$99 sliding commission scale to our employees for progressive VIP sales (at 6 and over they take the full down payment as commission) they suddenly seem a lot more excited about putting the VIP package in front of prospective customers. That's fine with me, as I want the guaranteed monthly EFT dollars, not the one time hit.

So right now we're bringing in an additional $1,185/mo just off of our 15 VIP members. Our Lumiere costs us $526/mo, so I'm satisfied with our initial results, although we have a ways to go (our goal is 100 VIPS).

The other issue for me is that the Lumiere finally gives me a chance to spin some positive press about my tanning salon and what this machine does for your skin instead of the old "UV is bad for your skin, blah, blah, blah" that the media harps now. Now we have something new to talk about: Sun Spas and the positive effects of certain light spectrums.

I also believe a big part of our success with the Lumiere so far, aside from the fact that it's producing satisfactory results for our clients is that I have a 2,500 e-mail list of our customers that I write to every two weeks or so during the season.

These e-mails are heavy on the education aspect of our services and light on the sales pitches (although make no mistake, we do pitch). Discussions about Lumiere have taken up a lot of e-mail space this season and in turn has sparked a lot of discussion in the store, which is just what you want.

But my e-mail list is the most valuable, effective marketing that I have...and its free. And in my opinion an educated customer is a customer much more inclined to purchase, if that particular service/ benefit is on his/her screen.

So there you have it. I guess I seem to be the lonely satisfied Lumiere customer out here?

Ric
rooney3 is offline   Reply With Quote
Old 08-22-2006, 05:33 PM   #143 (permalink)
 
Join Date: Mar 8 2006
Location: Colorado Springs
Posts: 28
Rep Power: 0 rooney3 is on a distinguished road
Re: Lumiere (Anyone making money?)

Well, I guess I'll be the one to go against the mob mentality here and say 'yes', we are making money with the Lumiere.

I run a 30 unit salon in Colorado Springs, Sun Spot Atlantis. If there are any old timers out there you may remember our submarine themed salon winning salon of the year honors way back in '96.

I've been disconnected with the industry for the past four years working on another project but was suddenly thrown back into the business this season when my partner of 14 years decided we should divide our two stores and go our own ways.

The decision was based in part over our disagreement with the future direction of the company and my desire to bring the Lumiere in as the first step in diversifying into more of a 'Sun Spa' concept with multiple light spectrum services like the Lumiere. My partner strongly disagreed. So now we're finding out who's right I suppose.

We are and always have been an EFT focused company. While we will sell the Lumiere regimes if that's what the customer wants, we try to steer them to our new $99.00 down, $79/mo. VIP membership (our normal tanning membership is $20.00 sign up fee and $15.95/mo with a 2,000 member limit, which he hit on April 25th of this year).

The Lumiere was the first high end service we added to our VIP suite of services to justify that new price point. We have since additional services that are also included at no extra charge in that VIP membership.

So far we have sold 19 VIP memberships this season in our first go around. Fifteen of those are currently active. Response to the Lumiere as far as the results go, have been good. We offer a 100% unconditional money back guarantee if a customer is not satisfied with their results. We've had two customers so far that were not completely satisfied. Interestingly when we offered them their money back or to do another regime at no cost, both choose to do another regime.

The Lumiere is a difficult sale, I'll grant you that, both from a customer standpoint and an employee standpoint, as trying to sell a $500.00 solution to your typical tanning customer ain't easy! A $99 down $79/mo sale seems a lot more inviting to the customer and a lot less intimating to our employees.

Fortunately my GM is a 54 year old woman who is a superb salesperson. My kids have watched and learned a ton from her on how to sell this high end VIP package.

Also, since I instituted a $50/$60/$70/$80/$90/$99 sliding commission scale to our employees for progressive VIP sales (at 6 and over they take the full down payment as commission) they suddenly seem a lot more excited about putting the VIP package in front of prospective customers. That's fine with me, as I want the guaranteed monthly EFT dollars, not the one time hit.

So right now we're bringing in an additional $1,185/mo just off of our 15 VIP members. Our Lumiere costs us $526/mo, so I'm satisfied with our initial results, although we have a ways to go (our goal is 100 VIPS).

The other issue for me is that the Lumiere finally gives me a chance to spin some positive press about my tanning salon and what this machine does for your skin instead of the old "UV is bad for your skin, blah, blah, blah" that the media harps now. Now we have something new to talk about: Sun Spas and the positive effects of certain light spectrums.

I also believe a big part of our success with the Lumiere so far, aside from the fact that it's producing satisfactory results for our clients is that I have a 2,500 e-mail list of our customers that I write to every two weeks or so during the season.

These e-mails are heavy on the education aspect of our services and light on the sales pitches (although make no mistake, we do pitch). Discussions about Lumiere have taken up a lot of e-mail space this season and in turn has sparked a lot of discussion in the store, which is just what you want.

