Top Marketing Ideas; a 10 part series: #4
Attain Retail Nirvana

May 26th, 2009 • Posted by Spa Kat • Permalink

goldenbuddha.jpgRetail is an important revenue stream for spas but it is often neglected. When spa products are displayed and maintained correctly they can become an important profit center for your business and build loyalty among customers.

Within the spa industry, product sales account for approximately 20% of total revenue per spa location. Using that figure as a barometer gives you sense of where your spa’s product sales stand when compared to the industry overall.

Retail products should be a driving force of your spa business. If a customer leaves your spa with product there is an increased chance they will return for more treatments. Keep existing customers coming back by establishing a successful retail presence in your spa.

Overcoming challenges to increase Spa Product Sales.

It is very important to understand why spa employees do not effectively sell product in your spa. Once the underlying issues are clear you can begin to build an organizational structure that supports effective selling strategies.

Common employee barriers to selling retail successfully:

  • A lack of product knowledge.
  • Employees feel like it is pushy to sell product to clients.
  • Employees are scared to sell.
  • They lack the selling skills they need to be successful.
  • They are frustrated with the process.
  • Spa leadership does not emphasize selling product so employees follow their lead and don’t sell product.

Overcoming Employee Selling Issues:

  • Employee Buy-In is Key

     
    I worked for many years in the specialty sporting goods retail industry. I once witnessed a hard-core bike tech become wide-eyed and riveted during a woman’s Bogner Skiwear training program. Later, I watched him sell a beautiful, feminine ski jacket to a very sophisticated woman. He was so effective because the training session gave him the tools he needed to sell the ski line and he was impressed with Bogner’s commitment to building quality products.

  • Knowledge is power.

     
    Give your employees the tools they need by partnering with product companies that have a strong training program. By giving employees the product information they need, it empowers them to pass it on to customers in a thoughtful and confident manner.

  • Structure Is Good.

     
    We can all thrive when we know what is expected of us and what will happen if we don’t meet those expectations. Developing retail structure for your employees will create a process that is clear-cut and eliminates the frustration and fear that comes with a fuzzy system. Create incentives, define selling as part of job requirements and establish guidelines for the staff.

  • Make it Accessible.

     
    Make sure employees can use the products that you sell. It’s common sense, the best way to recommend a product is from personal experience. Many product companies offer employee purchase programs with deep discounts on the entire product line.

  • Bring It Home.

     
    A satisfied spa customer is going to want to extend the results of their spa treatments as long as possible. They want information from an expert while they receive a treatment and product recommendations to maintain the results at home. Communicating the day-to-day benefits of the products should be an integral part of the treatment process.

  • Follow the Leader.

     
    It is important that staff see the leader selling products in the spa. Lead by example, set the bar high and show employees how to sell and how the retail product area should look and be maintained. In addition, designate a person who is responsible for inventory, product merchandising and training.

Selling retail successfully requires buy in from the staff. They need to believe in the products and know that it is important to you, the business owner. If you remove the barriers to selling you will see your retail business take off.


2 Responses...

  1. Janet Sanders says:

    Retail is so important and customers are sometimes begging to buy — we have to gently coax them in (for the meek) and sometimes load them up (for the "set me up" type). It's important to recognize the type of buyers… they are both important. Also, I have learned that people tend to look at shelves from a left to right perspective (like reading) — so placing important high margin items on the left is good. Colors are great — mixing cherry sugar scrubs with some expensive skincare products with blue packaging. It must look pleasing and inviting. I had my shelves too cluttered last summer and a customer recommended some changes — I totally took his advice and changed it up and of course we sold more! I try to change the shelving product location-wise at least once a month and change my desk (point of purchase displays) every other month. This way it looks fresh and I can highlight new items. I'm still learning. Keeping it fresh, encouraging employees to reach for that extra sale, informed receptionists, nicely designed displays — all add up to retail success!

  2. christy says:

    When I got into this business, I thought I couldn't sell. I definitely fell into the scared to sell category. Once I changed my mindset, I started seeing an increase in retail sales. It also helps to carry products you (and your staff if you have one) believe in and to speak from personal experience with the products.

    Clients coming to your business for skin care are looking for solutions to their skin concerns. Find the product that provides the solution, and you've made a sale. I never thought it could be this easy, but it is. Happy retailing everyone!

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