Wednesday, June 22, 2011

Increasing Spa Profits

We are all trying to be more profitable, the trick is knowing how to do that! In the June 2011 Pulse issue there is a great article called "Your Path to Profitability" that sheds some insight on how to increase your spa's revenue. To read the full article visit experienceispa.com
Here are some of the suggestions to help increase your spa's profits:
  • Menu - Engineering: Tweaking the spa menu in order to maximize profits by nudging the customer towards the most profitable services on the menu. One way to accomplish this by not pressuring the clients is to list the most profitable services first on the menu. They will subconsciously be drawn towards those services by thinking they are the most popular or the best. The first step in this concept is to know which treatments are the most profitable. ResortSuite is one of the available softwares that can crunch the numbers for you and assist in the management of the business side of the spa.
  • Know your Clientele: If your spa clientele is primarily travelers and vacationers, they go to the spa to find an escape. They look for treatments they can't get anywhere else; ones that are more elaborate and unique. Having a custom scent or product is a great way to make your spa one-of-a-kind. The client will be more incline to purchase retail products if they know that can't get it at there local spa. However, if the clients are mainly locals and repeat customers, they need monthly or weekly maintenance type services. Seasonal scents and services are also great for loyal clients; it creates a new experience with each visit. Simple adjustments to the spa menu according to the clientele type, can greatly increase profits
  • Simplify: When there are too many options, people start to shut down. Offer a reasonable amount of services that cater towards your clients. "Often, the path to profitability is not based on quantity, but quality." - "Your Path to Profitablilty"