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When is discounting your beauty service right for your Spa or Salon?

Discounting and lower your prices, also lowers your brands value as well as effects your profitability - so, when you make a decision to cut a price, be sure you are doing it for a reason that makes sense for your business.

When you are first building your business, it is very common to offer deals, special rates and referral rewards on your hair removal or skin rejuvenation treatments - because building a client base is the most important job you have when just starting out - but, all of these initiatives have a common goal of growing your customer base. But, when does this become a negative outcome? When you have a larger customer base - it becomes more important not to undermine you skill or service value by offering lowered rates too often. Sure there are great seasonal opportunities to have a special in which to bring new clients and increase your brand awareness, just be careful not to do it so often your customers all begin asking for cut rates, all the time.

Planning a discount program, like offering a lowered price to customers that are willing to purchase a package deal - at that moment - is a great way to increase your customers spend as well as your cash flow. Bundling various services, products or treatments also offers your customers an opportunity to experience new services that they may have not previously considered.

Referral discounts are also a fantastic way to grow business as each new client is potentially worth thousands of dollars - and can also refer your business to their network of friends and family, thus growing your brands recognition.

What about Groupon and other discount sites?

There are two primary reasons to use Groupon and other similar sites; One reason is to build your brand awareness and expose your business to a much larger target audience. The second reason is to add new customers to your business that might otherwise have never known about you. A third reason to use these sites is to clear out inventory of stock you may have that you can't sell.

Some of the cons of working with these sites; Typically, these sites charge fees to place your ads and in some cases they may be high in comparison to the discount you choose to offer. Another risk is the lack of loyalty of the customers these sites attract. Often customers that come through a Groupon/discount site may only visit your salon or spa once - or always ask for a special deal if they are price motivated.

Developing an effective marketing campaign is a great way to grow your business.


If you want to learn more about the Dermalase IPL - the lowest priced, Health Canada approved IPL Laser Hair Removal and Skin Rejuvenation device manufactured and serviced right here in Canada, including training and certification - just give us a call at 604-788-3413 to book your FREE demonstration.

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