Book Your C.H.A.I.R. Solid to a 6-Figure Business Telesminar. October 2011

Size: px
Start display at page:

Download "Book Your C.H.A.I.R. Solid to a 6-Figure Business Telesminar. October 2011"

Transcription

1 Book Your C.H.A.I.R. Solid to a 6-Figure Business Telesminar October 2011

2 Ready to Break 6-Figures and Beyond? 2

3 Book Your C.H.A.I.R. Solid to a 6 Figure Business Course Overview Module 1: Setting Clear Goals Setting clear goals helps identify early warning signs Module 2 Happy Clients Build your marketing around what YOUR clients value and drive cash flow for your business Module 3: Influence Beyond the Salon Wow current and potential clients by making the most out of online & offline opportunities Module 4: Review Your Plan Prioritize your ideas and create a written plan that reflect your goals 3

4 In this call, we will cover Get clearer on what makes YOU and your business special Understand how to evaluate your own past projects Develop specific goals for your business over the next 6 to 12 months 4

5 Understanding YOU first Source: 5

6 "I have no significant competitors but myself." - Dan Kennedy 6

7 Make it or Break it Management skills Success Factors Effective cash flow management Niche Strategy Pre ownership experience Education Delegation Simple org. Structure Causes of Failure Lack of experience Lack of accounting skills Cash flow problem Lack of marketing skills Lack of education Lack of strategic planning Source: Journal of Small Business & Entrepreneurship 7

8 Strategies to lead in your market Focus Differentiation Cost leadership 8

9 Differentiation strategy Salon Vox is Ann Arbor s premier destination for worldclass hair, color, makeup and extension services. Our team of skilled professionals takes pride in passionately providing you with the quality service and experience that you deserve. 9

10 Focus strategy Through the art of hair, make-up, fashion and photography, we aim to instill confidence, and inspire self love by addressing, enhancing, accentuating and then capturing women's beauty on the outside, while promoting natural, organic and health conscious products, techniques and lifestyle. 10

11 Cost strategy example It is our mission of The Weave Shop to provide quality hair care services at an affordable price, while providing good paying jobs to our employees and enhancing the communities we service. 11

12 Differentiation strategy At Hair Cuttery, our vision is to be a company of happy people. And we believe that when our Associates are happy, our clients are delighted. 12

13 Which strategy makes the most sense for me? Source: 13

14 What is a strategy? Result Big picture idea Goal: Increase sales by 20% each month Strategy: Add services for natural hair clients Action plan Tactics: Participate or sponsor a Natural hair meet-up 14

15 What makes a marketing strategy good? A realistic assessment of businesses strengths and weaknesses Clear understanding of your market Thought through the implication on your operations 15

16 Assess your biggest challenges Average sale per client You are typically booked, but you are not able to meet target monthly sales goals Your costs of services have changed (rent, products, etc.) Some services are lagging in volume You don t have a specialist on staff to perform in-demand services You have a large inventory of retail products on your shelves Existing Clients You lost a number of regular clients in the last 6 months Your clients are booking appointments less frequently You face strong competition by rival salons in your area Clients spend per visit has decreased Client satisfaction has declined New clients You have regular slow days Client base is not large enough to meet financial goals Salon neighborhood has changed Salon location has changed You do not have enough client referrals to meet sales goals You want to attract new clients that are different than the majority of your existing clientele 16

17 Examples of Possible Strategies Add new services/retail products Refocus on core set of services (discontinue lagging services) Target new demographic (i.e. men) Add more assistants to improve wait time Improve level of service for top 10% of clients Create a tiered pricing approach 17

18 Evaluate your past projects Source: 18

19 Questions to ask yourself for each strategy How much sales did it generate? Did the strategy have other positive benefits in terms of relationships, operational improvements, or branding? Did you feel strategy was consistent with your brand/mission? Did you give it enough time to measure success? Afterward, did you think to things that you could have done better? Do you want to do it again or continue? 19

20 Example: Launched Keratin Treatment Services? Summary Launched new higher-priced product in order to increase avg spend per client and add new offering Launched promotion after negative press related to Brazilian Blowout 20

21 Example: Launched Keratin Treatment Services B+ Report Card Missed sales goal: Generated $1,000 below new service goal in 1 st month Bad timing: Launched promotion after negative press related to Brazilian Blowout Client interest high: Clients asked a lot of questions Product/service fit with brand: You picked a low formaldehyde line Target market: May be more demand from potential vs. current clients Generated increase in web traffic related to promotion Sales in other services increased by $500 Verdict: Keep promoting service. Use service to attract new clients 21

22 Get disciplined to set measurable goals 22

23 How do your key metric goals translate into sales Base active clients 200 Avg visits per month times per year Total Visits in 1st Month 117 Avg service sale per visit $ 60 Avg retail sale per visit $ 10 Client % retention per month 80% New client growth per month 15% 30 per month New client retention 33% Sales per year = $ 119,781 Retained Client $ 78,400 New Client revenue $ 41,381 23

24 What does an improvement mean to your bottom line? Sales per year = $ 119,781 Value 5% improvement in retention $ 9,800 Value of $10 increase in service ticket $ 17,112 Value of 1 more visit per year $ 17,112 24

25 Consider how you can track other metrics Average days between clients appointments Bookings of specific service Customer referrals Campaign tracking s-opened Phone inquiries Website traffic Coupons redeemed Embrace Technology to track results! 25

26 Daily goal setting: Gratitude journal Gratitude: What do I have gratitude for today? Opportunity: What opportunities do I have in my life that I am looking forward to? Did: What did I do today (or yesterday) that gave me a sense of accomplishment? Do: What will I do tomorrow (or today) that is important? Appreciate: Who in my life do I have appreciation for today? 26

27 Module 1 Homework Write out or revisit your mission statement Evaluate your top strategies to-date Create 3 new goals based on analyzing your revenue numbers with the Excel model 27

28 Preview of Module 2- Happy Clients How & when to survey clients for useful information to make better operation decisions How to develop a possible list of strategies based on your current clients How to communicate more effectively with your clients to implement your strategies 28