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Tanning Salon Management Salon management help here.

View Poll Results: What Membership options do you offer?
Standard EFT - auto draft their credit cards til cancel 29 72.50%
Local EFT - don't hold CC, but they have to renew before month is up 3 7.50%
Year or month unlimited with a small (e.g. $1-2) co-pay 8 20.00%
Super Saver - upfront fee and half-off single visits 5 12.50%
Tan Till the end of the Year (usually Fall - discounted) 11 27.50%
Summer Tanning pass (discounted 3 month pass) 6 15.00%
Time/Day option (e.g. mornings or weekends only) 1 2.50%
We offer some other membership options 3 7.50%
We offer NO membership options 4 10.00%
Multiple Choice Poll. Voters: 40. You may not vote on this poll

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Old 03-02-2014, 07:27 PM   #21 (permalink)
 
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Re: Membership - MANY approaches...

I just heard from a client today that with change increased sales by 90% in 2013 over 2012 and is up 184% in the first two month of 2014 over 2013

This may not be BS; maybe this owner's revenue was so low, that 90%doesn't mean a heck of a lot. + 90%of $1 is $1.90. The problem with any advise is that
there are no guarantees that anyone's advise will work everywhere for everyone, all of the time. It will be interesting to see how these wiz bang franchises do when they start bumping into each other on the open market playing field.
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Old 03-02-2014, 07:38 PM   #22 (permalink)
 
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Re: Membership - MANY approaches...

Quote:
Originally Posted by Steve Underhill View Post
Tony not everything is directed at you. Why are you so defensive? Steve I realize that its not all directed at me. Why are so paranoid? I am not one bit defensive. I just simple disagree with your gobbleygook! Are you not use to some one with real experience questioning what you say? We all acknowledge you are so impressive. Oh geez here we go with the child psychology. Its not about how impressive i am Steve its about how unimpressive you are? Once again what are your retail credentials? Have you ever had a salon you owned close? When I give advice I am not directing it to you. DUH! I am directing it to anyone it applies to. You are directing to anyone you can make a buck off of! Many of these people you mention I sold some of their first equipment too.
BIG DEAL! You sold them a commodity. This is no indication of your retail knowledge. Most bed salespeople never worked a minute behind the counter! You have a very extensive background, we are all impressed with your years of experience. There are many of us with that much experience and more. Many of us? I assume you think that includes you? Please do tell us who they are but more importantly what about you? We all have knowledge to share. I am sure it makes you feel good when someone you have worked with becomes successful, I know I have a great sense of pride when my clients do well. I think i judge successful much differently then you do!

Please I ask you to realize that when I post or answer your post it is not directed to you it is only another view or approach. DUH but i DISAGREE with you! And since I know you charge people for your advice I think you and your advice need to both be vetted! What you believe is not being challenged. Our you blind? My opinions get challenged all the time out here. That comment his hilarious! But your belief like mine are not the only views to a subject. Our views are not subjective but rather objective if we have data to support them! One of us is right and one of us is wrong! :)

There are people and companies that are respected for giving advice in this industry that have no experience in the industry. And most of the advice they give if it relates to marketing and pricing strategy is probably bad advice or at the least not the best advice that could be given by someone with experience in our industry! And yet here we are with more than half a century of experience in the industry bumping heads. Steve you just dont get it. Stop being a politician. i dont care how many years you sold tanning beds I still think your wrong! Please stop taking things personal. Please stop judging my motives and accusing me of taking it personal. I dont take your penny ante gobblygook personal. I am a crusader! Again you should be and need to be vetted since you sell your knowledge!

I think you are doing great down in your corner of the country.

Tony I have known you since you got started in this business. Again good job. You do not need assistance. I agree salon operators today do not execute very well but a bigger problem is the lack of a business model that works today. I am sure you will agree that the business model you believe in 10. 20, or 30 years ago would fall flat today. Actually some people still use my old models and they still work. But they could so much better with a more current model! Change to keep up with todays consumer is what is needed. AMEN!

