In our Friday Quick Win Tips and Tricks Series Julie will share the best tips and tricks from her 28+ years in the spa, hospitality and wellness industry. Not to mention, she keeps learning every day and so should you!
These Quick Wins are designed to be short bursts of impactful, inspirational and sometimes thought provoking information with real takeaways you can easily integrate into your life and business.
In this weeks Quick Win let's chat about the Top 4 Most Common Mistakes I see spa owners make and how to avoid them.
SPAHIVE FB COMMUNITY:
https://www.facebook.com/groups/TheSpaHive/
SPAHIVE BY JMPANKEY INSTAGRAM: https://www.instagram.com/jmpankey
Welcome to the SpaHive Friday quick tips series. You give me 10 minutes of your time and I'll give you quick wins that are designed to make an impact in your business and your life. Let's stick into real tools, proven to work and pitfalls to avoid. Hi there. Thank you so much for clicking through I'm Julie Pankey.
[00:00:36] And in this quick, less than 15-minute training, I'm going to share with you the four most common mistakes people make in the spa, wellness and hospitality business, and how you can avoid them. I'm known as the seven-figure spot consultant. Because I help businesses exclude their bottom line and reach their goals.
[00:01:03] I have been helping spa hospitality and wellness businesses for over 28 years. And I have taken every experience, added it to my toolkit so I can use the very best strategies to help you too. Would you like to instantly increase your bottom line by 20%? I will show you how. And much more. This quick training is for people that are serious about improving their spa or wellness business.
[00:01:39] If you want to take your business forward with coaching, mentorship and a true action plan. This is for you. If you're not in the spa wellness or hospitality business or are not ready to take immediate action to grow your business and your life, this training may not be right for you. Before I jump into our training.
[00:02:07] Let me tell you about a spa that I recently worked with. That sold more retail while closed and offering modified services in 2020 than in 2019. That's right. They took my tips of doing virtual. Facial events and selling retail products seriously and finished 2020, only 30% down from 2019. Imagine if you could make 20% more money in 2021 than you did in 2019, what would that feel like?
[00:02:47] What would that enable you to do for yourself? And your business. I know 2020 was a challenge for us all. Some days it was hard to keep going with your business. Because it felt like everything was stacked against you. I don't know about you, but I often felt like I was going in alone. What if you had a coach, a mentor, a consultant, and the community by your side, cheering for you all along the way and giving you tools to help you crush your goals in 2021.
[00:03:27] Okay. So let's jump into our training. Here are the four most common mistakes I see people make in their spawn wellness business.
[00:03:37] One, not understanding the financial piece of your business. This includes a compensation model that allows you to make money, a budget for monthly expenses and a PNL that you actually use as a roadmap for success in your business.
[00:03:58] Do you have these items in place? You should be able to quickly answer. What is your cost per treatment? How much money do you have tied up on shelves? That's not working for you. Are you paying for tipping for your professional and retail products? I talked to businesses every day that make 30 cents on the dollar.
[00:04:23] Is your business a hobby or a revenue generating machine? Don't go to sleep at night, worried about if your business can survive another closure, or if your job may be eliminated. The next time a big global speed bump comes our way. The easiest way to figure this out is by putting processes in place that will hold you and your team financially accountable.
[00:04:55] Show me your financials and I will show you the opportunities.
[00:05:01] Number two, not making the sale of retail a priority. Did you know your largest profit margin is in your retail sales? If your average ticket price is a hundred dollars, for example, how much are you selling in retail? My goal for you is a minimum of 30%.
[00:05:24] So that means for every hundred dollars of service. You're selling $30 in retail. Anything less than this, you're leaving money on the table. Your clients want you to sell to them. They want you to educate them on what is important to them, and then sell them a solution. If you're not recommending a product to every client that walks through your doors, you're not offering a complete service.