But my e-mail list is the most valuable, effective marketing that I have...and its free. And in my opinion an educated customer is a customer much more inclined to purchase, if that particular service/ benefit is on his/her screen.

So there you have it. I guess I seem to be the lonely satisfied Lumiere customer out here?

Ric
rooney3 is offline   Reply With Quote
Old 08-22-2006, 11:40 PM   #144 (permalink)
TJ
 
Join Date: Dec 12 2000
Location: Michigan
Posts: 220
Rep Power: 19 TJ has a spectacular aura about TJ has a spectacular aura about
Re: Lumiere (Anyone making money?)

Nice to finally hear a success story from a lumiere owner. How long ago did you purchase your machine Ric? So are you saying that the $1185 per month in VIP revenue also includes unlimited tanning for the customer? Are they paying an extra $79.00 start up fee and an extra $63.05 a month to include lumiere? Does this include any session products or home care products. Is that for one session a month or unlimited use of lumiere? I've looked your salon up in the super pages. I couldn't find a Sun Spot Atlantis so I'm assuming you are either the Sun Spot Tanning Salon on North Union Blvd. or the one on Austin Bluffs Pkway. Let us know which one you are. I'll try to contact you for some more input on your marketing program. It's kind of strange that since you are having such success that RAI doesn't have you listed in their Salon Locator on the lumierelight web site. It seems it would be in their best interest to have people calling you for a testimonial and also benefit you in stearing people to your salon. Especially since (from what I've heard) all of the machines that were up around the Denver area are now gone. I copied the following from the web site just a few minutes ago. 80920 is your zip code isn't it? You might want to contact RAI about this.


Zip=80920
  • Within 60 mile radius of Colorado Springs, CO
Lumière is currently not available in your immediate area.

Last edited by TJ; 08-22-2006 at 11:46 PM.
TJ is offline   Reply With Quote
Old 08-23-2006, 09:14 AM   #145 (permalink)
 
Join Date: Mar 8 2006
Location: Colorado Springs
Posts: 28
Rep Power: 0 rooney3 is on a distinguished road
Re: Lumiere (Anyone making money?)

I will check with RAI on the locator issues. I know we just had our zipcode changed from 80920 to 80923, so I don't know if that has anything to do with it, but I'll give them a call today.

We are Sun Spot Atlantis located on Austin Bluffs. Our number is 719 531-6000.

I know salons seem to be having trouble selling the Lumiere. That's unfortunate. But I will tell you that this service takes a 100% absolute committment on the part of salon management, and it takes time to sink this new paradigm in the customers mind.

My experience so far is that Lumiere has a long sales cycle. That's why those e-mails I mentioned are so critical to me. My customers have been listening and learning about the Lumiere since February.

We sold our 16th VIP yesterday and the customer is a prime example of this. She called the store to tell us she was coming in today to sign-up for a VIP. She said "I've been getting Ric's e-mails for months. I've been doing a lot of research on the Lumiere and I'm finally ready to give it a try."

The VIP membership seems to be gaining momentum as we go along now, which is great news as our core tanning business is down by half at this time of year.

When a customer expresses some interest in our VIP we set an appointments for a one-on-one 'consultation', where we go over the benefits of services like Lumiere and answer any questions they may have.

At first because my kids seemed a little too intimidated selling the package, they would set the appointment and Barb (my GM) would do all the consultations. However Barb would have the employee who set the appointment sit in on the consultation, listen and learn. Now the kids have the confidence and the VIP and Lumiere are 'just another service' that they to sell.

One thing I made mandatory (with some initial grumbling from our kids) was to have each of our employees watch EVERY educational video and read EVERY page of information RAI gave us. I did the same. The buy in to successfully sell Lumiere must start at the top of the organization. This service must be actively sold, it will not sell itself. But I believe the payoff is well worth the effort, as we're starting to see now in these offseason dollars that are now coming in.

Right now the $79/mo includes an immediate 'intensive' Lumiere regime in their first 30 days and then once a month maintenance sessions. Per some of the discussions I read on this board earlier in the year, we also offer an additional 'bonus' maintenance session each month as an inducement to the VIP package.

As part of our VIP we also offer the customer his/her choice of unlimited UV tanning at any level, OR once a week use of the Mystic Tan.

VIP's also get 15% off any product in the store.

We have since added two more 'once a week' services to the VIP package:

- 'Relaxation Room' (high end massage lounger in a specially decorated and lighted room, complete with Bose headset and iPod preloaded with 5,000 music selections).

- Hydration Station (scheduled to come on line Sept. 15)

We go out of our way to pamper our VIP's and provide them with embroidered VIP terrycloth robes and slippers so they can move from one service to another without having to continually dress and undress. Now we're in the process of building out a VIP locker room where VIP's can change and securely leave their clothes and valuables.

Barb and my wife have led the way with these little amenities but I must say that customers absolutely love and genuinely appreciate the effort on our part.

