May 14, 2025 • 20 mins
Tired of the endless hustle for new salon clients? This game-changing episode reveals why your existing clients are actually your greatest untapped resource for building predictable, sustainable income.
We break down the shocking math behind client acquisition that most salon owners never consider. When you calculate that acquiring each new client can cost around $145 (factoring in marketing and overhead), it becomes clear why focusing solely on new faces is a losing strategy. If that client spends $100 and never returns, you've lost money—period.
Discover the three critical mistakes most salon owners make: neglecting existing clients, missing early warning signs when clients start to fade away, and accepting client loss as inevitable when it's often preventable. We share practical systems to address each mistake, including our Client Rescue System that can dramatically improve retention rates.
Learn why top companies like Disney maintain a 70% new client retention rate (compared to the industry average of 24-25%) and how to apply those same principles to your salon. We break down six specific strategies for building sustainable salon wealth, from increasing transaction value to creating effective referral systems that turn happy clients into your best marketers.
With 60 salons competing for every Starbucks in America, standing out requires more than just technical skill or trendy services. The difference between struggling and thriving salons isn't luck—it's having intentional systems for retention, referrals, and relationship-building.
Ready to transform your approach and create the kind of salon clients never want to leave? Listen now and start implementing these proven strategies that replace hustle with systems and hope with predictable income.
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:03):
salon owners.
Let me ask you something howmuch time are you spending
chasing new clients, postingreels, running promotions,
crafting offers for first timeguests?
Now let me ask you this howmuch time are you spending
making sure the clients youalready have are coming back?
(00:27):
If the answer is not enough,this episode is going to be just
for you.
Speaker 2 (00:35):
I love it, you know, because today we're flipping the
script and talking about howretention and referrals are the
real way to create predictableincome inside of your salon.
So let's talk about the truthwhen it comes to income
uncertainty, because incomeuncertainty is that anxious
(00:59):
feeling when you're not sure ifyou'll hit your numbers and be
profitable.
So you're just hoping thatclients rebook, you know.
You're hoping that retail sellsand you're hoping new clients
show up as well.
But let's be honest, you knowhope is not a strategy.
(01:19):
So let's get you out ofsurvival mode and into systems
work.
Speaker 1 (01:26):
Yeah, awesome, I love that.
Hope is not a strategy.
Strategy that is so good.
So let's first we have to diveinto the real cost of what it
takes to acquire a new client.
So we're going to get a littlemathy on you, um, so you might
want to get some pen and paperfor this.
You can stop it Once you listento the recording, go back and
listen to it again, becauseyou're really going to want to
(01:47):
understand this number.
It can help transform the wayyou do business.
So this is just going to be ascenario of a salon example.
So let's say, for example, yoursalon spends $2,000 a month on
advertising.
So this can be Facebook ads,this can be Google ads, any kind
of advertising or marketing.
In this example, your salonspends $2,000.
(02:09):
Your overhead is $100,000.
We're going to say that in thisinstance, you bring in a
hundred new clients a month withan average ticket of a hundred
dollars, so that's $10,000 innew client revenue.
We did a hundred times ahundred.
That's how we got 10,000.
So also in this scenario, we'resaying that new clients are
(02:32):
responsible for about 12.5% ofyour revenue, so they also
account for 12.5% of youroverhead, or 12,500.
Because, remember, we said ouroverhead was $100,000.
So if you add in your ad spendand you're spending $14,500 to
bring in a hundred clients, thatactually equals to $145 per new
(02:58):
client.
Let me say that again, that's$145 per new client.
So if that guest doesn't everreturn like you lose money.
You lost money even if theypaid you for the service or even
if that client only spends ahundred dollars.
You definitely lost money,especially if they never return.
Speaker 2 (03:23):
That is so good, you know, and really the way that we
came up with that 12.5% waswhen you take that 100,000 or
sorry, you take that, you know,genuine over the average ticket
was a hundred dollars.
You saw a hundred new guests,that equals $10,000 in client
revenue.
So we added in also that adspend and then that's how you
figure out that percentage, toknow how much they're
(03:45):
responsible for in your revenue.
And you might also be thinking,gosh, you know, um, hey, uh, I,
this is really great mathy,math that you guys just shared
with us.
