Editor: Deepa Bagga
Follow these tips and techniques to get started with a strong loyalty program for your salon. Convert every visitor to a repeat customer.
Picture this scene for a moment! A customer walks into your store, gets a hair service- spa and cut probably along with some smoothening, and walks out. What did you do? You just got them to pay the bill, and they thanked you for a wonderful treatment. At the checkout, they couldn’t stop appreciating their hair, and you knew you had a customer who felt good.
Instead of letting your customer go with a raving review, why not get them to come back again and again. This is what a strong loyalty program can do for you.
As a salon owner, you know customers keep needing salon services every now and then. How about engaging them with a program that rewards them for coming back. Yes, as a token of appreciation, you give them rewards that make them want to come back again!
Let’s take a quick look at how salons can enjoy with strong loyalty programs.
Top Benefits of a Loyalty Program
The question you are probably asking me and yourself is why you need a loyalty program.
1. Increased Retention
I just showed you how you can turn a regular visitor or a one-time visitor into a repeat customer. Yes, you show them the rewards they will get from joining the program, and you have one repeat customer that will bring more business to you.
2. Strengthens Brand Recall
As a salon owner, you want more people to recognize and visit your salons. This can happen only when you begin the program and start sending communication to the loyal customers. Every time they receive a communication from your business, they will connect better and your business will eventually be at the top of their minds
3. Better Salon Days
Every salon experiences a slow day. However, when you are running your loyalty program, you have a good base of loyal customers. You can engage them with messages that suggest them to come down on a slow day and get a discount/freebie. You have a data that you can use to engage better
4. Maximize Revenue
I know how crucial the bottom line is for businesses. It is no different for salons. So, what if I told you that the loyalty program can actually help boost the bottom line. With more people coming to the salon regularly, and increased redemption, you will notice an upward graph for the revenues.
Tips for a Winning Loyalty Program
#1 Integrate your POS
It is important you integrate your point-of-sale to automate collecting customer data into the program. You don’t want to add every single customer who has visited to your program manually.
With the automated capturing, you will get all the data that the customer provides at checkout. It will also help you know your customers better. For instance, the data will let you know what customers loved most, what kind of services they opt for on a regular basis, and what do they enjoy at your salon.
It will help you create the effective rewards for the program, and maximize participation.
#2 Add Interesting Reward Stages
As a salon owner, you might have to think through the rewards that will entice the customer. For instance, a free hair wash with hair cut or, even styling with hair cut can make them visit the salon for the hair cut. If you are going to take the basic troubles off their hair cut, they will enjoy the hair sessions more.
You could even offer a 10% discount on the services they take.
A tip that we generally offer is that you should go for 7-20% discount for the reward stages. This way it will stay profitable to you and the customers will find it valuable.
Make sure to add multiple stages so that customers accumulate the points and redeem the rewards. Basically, the whole thing should be fun and easy for the customers.
#3 Make Redemption Easy
One of the most difficult aspects related to a loyalty program is the redemption of the reward. Most people find the rewards to be unattainable or the process quite difficult. It makes them move away from the program.
You need to ensure that redeeming a reward is easy and accessible. Also, try and make the rewards as accessible and easy for the customers as possible. You don’t want to lose your customer because they couldn’t redeem the rewards.
#4 Educate your Staff
A loyalty program is successful only when everyone who is customer-facing understands the rewards program. Make sure the staff knows how the loyalty rewards program works. Ask them multiple questions like a customer would. It will help you know how much they understand.
You should also show them how they can redeem the rewards in the POS. Once you are sure the staff understands, you know the customers would know and understand the program too.
It is important to promote your loyalty program to the right people. The more you let customers know of the program, the more people will actually participate. Try and make the rewards as personalized and in sync with the customers as possible. This will increase repeat customers for your business too. A loyalty program is good only when the customers start participating and redeeming the rewards.