The salons that I restructure don't show small improvements they show huge improvements in maximizing income potential. I never said you couldnt help some of these people. Some are so bad that even better bad advice would be a great improvement and I believe you been around long enough that some good knowledge has stuck to you. I change my EFT model every single year based on living and breathing the front counters! This is critical to tweeking the EFT strategy! This is why we dont have down years! I am sure that with guidance from you, operators can also make changes. I believe in not under valuing tanning and you appear to believe the new age is to sell tanning at low prices requiring huge membership bases. I believe in growing the tanning base. Undervaluing? OMG! Who sets that standard Steve? There is room for any type of business model that works. Until a better model shows up :) I see a few salons selling tanning for $10 a month. I am anxious to see how that model survives. I been doing it for 15 years, get a clue dude lol! I see how it works in a fitness center setting when attached to the gym membership, handled as a secondary service, not convinced that it will work stand alone in all tanning salons. Nothing works in all tanning salons. Why even say that? Great ideas still need great execution! I think tanners want a higher level of customer service than is provided when tanning is a secondary service. Thats obvious!

Tony I started in the tanning business in 1979, it is safe to say that I also live, eat and breath tanning because that is what I have done for 35 years. I love this business and the people in it. I am still having fun. I am listening because I still learn new things every day. I have certainly changed strategies over the years because you have to in order to grow. I am listening to everything you say. Still not exactly sure what you are suggesting operators do.

I know when I take on a salon the price structure is only part of the changes that must be made. I just can't get my head around selling all of your tanning for $9.99 a month. I guess when I see large groups of salons generate substantial income with that business model I will have no choice but get on board. Unfortunately the most successful chains in the country do not use that model. Even those companies that you mentioned mentoring do not use your $9.99 model. Who other than you is doing this?

Steve your last comments shows just a tad of a lack of industry knowledge! Some of the big guys DO offer a $9.99! And if they didnt why would that be unfortunate?
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Old 03-02-2014, 08:35 PM   #23 (permalink)
 
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Re: Membership - MANY approaches...

Steve

I been thinking. Maybe i have been a little too hard on you. I am fairly certain that you can help some salon owners. Not sure how much but
its likely enough to make a difference. My standards are very very high and its probably not fair to hold you to my standards when helping other
salon owners! So with that being said I will cut you some slack, but you would be much wiser if your grasped the absolute relevance that photo-biology
plays in our industry!

Godspeed :)
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Old 03-03-2014, 06:21 AM   #24 (permalink)
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Re: Membership - MANY approaches...

Quote:
Originally Posted by Tony View Post
Poor Strategy....you need to collect money from people who are no longer tanning!
But Tony, you're missing the point here. I am going to collect money from people who are no longer tanning. They no longer tan because they have little to spend on stuff like tanning. For only $10-$20 they can get 10 sessions they wouldn't have bought at higher prices. Isn't quantity pricing, what you promote?
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Old 03-03-2014, 10:34 AM   #25 (permalink)
 
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Re: Membership - MANY approaches...

Quote:
Originally Posted by Tony View Post
Steve

I been thinking. Maybe i have been a little too hard on you. I am fairly certain that you can help some salon owners. Not sure how much but
its likely enough to make a difference. My standards are very very high and its probably not fair to hold you to my standards when helping other
salon owners! So with that being said I will cut you some slack, but you would be much wiser if your grasped the absolute relevance that photo-biology
plays in our industry!

Godspeed :)
Thank you Tony, I think it is also fair to say that a tanning salon that charges $9.95 a month because it must overcome the fact that it only has one model of equipment, a 200 watt booth is not a model that can draw from the entire tanning demographic. tanners want choices and the larger percentage of tanners prefer to use a bed. Hollywood Tan already tried the all booth model and they are now dropping like flies., the ones that remain have now added beds.

I think what I see with your chain is very professionally done and the model is built around stand up tanning. The things that make that work for you do not translate to a full services salon.

None of the large chains are following this model, in fact none of the chains that you mentored are using any resemblance of your model.

I train operators how to be successful drawing from the entire spectrum of tanners. tanning is already a niche business and creating a niche within a niche is a plan that at this point is only being used by ZoomTan.

The largest % of tanners prefer to tan on beds. while I personally prefer standing i am in the minority. There is a strong % off stand up tanners and they should not be ignored. I think salons should have a major presence of booths.

The most successful salon chains in the country are not even considering your business model.

Operators should be careful not to take to much advice unless they are planning on opening an all booth salon.