Um, and it truly is like whenyou start to get this and you
realize like, oh, my goodness,if they're not spending $145,
(04:06):
then we lost money, it makes yourealize like, yes, we
absolutely need new guests.
But the most important part,you guys, is this next part,
which is the mistakes that mostsalon owners make, and that is
mistake Number one is focusingonly on those new clients, you
(04:26):
know, because the returningclients are your gold mine, you
know.
So let's talk about you know,what are some action steps that
you can take if you're makingmistake number one, which is
only focusing on new guests,guests, um, you know, let's
really dote on those returningclients.
Let's delight them.
Write them a thank you card,add a surprise treatment for
them.
You know, let's really dote onthose returning clients.
Let's delight them.
Write them a thank you card,add a surprise treatment for
(04:48):
them.
You know, really just show themthat you care.
Mistake number two that mostsalon owners make is missing the
signs when someone is fadingaway.
You know, because usuallysomebody just doesn't go see you
right away, and if they haven'trebooked or bought retail or
responded to any messages oranything that you've sent them,
(05:10):
that's a yellow flag, you know.
So I pulled a report after Istepped away from behind the
chair and what was shocking tosee, jen and I had very similar
situations happen.
You know where that sevenguests I'd loved hadn't been in
for 10 plus weeks, you know.
So immediately got on the phone, called them, you know, sent
(05:34):
them handwritten notes.
What was really cool is thatfour came back.
One of them moved, one had gonesomewhere else, but she ended
up rebooking with us againbecause we cared enough to
notice.
And so that is a huge thing.
When you start to pay attentionto that, um, you can prevent
that mistake from happening.
(05:56):
And you know, mistake numberthree is thinking client loss is
normal, because some is, butpretty much all or most quite a
bit is preventable.
Speaker 1 (06:09):
Yeah, yes, I love that.
And so when you when Lindsaywas saying, most is preventable
like you have to think aboutcreating that client rescue
system, that CRS we like to callit.
You know, this is when youcould send a you've been missed
card.
Ignore you, um, you add alittle bump in the envelope.
(06:34):
It could be a chocolate if itwas mother's day, or, you know,
a 20% off a retail item, itcould be anything just to make
that connection to them and letthem know hey, we, we see you,
we hear you, we want you to comeback in, um, so that you know
you want to build that customerservice culture.
Like, if you think aboutDisney's, for example, like
every cast member and Lindsaysaid this the other day, she's
(06:56):
like I love that they call themcast members because they truly
know what their position is.
So if you're thinking aboutDisney, like every cast member
starts with, like Disneytraditions, and so that's a
class where they learn how thatDisney's real products aren't
roller coasters, they'reactually about creating
happiness for guests.
(07:16):
It's about making people feelspecial.
And so same thing at our salons.
Like your salon, your realproduct isn't the haircut or the
lashes or the color.
It's actually creatingconfidence for clients, it's
creating renewal, it's creatingbelonging, and you're not just
selling services, you get tosell that transformation, and so
(07:37):
when you're thinking aboutclient loss, you've got to have
that customer service trainingto prevent breaks in the system,
so that your team truly knowshow to use the systems and how
to look for opportunities tocontinue to elevate your
experience.
Speaker 2 (07:59):
Yes, and Jen, my audio and video cut out for just
a second, so I don't know ifyou can see and hear me Okay.
But you know, hey, stuff likethat happens inside of the salon
.
Can you see and hear me Okay?
Speaker 1 (08:11):
I can, I can.
You're back better than ever.
Speaker 2 (08:15):
Awesome, um.
Yeah, so you know, it's amazinghow many, how often we just
don't even realize that this isgoing on for us inside of the
salon.
You know, and um, I think whenyou start to build that culture,
like you were just talkingabout um, and you start to ask
(08:36):
you know, um, I think it startsto make a huge difference in
what you see for sure.
Speaker 1 (08:44):
That's so true.
Uh, someone we were, we wereonboarding someone the other, or
a new hospitality host theother day and the schedules
weren't working out for thatfirst day of onboarding and
somebody said, yeah, we're justgoing to um, could we just get
her started up front without herunderstanding and going through
the onboarding?
I said absolutely not.
Like they have to have thatcontext.
