Check out our latest article for American Spa! We discuss why a yearly marketing plan is much more effective for long-term revenue and client growth than flash sales, and how flash sales can actually do more damage than good.
Marketing is often the neglected child when it comes to running a business. Instead, spa owners or managers will opt for a flash sale, which only provides a temporary revenue bump. For long-term revenue and client growth, taking the time to build out a yearly marketing plan is much more effective.
First and foremost, a yearly marketing plan is an insurance plan against panic. No matter how hectic things become on the operations side of things, knowing that your marketing is on a set course will give you a sense of stability and take it off your list of things to worry about.
Marketing plans are the perfect way to tie in any and all promotions to holidays, seasons, and new product launches. Summers coming? Luckily your spa carries the newest skin protection and sun recovery products. It’s almost Father’s Day? Now’s a perfect time for clients to buy the dads in their lives a gift card for a men’s facial treatment. Whatever the holiday or season, chances are, you’ll be able to find a way to bring clients into the spa to buy services and the latest products for themselves and loved ones.
When you build out your marketing plan, you’ll have a budget attached for each initiative—it will include the cost of advertising, print materials, and any other collateral or products needed. This gives you a bird’s eye view of what you’re going to need to spend and eliminates any nasty last-minute budget surprises.
You’ll also be able to better track the effectiveness of each marketing initiative. For example, let’s say you run a promotion for Mother’s Day. At the end of the year, you’re going to want to look at how much you spent on the campaign and how much revenue it brought in. Was there something that didn’t really work? You can nix it from next year’s plan and put that money towards another campaign or experiment with another marketing initiative.
While it’s true that flash sales can sometimes give your spa a quick boost of cash, chances are you’re more likely to lose money. Even worse, flash sales train your clients to only wait for sales before they buy anything. Comprehensive marketing plans, however, educate your clients on the value of your services and products, and why they should incorporate both into their self-care routines on a regular basis instead of waiting for the next sale. With a yearly marketing plan that has multiple initiatives mapped out, revenue will come in at a steadier pace and you’ll be able to get a better sense of the revenue projections when you start planning for next year. If you still want to incentivize clients, it’s always better for your bottom line to go with a product add-on versus discounting your services.
Finally, marketing plans effectively increase your chances of bringing in new clients. Think back to the Father’s Day gift cards marketing initiative example. Gift cards are a great way to capture the recipient’s information so you’re able to market to them as well as your current clients. They’re also the best way to introduce those who are unfamiliar with your services to your spa. And if they enjoy their services, chances are they’ll not only be back, but they’ll also help spread the word about your spa. That alone does more for your revenue stream and client base than any flash sale could ever do.
(This article was first published on AmericanSpa.com on Sept. 13, 2018)
We'd love to hear from you about your most recent experience with a flash sale. Did you struggle to bring in new clients? Did you say a bump in your revenue? What was the decision behind having a flash sale? Let us know in the comments!