[00:05:56] Do you go to the doctor when you're feeling unwell and when he offers you a solution saying, no, thanks, doc. I'd rather stay sick. You're the expert in your field. Recommending home care is critical to client satisfaction and the bottom-line success of your business. Want to know my secret to getting everyone on your team, to sell more retail, have them select just one retail product that they love more than anything else that would work for 90% of their clients, then just focus on selling that one retail product to everyone.
[00:06:41] Chances are the cost is more than $30. They love it. They believe in it and we'll sell it. Already know the importance of selling retail, but your team just won't do it. We tell sales must be a requirement of the job. This leads me into my third, most common mistake.
[00:07:06] Number three, not having set goals for the business and for each team member.
[00:07:14] So often I talk to businesses that have no set goals. Or if they do have set goals, there are no metrics in place to ensure that they're being met or exceeded. It's nearly impossible to achieve your goals. If they're not written down and communicated with everyone, if we were working together, I would encourage you to set smart goals.
[00:07:41] Which means each goal is specific, measurable, attainable, relevant, and timely. The trick to achieving goals is to break them down into bite-size pieces. Bite-size goals, communicate them to the team every single day, celebrate the successes and offer encouragement to those, not meeting their goals. Now is the time.
[00:08:12] If you have not had retail sales schools in place before to launch a new retail sales program with specific goals and incentives to achieve these goals, offer an enhanced product training. So everyone is on the same page and clear on their goals and your expectations. Schedule a daily standup to get everyone on the same page, encourage them on a daily basis.
[00:08:44] As you're close to reaching that daily goal, praise them and create excitement about achieving them. Just a hundred more dollars to go. Woo. Who's going to hit that goal first then as a surprise, periodically throw in an extra incentive. The first person to close this goal will get a Starbucks gift card.
[00:09:08] It doesn't have to be a monumental prize. People want to have fun and a little competition is good for the soul. Always make it a fun experience. Remember. Communication though, is the key. Be sure to schedule quarterly one-on-ones to sit with each person. So, everyone feels listened to valued and encouraged.
[00:09:35] Not to mention some people may need a little extra coaching, and if you're a solo practitioner without a team, you need someone to hold you accountable.
[00:09:47] Tip number four. The one last thing I want to talk to you about today is not leveraging your vendor partnerships. Your vendors are there to help you succeed.
[00:10:01] Oftentimes they can help you create promotions, incentives, and assist with training, goal, setting and accountability. You don't have to go it alone. Let your vendor partners be your partner for success. Don't be afraid to ask why would they help me run my business? You might be asking yourself because the success of your business.
[00:10:31] Means the success of their business. And they're in spas all over the world. Every single day, they know best practices what's working and what's not working. Trust me. They're there to help ensure your success. And if you have a vendor, that's not, you need to have a heart to heart. Or find ones that are
[00:10:59] so let's recap, the most common mistakes I see stars make are one, not understanding the financials that drive a successful business two not making retail sales a priority, three, not having set goals for yourself and your team four not leveraging your vendor partnerships.
[00:11:28] So you now have two choices you can exit here. Check out our free online community, head on over to Facebook and search spa hive spot professionals, community, and join us for free or head on over to Instagram and visit me at jam pinky for more tip’s trips. And inspirations, or if you're serious about taking action, schedule a free discovery call with me today, Julie, the seven-figure spa coach.
[00:12:04] So I can learn more about your business and goals. Tell you about how I and our SpaHive VIP can help you join our no risk VIP community for just $49 a month. And work with me one-on-one as well as be part of the industry's only online elite professional business community designed specifically for the spa, wellness and hospitality industry.
[00:12:36] Are you looking to make a big impact in 2021? Let me and the SpaHive VIP be your secret weapon.
[00:12:48] Thanks for joining us today. Be sure to check out our new episodes each Monday and our quick tips series every Friday. In the meantime, if you'd like to connect with us, join our free online spot community.
[00:13:06] Head on over to Facebook search spa hive, professional community, and join me our spa. Board and over 500 others spa wellness and hospitality professionals there.