(09:05):
They have to know why we dowhat we do, not just what we do,
but they have to understand thewhy behind it.
And I think that's what Disneyis really good at and that's why
you know, in our industry, newguest retention for us is like
24, 25% in our industry.
Maybe yours is higher, but forDisney their new client
(09:25):
retention is 70%.
So if you imagine transformingyour salon to have 70% new guest
retention, how that impactseverybody's take-home pay, the
salons.
It impacts the team's take-homepay.
You're able to do more for yourfront desk or hospitality team,
whatever you may call them, andalso you're serving your
(09:47):
purpose of making people feelmore confident.
So they want to come backbecause their life is
transformed as well.
So they want to come backbecause their life is
transformed as well.
So I love that really thinkingabout like?
What are the opportunities tocontinue to train your staff in
the customer service experience?
Speaker 2 (10:05):
Yes, so good.
And I mean, just think aboutwhat all you could do if your
new client retention was likeDisney set that you know, seven
out of every 10 new clientcoming back, Like when you
really start to focus in on thisarea, that is what explodes
businesses and explodes yourincome, you know.
(10:26):
And so let's talk about somereferral marketing that works,
because most people don't referbecause no one asks, you know.
So here's a great littlequestion that you could ask Um,
anybody who comes into yoursalon, just ask them.
Hey, on a scale of one to 10,how likely are you to refer us
(10:48):
to a friend, you know?
And if they respond with onethrough four, call them right
away and find out what wentwrong.
You know, because 9-1-1,.
Hey, is this, susie?
Did you give us a one through afour?
We're here to help, Okay, youknow, see what went wrong.
(11:09):
Because a lot of times it'slike a minor thing that like,
hey, if you could correct it,like that could just transform
that client relationship.
It could turn them into, youknow, a five to seven or it
could turn them into a 10.
But even if you can't transferthe number, even if they're like
I wouldn't, you know, spit onyou if you were on fire,
hopefully you don't get thatresponse, but even if they just
(11:29):
say that you know, just knowthat, hey, 10 years down the
line, they're going to rememberthat you called them.
You cared enough to call themand so you know it might be
water under the bridge at thatpoint, but if you don't call,
you'll never know.
And if they respond with a fiveto seven this is what we like
to call the neutral zone youknow this is a good opportunity
(11:51):
to engage them or surprise themor look for a way to build some
sort of connection.
And if they respond with aneight through a 10, those are
your people, those are yourhidden influencers.
But guess what?
They need tools.
So create easy, thoughtful waysfor them to refer.
(12:15):
You know, give them, you know,a give 20, get 20 card.
Or you know, give them manygifts to give out or give them,
offer them some sort of um,special, thank you, um, for
referring.
You do some sort of handwritteninvites.
Just make it feel good for themto share, make them want to get
(12:35):
that word out and that messageout for you.
Speaker 1 (12:39):
I love that, make it feel good to share.
That is a beautiful thing tothink about.
So let's dive into six ways.
Like to add value and buildwealth.
So one would be like increasedtransaction size with treatments
and add-ons, and you're doingthis for the purpose for making
the, for creating a solution tothe client's greatest problem.
(13:02):
We're here not to give someonethe ick.
We're here to give them impact,and we truly know that when
hair is treated or when skin istreated with the right things,
people feel more confident, andso being able to increase your
average ticket, which would beyour transaction size, like
you're making people leave withmore value.
They're going to feel moreconfident.
(13:23):
Another opportunity is toinvite guests to visit more
often.
You know that would be likecelebrating their birthdays.
Recently, lindsay and Iactually are able to send our
clients a birthday happybirthday message from our team
to our clients on their birthday.
So on their birthday, they geta text from our salons, they
(13:44):
open it and there's the teamsinging them a happy birthday.
So and then with a speciallittle birthday gift like that's
how you get guests to visitmore often or even like
celebrating their half birthdays.
You've probably seen themarketing around half birthdays.
Hey, it's, it's six months,it's halfway to your birthday.
Come in and you know, enjoy X,y and Z.
It's six months, it's halfwayto your birthday.
(14:05):
Come in and you know, enjoy X,y and Z.
And so that's one way to addvalue and build wealth.
