Wednesday, 25 September 2019 02:12

Money-Making Menus: Top Strategies for Naming, Pricing, and Add-Ons

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First impressions are always important and a spa menu is an opportunity to make an impact on potential clients from the get-go. When someone picks up the menu, that is the opportunity to provide all the enticing information they need to decide if the spa’s services are a match for them.

 

The overall design says a lot – from the materials used, to the design characteristics, to the names, prices, and treatments offered. If the menu is too long, too complicated, or reads like a novel, the client could be lost. There must be a balance of information and visuals to describe what each service entails or the client may move along to a place they already know or one that communicates more effectively.

 

Let’s break down the all the components of creating a spa menu.

 

TREATMENT NAMES

Deciding what to name treatments and services is one of the first steps in creating an effective menu. Using clever treatment names can help build brand identity and increase awareness for the spa, which will help increase client base and repeat business.

 

Here are a couple of things to keep in mind while choosing names for the spa.

 

First and foremost, it is important to consider who the target customers are going to be. If the spa caters primarily to women, then using words associated with beauty and antiaging are more likely to draw their attention. On the flip side, if there is a large male customer base, then use neutral words and focus on what the treatment actually entails, such as full-body exfoliation and a moisturizing facial.

 

Identify the type of service and purpose of the treatment. If the skin care professional wants a client to easily understand all of the service options available to them, add descriptors in the name that are indicative of what the client can expect. This can be done by adding actual words like cleansing, peel, or toning. Another good option would be to include key ingredients or the tools used, such as laser facial or sugar exfoliation.

 

Try using a bit of creative humor. Humorous names can be memorable and appealing to the clientele (like the way nail polishes now have fun names instead of just a number for the color). This creates a sense of fun that the client will remember and talk about to friends, family, and co-workers, helping to promote new business through word of mouth. Trending expressions or a play on words is also a clever way to build attraction for spa services. Laughter is a contagious and memorable tool for all advertising.

 

While a skin care professional might want to be as creative as possible with treatment names, title length is important. Simplicity is always good because, in today’s increasingly digital world, people want an easy booking experience. Nobody wants to see a treatment name that reads like a sentence. Instead, try to keep them between two or three words. If needed, use a couple of sentences to describe the service below the name on the menu. Remember, clients can be upsold on what they may not be familiar with once they are in the spa.

 

The spa menu should be representative of the brand image the spa wants to portray and the experience clients can expect during their visit. For example, if the spa has a natural, earthy vibe to it, use words that reflect this. Another option would be to use names that follow the overall philosophy or culture of the spa. If focusing more on health, use words such as purifying and detoxification for treatments. If the goal is to provide a relaxing experience, try words such as soothing and calming. By following these methods, a skin care professional can grow their brand identity and attract clients who are looking for specific spa experiences and are more likely to become repeat business.

 

With carefully chosen words, the client is seduced into wanting the treatment as they read the menu. This is the time to make an impact and set the tone for the brand identity, both of which will have lasting impacts on business success.

 

PRICING

One of the main reasons a person is going to look at a spa menu is because they want to find out how much a treatment is going to cost. For this reason, it is important not to beat around the bush when it comes to pricing. Be sure to label each treatment cost clearly and try not to leave any ambiguity about the cost.

 

In this day and age, calculating spa menu pricing can feel like a frustrating game while navigating different pricing structures and options, but it is a crucial part of the business. No spa wants to end up being the most expensive in their area but, at the same time, being too cheap might make a poor first impression. Make sure prices are ample enough to make a profit, while also simultaneously providing clients with a high-quality service for a reasonable price.

 

There is no perfect formula for deciding menu pricing, but here are a couple of questions to keep in mind when trying to calculate the appropriate prices for treatments and services.

 

What is the going rate for similar services in the area? Use this to position the spa accordingly – a bit higher, to create an image of professionalism and exclusivity, if desired, or the going rate, if the spa is more casual in style.

 

What are the product costs per treatment? Some manufacturers will provide this information upon request, but if this is not a readily available option, try making the cost calculations yourself.

 

What is the cost of overhead? This includes rent and utilities and any other recurring costs that relate to the upkeep of the business.

 

What are the labor costs? If providing higher wages or commission plans, the treatment and service prices will need to be high enough to account for this. Also, ask yourself what is your time worth? Then, calculate services down to the minute. For example, if you need to earn $65 an hour, your minute and hourly services should be priced to meet this.

 

Does the spa offer additional amenities? Having options for clients such as locker rooms, lounges, and showers affords premium prices.

 

What are the demographics of the target clients? Knowing where they like to shop and what they like to buy is a start, but also look into the average median income in the area, along with the average spending per household. These might sound a little technical, but knowing the answers can be a great resource in helping determine pricing.

 

Beyond these factors, a crucial component of figuring out pricing structure is knowing how clients perceive the overall value of what the spa has to offer them. Are services in high demand with limited competition in the area? If so, try to capitalize on this. Be aware that potential clients will evaluate based on more than just treatment results. Customer service reputation, brand identity, and brand awareness all play a role in determining the intangible value of the spa. This will have an impact on the prices you’re able to charge and the willingness of clients to pay that price.

