Getting your spa staff to sell retail has been in the Top 3 spa business challenges category for decades! But somehow, we think our low involvement still warrants high expectations…….what?? With your dedication, these 5 systems to Robust Retail will provide you with a measurable, impressive payoff.
1. Discover: Use Your Good Sense(s) to Identify Influencing Factors
Who: Staff – who’s (not) selling? Clients – who’s (not) buying? Rank both
What: Your top tier retail items are: Most # of units sold + highest unit price + highest unit $ & % gross margin
When: Know your peak retail sales times: Daily, weekly, monthly and annual seasonality
Where: Identify where your current retail initiatives are working/not working
Why: Why are they working/not working? (Mature offering? Price? Under exposure? Training?)
2. Analyze Staff Statistics and Client Tiers
Staff Stats: Begin to study and capture weekly/monthly staff retail KPIs from your spa software program. For example, each staff members retail sales per hour; retail to service ratio; retail success on booked appointments; average retail ticket price; # of retail units per client transaction, etc.
Client Analysis: Investigate who’s buying. a) Lock in top tier “active/life-long” clients, with retention programs; b) Bump up mid tier “occasional” clients to top tier, with incentives; c) Build interest with bottom tier “non-committal” clients to mid tier, with education (and freebies!).
3. Design Training & Support Reward Systems for This New Retail Initiative
—–Make available 3 levels of staff training programs: mandatory, optional, and authorized extras.
—–Insert product and service allotments into your staff compensation plan as a quarterly bonus incentive, based on staff tiers. This better encourages staff to experience a wider range of products than discounting does, and you’ll know exactly what your in-house annual retail and service training costs will be
—–Develop Staff Tally Sheets to be used daily by staff for minute by minute self goal setting and monitoring
—–Be “success sensitive” and plan to continually monitor and minimize potential staff animosity/competition by choosing sliding scale commission; discretionary disclosure of staff stats; conducting mostly one-on-one staff recognition with well placed public staff recognition; resolve to staying flexible when you see upward or downward swings with your staff stats.
4. Launch Your “At a Glance” Reporting System Program
—–Turn your staff stat findings into a customized spreadsheet report with columns for each KPI you wish to monitor; and rows for each staff member in each department
—–Share the influencing factors mentioned above with your staff so they understand the need for more robust retail
—–Introduce each staff member to the new personal reporting system program:
—–Reveal each employee’s current results; set new goals for each (Independents N/A)
—–Introduce the new Staff Tally Sheet and Retail training and support reward systems
—–Did you achieve staff buy-in?
5. Monitor Your Management Style
Robust retail requires that staff understand the importance of their efforts in growing this vital second revenue stream; and the relationship between their results and rewards. You must make staff feel clarity and confidence; proud and professional; recognized and appreciated! How are YOU doing?
Today’s takeaway: Do more of what’s working, and less of what isn’t.