Another one is the be the onestop beauty expert to reduce
spending elsewhere.
Like we are in the business ofcreating a complete look for
clients from head to toe.
So no longer do we just do hair, skin, we we have to help them
see the opportunities of whatclothes to wear, how to do their
(14:25):
makeup, like, what jewelry towear.
Like that's creating that youknow that look for someone that
makes them feel more confident.
And you know people, whenthey're in our spaces, they want
to buy makeup, they want to buythe tools you use.
So having them accessible forthem, where they can just grab,
grab it that day and have itthat day, it's going to make
(14:47):
their life easier.
Another opportunity isincreased retention with better
rebooking and reminders.
So having scripts, that'sreally a beautiful thing, having
those scripts with your team sothat they know you know how to
ask for a pre-book, how to um,you know, uh, what's the best
(15:08):
way to set the client up forsuccess and the stylist up for
success?
And it's not.
Hey, my schedule's really busy.
You should go ahead and book,or the holidays are coming up.
You should go ahead and book.
I'm so busy.
Look at me, I'm so busy.
That's not the script we'retalking about.
Like you want them to have ascript that serves everyone to
their highest good.
You know, one other thing toadd value and build wealth is to
(15:34):
win back lost clients withthose personal touches we talked
about that.
Lindsay shared that story ofhow, when she no longer was
doing hair and some of theclients that she was serving
hadn't been in a while, so shepersonally reached out and was
able to attract some of thoseback.
Like, how special would youfeel, like if you went somewhere
else just because you're like,yeah, it was good, but there's
something missing?
(15:54):
And then the owner or thatservice provider reached out to
you like, tell us how we can dobetter, tell us how we can be
better.
That's what Disney would do andthat's why they have new client
retention at 70%.
Another opportunity is ask forreferrals often and reward them
often, and so again, it'steaching your team to have those
(16:15):
scripts, to know when to askfor a referral, to know what to
say and to also reward theclients that are referring
lovely clients to your salon.
Interesting fact you knowthere's other amusement parks
besides Disney, like in ourhometown.
There's Carowinds, there's SixFlags.
(16:36):
I don't even know all thedifferent amusement parks.
I think they might be owned byParamount, but even if they're
not, it's interesting.
I was just there the other daywith my niece and I thought I
wonder what their clientretention is compared to
Disney's, because I knew thatDisney's was 70% and their new
client retention is only 40%.
So it's like they have moresystems in place at Disney than
(16:58):
any other amusement park andthat's how they're able to
ripple that out.
We were just there the other dayand they were doing make a wish
for kids at care lands where wewere at, and it was just so
interesting to watch is, youknow, they get a special place
in line, which is awesome.
We loved it.
My little six-year-old nieceloved watching it too, and it
was like some rides.
The people, the attendance,were almost aggravated that they
(17:19):
were having to deal with this,but on some rides some of the
attendance were high-fiving thekids Like you wouldn't have that
at Disney.
All attendance would be wouldhave been high-fiving the kids
at every single ride and that'swhat sets companies apart.
That's what changes yourretention from.
You know new client retentionfrom 40% to 70%.
(17:41):
So just think of ways that youcan add value and build that
wealth.
Speaker 2 (17:47):
Wow, it just makes me want to pass out some high
fives.
It's so good.
You know and I think it's easyto say you know to come up with
lots of excuses for why we do ordon't do things in life, but
I'm just curious did you knowthat there are 60 salons for
(18:08):
every Starbucks location inAmerica?
Wow, let me say that again,there are 60 salons for every
Starbucks in America.
You know, and Jen just recentlyshared this stat with me and I
shared it with some peopleearlier today and we were
talking about it and I was likeso how many salons or how many
(18:30):
Starbucks can you think of inour town?
And they were like, well, one,two, three, there's three.
And I was like, yeah, there's,there's three like freestanding
locations, but there's one inour grocery store and then two
more in other grocery stores,and we forgot that there's one
in target.
And so we came up with six, youknow, and I'm in a small town,
(18:51):
so there's quite a few Starbucks.
And so we did the math.
I was like, okay, so if there'ssix?
So first we only thought therewas three, so that would mean
there's 180 salons in this town.
But now that we discovered, hey, there's actually six, because
we forget about those littlehidden, closet ones.