 

TIPS FOR SETTING OR CHANGING SPA PRICES

To quickly drive in business to a new spa, an advertised introductory price can be offered, but specified for a limited time only. This creates a sense of urgency for the potential new clients to take advantage of this offer before it expires. After the first treatment or within that limited time, it is up to the spa to retain the client at the regular price by offering exceptional customer service and occasional incentives to try new, additional services.

 

Get rid of discounts and stop shorting your worth. Try limiting promotional offers to certain times or days of the week. Too many deals can add up to big losses. To keep track, total up what is discounted the previous week or month to see what is being lost.

 

On the subject of coupons, Groupons, and other discounts, a word of advice – don’t. Once a service is discounted, it is devalued, and it is very difficult to climb back up. Do not market to the deal-chasers because most are not loyal and will move on to the next best deal without thinking twice, so do not waste the time or money.

 

When you feel like you are at capacity and have hit the ceiling on profit growth, it is time for a price increase. By raising prices 10%, for example, a skin care professional can afford to lose 10% of their clientele without losing income, and now there is availability in the schedule to book clients at the increased rate, increasing the bottom line without working longer days.

 

Keep inflation in mind and reset pricing on a regular basis (yearly or seasonally, for example) to adjust to any changes in overhead.

 

Be sure to test prices before deciding on final price point and make sure to keep in mind a profit margin to keep the spa operating in slow times. If planning on making any price increases, remember to let current clients know in advance and explain why things are changing.

 

CREATING ADD-ON SERVICES

No matter what economic bracket they may be in, everyone loves a bargain. Creating packages of related services and specifying the savings details for them entices the client to book more than their original intention, simply because of the savings involved. Now, more than ever, women have more disposable income and are increasingly interested in pampering themselves often.

 

Questions to Consider

  • How are you going to accommodate the add-on services? Before making a list of potential add-on options, figure out how to make them available.
  • Will there be a time limit for each service?
  • Can clients book add-on services online?
  • How many add-ons are workable into a service?
  • How are add-ons paid to the aesthetician? Or are they paid to the person who booked them, such as the receptionist? Or are they split?
  • Which add-on services are available with each aesthetician? For example, what if a client adds an eyebrow wax or sugar and that aesthetician does not provide that service? Will add-ons be available with all providers?
  • If a client wants to add on a service at the time of their appointment (the add-on is not pre-booked), can another aesthetician provide the add-on if the person they booked with is not available?

 

Add-on Services to Incorporate Now

No matter if you are a skin care professional, massage therapist, or hair removal practitioner, here are ideas for easy add-on services you can begin offering:

  • Facial, hand, or foot treatments such as masks, scrubs, or massages
  • Hair removal for smaller body parts such as upper lip, eyebrows, and chin
  • Body treatments such as scrubs or mud wraps
  • Sound treatments
  • Aromatherapy

 

When recommending an add-on service to a client, be sure to educate them on the benefits and only recommend those that make sense for whatever treatment the client is already receiving. Do not come across as simply trying to make more money, but rather, as being helpful for solving the needs and desires of the client.

 

Promoting Add-On Services

Just because add-ons are available does not mean clients will automatically start including them when booking their treatments. Here are some recommendations for successfully integrating new add-ons:

  • Most services can be created into an add-on with an attached discounted price for upselling
  • Offer additional services to clients or add extra time to the appointment during the scheduling process
  • Politely ask clients about what has been going on with their skin or body and create a custom add-on service to address any problems or concerns
  • Give clients the option to tweak their service or treatment with unique or more expensive tools, thereby increasing the sale
  • Create seasonal add-on services that run for a limited time only
  • If running a new treatment or service, offer a demo of it to clients and show them dedication to providing the most up-to-date services and trends

 

Do not forget that add-on services are also a great way to boost sales revenue by having clients try out new products. They also present an opportunity to promote the additional classes and education that you have attended to maintain your certification. Take a real close look at what is on the spa menu, check out what can still be added to increase the spa menu profile (your investment), and start investing in anything that will help further satisfy clients.

 

The missing, and perhaps most important, link to combining all the information above is the skin care professional. You know what can be offered to clients and what type of experience they will have every time they visit. Package thoughts together in a clear and inviting manner to create a spa menu that is enticing and memorable. Remember that the spa menu is representative of the brand and taking shortcuts on the presentation could have more negative impacts on the business. Ask for help if needed, take time working out all the details, and present clients with a menu to be proud of.

 

2019 Lina HeadshotLina Kennedy is the president and CEO of Alexandria Professional, a worldwide leader in body sugaring epilation. Kennedy is the pioneer of professional body sugaring and master trainer of professionals and distributors in more than 32 countries. As a beauty industry innovator, Kennedy has developed a full line of all-natural skin care products and treatments that are safe and effective for all hair and skin types. Kennedy is dedicated to ensuring that each professional trained in body sugaring learns and understands the exceptional results they and their clients can achieve through the Kennedy Theory. She is a motivational speaker, the author of numerous articles in beauty trade magazines, and is a multi-patent holder.

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