It can be done, it just takes a little different mindset. I've set the mandate for my salon to move in a new direction, which as I mentioned I'm calling a 'Sun Spa' to try and reset us in the mind of the consumer.

I want us to become known as not just a UV tanning place, but now a place where we have light therapies and services that have undeniable positive benefits. Lumiere was key in taking that first step.

I know its a debatable strategy but sometimes its a fine line between being on the cutting edge...or the bleeding edge! My ex partner thought so and that's why he's still a traditional tanning salon.

Ric
rooney3 is offline   Reply With Quote
Old 08-23-2006, 09:55 AM   #146 (permalink)
 
I KNOW IT ALL's Avatar
 
Join Date: May 10 2006
Posts: 120
Rep Power: 15 I KNOW IT ALL is a name known to all I KNOW IT ALL is a name known to all I KNOW IT ALL is a name known to all I KNOW IT ALL is a name known to all I KNOW IT ALL is a name known to all I KNOW IT ALL is a name known to all
Re: Lumiere (Anyone making money?)

Your not on the salon locator list and you have had the unit for a while. Sounds like RAI found someone to prop up on here and sweet talk people. Or maybe you really have the unit and they still needed someone to sweet talk people.
__________________
Supplying the facts to salon owners.
I KNOW IT ALL is offline   Reply With Quote
Old 08-23-2006, 10:28 AM   #147 (permalink)
 
Join Date: Mar 8 2006
Location: Colorado Springs
Posts: 28
Rep Power: 0 rooney3 is on a distinguished road
Re: Lumiere (Anyone making money?)

"Your not on the salon locator list and you have had the unit for a while. Sounds like RAI found someone to prop up on here and sweet talk people. Or maybe you really have the unit and they still needed someone to sweet talk people. "


And the above quote is why I haven't posted here in a while, although I follow the thread. Some people will see what the want to see and belive what they want to belive. I offered my perspective here and you imply I'm a liar.

I put those posts up with no contact or prompting from RAI . It just seemed like a lot of people were frustrated and were looking for a little help. That's it, no other agenda.

The Lumiere went on-line in our store in Feb. 06. I'm out selling the Lumiere and our VIP membership to customers, not waiting for RAI to do the work for me.

Ric
rooney3 is offline   Reply With Quote
Old 08-23-2006, 12:24 PM   #148 (permalink)
TJ
 
Join Date: Dec 12 2000
Location: Michigan
Posts: 220
Rep Power: 19 TJ has a spectacular aura about TJ has a spectacular aura about
Re: Lumiere (Anyone making money?)

Ric
It sounds to me like you have a very upscale salon and the resources to move into a new direction to stay alive in this business. You are exactly the kind of person that should have been approached with lumiere. Your type of salon is where lumiere belongs. A lot of owners posting on this thread including myself were sold this machine in parts of the country where people had no idea of what it was and were and still are skeptical about something that they don't see on TV or see ads in magazines that are for public reading. I don't have the time to spend promoting and selling it. I was told I wouldn't have to do anything except wait for the phone to start ringing. Yes.....I know..........not a very smart move on my part, but here I am. I had my lumiere weekends with free sessions but just coulen't get people past the 30 day programs. I'm looking at your program and it is very interesting. That's what I was looking for when I started the thread and had no idea I would get all of this negative response. It made me feel a little better about being so vulnerabe though. It's hard for most of us to pay for enoughh advertising to create public awareness and make a profit on a piece of equipment that cost $30,000.
TJ is offline   Reply With Quote
Old 08-23-2006, 12:46 PM   #149 (permalink)
Mr. b
 
mr belvedere's Avatar
 
Join Date: May 10 2005
Age: 49
Posts: 7,247
Rep Power: 64 mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute mr belvedere has a reputation beyond repute
Re: Lumiere (Anyone making money?)

I know Ric personally, and he is sincerely relating his experience here. Hi Ray.
__________________
"A dusty bible leads to a dirty life ..." -Synonymous

mr belvedere is offline   Reply With Quote
Old 08-23-2006, 03:27 PM   #150 (permalink)
Team TanTalk
 
House of Tan's Avatar
 
Join Date: Oct 21 2003
Location: The Fort
Posts: 942
Rep Power: 16 House of Tan has a spectacular aura about House of Tan has a spectacular aura about
Re: Lumiere (Anyone making money?)

Quote:
Originally Posted by rooney3
not waiting for RAI to do the work for me.

Ric
BINGO!

Ric, you are doing almost the same EFT we are, plus your concept is very similar.
__________________
Startbucks
House of Tan is offline   Reply With Quote
Reply

Bookmarks



Currently Active Users Viewing This Thread: 3 (0 members and 3 guests)
 
Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


All times are GMT -5. The time now is 11:39 PM.


Powered by vBulletin® Version 3.7.2
Copyright ©2000 - 2019, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0
Copyright 2009 - tanTALK.com

click here for advertising info!