There's actually probably youknow 300 and you know 60 plus
(19:15):
salons in our town, and that'swild when you think about that,
because what it means isstanding out is the only way to
grow, and the difference issystems, standards and
consistency.
You know, because wealth is notbuilt on viral videos.
(19:38):
It's built on repeat businessand relationships.
It's built on repeat businessand relationships.
So we would invite you to audityour retention, refine your
referral systems, train yourteam and remember predictable
(19:58):
income doesn't come from hustlenot at all.
It comes from strategy andsystems.
So now go build the kind ofsalons that clients never want
to leave.
salon owners.
Let me ask you something howmuch time are you spending
chasing new clients, postingreels, running promotions,
crafting offers for first timeguests?
Now let me ask you this howmuch time are you spending
making sure the clients youalready have are coming back?
(00:27):
If the answer is not enough,this episode is going to be just
for you.
Speaker 2 (00:35):
I love it, you know, because today we're flipping the
script and talking about howretention and referrals are the
real way to create predictableincome inside of your salon.
So let's talk about the truthwhen it comes to income
uncertainty, because incomeuncertainty is that anxious
(00:59):
feeling when you're not sure ifyou'll hit your numbers and be
profitable.
So you're just hoping thatclients rebook, you know.
You're hoping that retail sellsand you're hoping new clients
show up as well.
But let's be honest, you knowhope is not a strategy.
(01:19):
So let's get you out ofsurvival mode and into systems
work.
Speaker 1 (01:26):
Yeah, awesome, I love that.
Hope is not a strategy.
Strategy that is so good.
So let's first we have to diveinto the real cost of what it
takes to acquire a new client.
So we're going to get a littlemathy on you, um, so you might
want to get some pen and paperfor this.
You can stop it Once you listento the recording, go back and
listen to it again, becauseyou're really going to want to
(01:47):
understand this number.
It can help transform the wayyou do business.
So this is just going to be ascenario of a salon example.
So let's say, for example, yoursalon spends $2,000 a month on
advertising.
So this can be Facebook ads,this can be Google ads, any kind
of advertising or marketing.
In this example, your salonspends $2,000.
(02:09):
Your overhead is $100,000.
We're going to say that in thisinstance, you bring in a
hundred new clients a month withan average ticket of a hundred
dollars, so that's $10,000 innew client revenue.
We did a hundred times ahundred.
That's how we got 10,000.
So also in this scenario, we'resaying that new clients are
(02:32):
responsible for about 12.5% ofyour revenue, so they also
account for 12.5% of youroverhead, or 12,500.
Because, remember, we said ouroverhead was $100,000.
So if you add in your ad spendand you're spending $14,500 to
bring in a hundred clients, thatactually equals to $145 per new
(02:58):
client.
Let me say that again, that's$145 per new client.
So if that guest doesn't everreturn like you lose money.
You lost money even if theypaid you for the service or even
if that client only spends ahundred dollars.
You definitely lost money,especially if they never return.
Speaker 2 (03:23):
That is so good, you know, and really the way that we
came up with that 12.5% waswhen you take that 100,000 or
sorry, you take that, you know,genuine over the average ticket
was a hundred dollars.
You saw a hundred new guests,that equals $10,000 in client
revenue.
So we added in also that adspend and then that's how you
figure out that percentage, toknow how much they're
(03:45):
responsible for in your revenue.
And you might also be thinking,gosh, you know, um, hey, uh, I,
this is really great mathy,math that you guys just shared
with us.
Um, and it truly is like whenyou start to get this and you
realize like, oh, my goodness,if they're not spending $145,
(04:06):
then we lost money, it makes yourealize like, yes, we
absolutely need new guests.
But the most important part,you guys, is this next part,
which is the mistakes that mostsalon owners make, and that is
mistake Number one is focusingonly on those new clients, you
(04:26):
know, because the returningclients are your gold mine, you
know.
So let's talk about you know,what are some action steps that
you can take if you're makingmistake number one, which is
only focusing on new guests,guests, um, you know, let's
really dote on those returningclients.
Let's delight them.
Write them a thank you card,add a surprise treatment for
them.
You know, let's really dote onthose returning clients.