You are growing your company very quickly, that says a lot for you and your drive. Tanning started with booth only tanning and progressed way beyond that model.

It is probably realistic to say that only 25% of todays tanners prefer stand up tanning.

Your operation is obviously very efficient, with a small footprint, very short exposure times at an incredibly low price. However you can't draw from the entire tanning population.

By the way very nice You tube and TV spots.
I guess the reason you do not show your equipment on web sites is because if tanners see it is only booths they will not try your salon.

Also I called your customer service contact line and the girl I spoke to does not know the difference in high pressure and low pressure tanning. I told her I was coming to Tampa and wanted to tan while I was there. I asked if you had High Pressure equipment. She said all of our booths are High Pressure. I asked if she knows the difference in high pressure and low pressure lamps and she said no. When I explained it to her, she said you mean like the blue facial lamps on the beds I tan on.

One of the first thing I teach operators is the importance of having an educated staff. Since you can't call any of your salons directly and you must speak to a customer service rep they should know your product.

You said some of the big guys are offering $9.95 tanning, can you tell me who they are other than planet fitness that offers it as an add on to the fitness membership.
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Old 03-03-2014, 10:54 AM   #26 (permalink)
 
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Re: Membership - MANY approaches...

Quote:
Originally Posted by parrot head View Post
But Tony, you're missing the point here. I am going to collect money from people who are no longer tanning. They no longer tan because they have little to spend on stuff like tanning. For only $10-$20 they can get 10 sessions they wouldn't have bought at higher prices. Isn't quantity pricing, what you promote?
Tony is absolutely right, Selling sessions that don't expire only allows you to make money when your equipment is turned on. can you imagine a gym where you pay by the workout, they would not be in business for long. The point is to have a program that allows you to maximize your income potential. I believe that any type of package you sell must have a time stamp.
Weekly
Monthly
EFT
Sessions with an expiration
They all represent use within a time period.
this will always generate more income with the same number of tanners than a session or point package that has no expiration.

Obviously it must be properly presented and packaged.
As with Tony's $9.95 a month, it is a small enough amount that tanners are less likely to cancel no matter how little they may use it. Yes I still believe it is too little and it only lets you tan on one booth but it is better than a session package.
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Old 03-03-2014, 11:11 AM   #27 (permalink)
 
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Re: Membership - MANY approaches...

Quote:
Originally Posted by Steve Underhill View Post
Tony is absolutely right, Selling sessions that don't expire only allows you to make money when your equipment is turned on. can you imagine a gym where you pay by the workout, they would not be in business for long. The point is to have a program that allows you to maximize your income potential. I believe that any type of package you sell must have a time stamp.
Weekly
Monthly
EFT
Sessions with an expiration
They all represent use within a time period.
this will always generate more income with the same number of tanners than a session or point package that has no expiration.

Obviously it must be properly presented and packaged.
As with Tony's $9.95 a month, it is a small enough amount that tanners are less likely to cancel no matter how little they may use it. Yes I still believe it is too little and it only lets you tan on one booth but it is better than a session package.
It is sad when an industry is at a point that in order to make money, you have to design a model that is dependent upon people buying something that they don't use, then buying it over and over again.

The industry did not start this way. Why do you think that we are at this point now? Hmmmm..........
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Old 03-03-2014, 11:16 AM   #28 (permalink)
 
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Re: Membership - MANY approaches...

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Originally Posted by sunrisetan View Post
It's peaches way or nothing. "According to peach" so much rebuttal.
Its not "my way", just asking questions buddy. Got any answers.....I didn't think so. Haters never do.
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Old 03-03-2014, 11:21 AM   #29 (permalink)
 
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Re: Membership - MANY approaches...

Steve,
Tony has clearly said that his business "model" consists of getting people to give them their CC. period. Then he is playing the odds like in Vegas. A high % of these people will let him hit their card over and over without ever coming. When one stops it, he gets another chump to take his place. When you get 1000 chumps on the EFT, its cruising time....

This model isn't even about tanning. It is just a way to get people's CC info legally.
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Old 03-03-2014, 11:32 AM   #30 (permalink)
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Re: Membership - MANY approaches...

Doesn't Hollywood Tan have the same business model that for the most part isn't that success as far as stand ups only?
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