Why Small is Good
January 9th, 2009 • Posted by Spa Kat • Permalink
Large companies are like unwieldy beasts, unable to respond to customer needs in unique ways. There is tremendous advantage to being small and now is the time to make the most of it. Large companies just can’t respond the way you can.
Large retail competitors are busy right now; they are busy trying to liquidate their inventories and are looking to generate cash to get them through the year.
In an Inc.com's Retail Blog article Abercrombie & Fitch Holds Firm, Ted Hurlbut says,
For small businesses, spas and salons included, there is an incredible opportunity to take advantage and utilize an arsenal of tools at your disposal.
Think "flexibility" and respond to customers' needs while they are in the spa and after they leave. Take the time to listen to customers on a daily basis and find out what they are thinking and what they want when they come to your spa.
Alter the spa retail product mix quickly to meet demand. Watch your inventory on a daily basis and create incentives for employees to recommend and sell specific products each day.
Sharpen the staff’s customer service skills. You can win in this arena and leave your larger competitors in the dust.
Create a monthly open house for your best clients. Don’t reserve this type of event for the holidays. Have a pre-Valentine's Day Open House and make sure customers know exactly what they want and show them how their significant other can purchase instant gift certificates from your spa.
Address customer issues quickly and strive to make them happy.
Email your spa customers to keep in touch. They are more likely to respond to your emails because they know you personally. More…
Large companies do not always have the instant gift option on their website. Have a great website and promote it to existing customers as a way for them to have access to your products and treatments 24/7.
There is an incredible opportunity in the coming year to take advantage of your size. You may not be the biggest, but you can be the fastest, most agile and responsive to your customers on any given day.
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I agree with all your points. However I have noticed that clients are using the "economic crisis" advantageously. For example, if a client is reserved for 5 treatments and they do not show up or do not cancel prior to 48 hrs, we will charge a cancellation fee. I have had clients say, "How can you do that considering what is happening in the economy?" So there is a certain limit of how much we should go the extra mile, I believe policy still needs to be enforced.
We've had to be much more flexible too, but Penny is right — I think some people are using the "crisis" to take advantage of our willingness to make exceptions.
Hmmm… interesting. I haven't had that happen to me. Good to know that's something to look out for with clients in this environment. Everyone hang tough!
Small is good as you can create depth in your spa. We are reaching out to other businesses to cross market and stay strong. We have a relationship with a florist: we sell their flowers on holidays, they have our gift certificates, we can have our gift certificate delivered with flowers by them. We have increased our perceived value to our consumer. We are teamed up with a local vineyard and are having a wine tasting night. We have free classes on skin care, etc to be educational to our clients. We are having a Health and Wealth seminar. We work closely with local Inns to provide services at our location for packages. Think of your small business as the center of the wheel, and you can extend your spokes from there.
Yes, we are experiencing much the same. I think it certainly pays to be flexible with clients to a degree. At this point — anything to keep existing clients, right? Hope we all come out stronger on the other side.