Let's delight them.
Write them a thank you card,add a surprise treatment for
(04:48):
them.
You know, really just show themthat you care.
Mistake number two that mostsalon owners make is missing the
signs when someone is fadingaway.
You know, because usuallysomebody just doesn't go see you
right away, and if they haven'trebooked or bought retail or
responded to any messages oranything that you've sent them,
(05:10):
that's a yellow flag, you know.
So I pulled a report after Istepped away from behind the
chair and what was shocking tosee, jen and I had very similar
situations happen.
You know where that sevenguests I'd loved hadn't been in
for 10 plus weeks, you know.
So immediately got on the phone, called them, you know, sent
(05:34):
them handwritten notes.
What was really cool is thatfour came back.
One of them moved, one had gonesomewhere else, but she ended
up rebooking with us againbecause we cared enough to
notice.
And so that is a huge thing.
When you start to pay attentionto that, um, you can prevent
that mistake from happening.
(05:56):
And you know, mistake numberthree is thinking client loss is
normal, because some is, butpretty much all or most quite a
bit is preventable.
Speaker 1 (06:09):
Yeah, yes, I love that.
And so when you when Lindsaywas saying, most is preventable
like you have to think aboutcreating that client rescue
system, that CRS we like to callit.
You know, this is when youcould send a you've been missed
card.
Ignore you, um, you add alittle bump in the envelope.
(06:34):
It could be a chocolate if itwas mother's day, or, you know,
a 20% off a retail item, itcould be anything just to make
that connection to them and letthem know hey, we, we see you,
we hear you, we want you to comeback in, um, so that you know
you want to build that customerservice culture.
Like, if you think aboutDisney's, for example, like
every cast member and Lindsaysaid this the other day, she's
(06:56):
like I love that they call themcast members because they truly
know what their position is.
So if you're thinking aboutDisney, like every cast member
starts with, like Disneytraditions, and so that's a
class where they learn how thatDisney's real products aren't
roller coasters, they'reactually about creating
happiness for guests.
(07:16):
It's about making people feelspecial.
And so same thing at our salons.
Like your salon, your realproduct isn't the haircut or the
lashes or the color.
It's actually creatingconfidence for clients, it's
creating renewal, it's creatingbelonging, and you're not just
selling services, you get tosell that transformation, and so
(07:37):
when you're thinking aboutclient loss, you've got to have
that customer service trainingto prevent breaks in the system,
so that your team truly knowshow to use the systems and how
to look for opportunities tocontinue to elevate your
experience.
Speaker 2 (07:59):
Yes, and Jen, my audio and video cut out for just
a second, so I don't know ifyou can see and hear me Okay.
But you know, hey, stuff likethat happens inside of the salon
.
Can you see and hear me Okay?
Speaker 1 (08:11):
I can, I can.
You're back better than ever.
Speaker 2 (08:15):
Awesome, um.
Yeah, so you know, it's amazinghow many, how often we just
don't even realize that this isgoing on for us inside of the
salon.
You know, and um, I think whenyou start to build that culture,
like you were just talkingabout um, and you start to ask
(08:36):
you know, um, I think it startsto make a huge difference in
what you see for sure.
Speaker 1 (08:44):
That's so true.
Uh, someone we were, we wereonboarding someone the other, or
a new hospitality host theother day and the schedules
weren't working out for thatfirst day of onboarding and
somebody said, yeah, we're justgoing to um, could we just get
her started up front without herunderstanding and going through
the onboarding?
I said absolutely not.
Like they have to have thatcontext.
(09:05):
They have to know why we dowhat we do, not just what we do,
but they have to understand thewhy behind it.
And I think that's what Disneyis really good at and that's why
you know, in our industry, newguest retention for us is like
24, 25% in our industry.
Maybe yours is higher, but forDisney their new client
(09:25):
retention is 70%.
So if you imagine transformingyour salon to have 70% new guest
retention, how that impactseverybody's take-home pay, the
salons.
It impacts the team's take-homepay.
You're able to do more for yourfront desk or hospitality team,
whatever you may call them, andalso you're serving your
(09:47):
purpose of making people feelmore confident.
So they want to come backbecause their life is
transformed as well.
So they want to come backbecause their life is
transformed as well.
So I love that really thinkingabout like?
What are the opportunities tocontinue to train your staff in
the customer service experience?
Speaker 2 (10:05):
Yes, so good.
And I mean, just think aboutwhat all you could do if your
new client retention was likeDisney set that you know, seven
out of every 10 new clientcoming back, Like when you
really start to focus in on thisarea, that is what explodes
businesses and explodes yourincome, you know.
(10:26):
And so let's talk about somereferral marketing that works,
because most people don't referbecause no one asks, you know.
So here's a great littlequestion that you could ask Um,
anybody who comes into yoursalon, just ask them.
Hey, on a scale of one to 10,how likely are you to refer us
(10:48):
to a friend, you know?
And if they respond with onethrough four, call them right
away and find out what wentwrong.
You know, because 9-1-1,.
Hey, is this, susie?
Did you give us a one through afour?
We're here to help, Okay, youknow, see what went wrong.
(11:09):
Because a lot of times it'slike a minor thing that like,
hey, if you could correct it,like that could just transform
that client relationship.
It could turn them into, youknow, a five to seven or it
could turn them into a 10.
But even if you can't transferthe number, even if they're like
I wouldn't, you know, spit onyou if you were on fire,
hopefully you don't get thatresponse, but even if they just
(11:29):
say that you know, just knowthat, hey, 10 years down the
line, they're going to rememberthat you called them.
You cared enough to call themand so you know it might be
water under the bridge at thatpoint, but if you don't call,
you'll never know.
And if they respond with a fiveto seven this is what we like
to call the neutral zone youknow this is a good opportunity
(11:51):
to engage them or surprise themor look for a way to build some
sort of connection.
And if they respond with aneight through a 10, those are
your people, those are yourhidden influencers.
But guess what?
They need tools.
So create easy, thoughtful waysfor them to refer.
(12:15):
You know, give them, you know,a give 20, get 20 card.
Or you know, give them manygifts to give out or give them,
offer them some sort of um,special, thank you, um, for
referring.
You do some sort of handwritteninvites.
Just make it feel good for themto share, make them want to get
(12:35):
that word out and that messageout for you.
Speaker 1 (12:39):
I love that, make it feel good to share.
That is a beautiful thing tothink about.
So let's dive into six ways.
Like to add value and buildwealth.
So one would be like increasedtransaction size with treatments
and add-ons, and you're doingthis for the purpose for making
the, for creating a solution tothe client's greatest problem.
(13:02):
We're here not to give someonethe ick.
We're here to give them impact,and we truly know that when
hair is treated or when skin istreated with the right things,
people feel more confident, andso being able to increase your
average ticket, which would beyour transaction size, like
you're making people leave withmore value.
They're going to feel moreconfident.
(13:23):
Another opportunity is toinvite guests to visit more
often.
You know that would be likecelebrating their birthdays.
Recently, lindsay and Iactually are able to send our
clients a birthday happybirthday message from our team
to our clients on their birthday.
So on their birthday, they geta text from our salons, they
(13:44):
open it and there's the teamsinging them a happy birthday.
So and then with a speciallittle birthday gift like that's
how you get guests to visitmore often or even like
celebrating their half birthdays.
You've probably seen themarketing around half birthdays.
Hey, it's, it's six months,it's halfway to your birthday.
Come in and you know, enjoy X,y and Z.
It's six months, it's halfwayto your birthday.
(14:05):
Come in and you know, enjoy X,y and Z.
And so that's one way to addvalue and build wealth.
Another one is the be the onestop beauty expert to reduce
spending elsewhere.
Like we are in the business ofcreating a complete look for
clients from head to toe.
So no longer do we just do hair, skin, we we have to help them
see the opportunities of whatclothes to wear, how to do their
(14:25):
makeup, like, what jewelry towear.
Like that's creating that youknow that look for someone that
makes them feel more confident.
And you know people, whenthey're in our spaces, they want
to buy makeup, they want to buythe tools you use.
So having them accessible forthem, where they can just grab,
grab it that day and have itthat day, it's going to make
(14:47):
their life easier.
Another opportunity isincreased retention with better
rebooking and reminders.
So having scripts, that'sreally a beautiful thing, having
those scripts with your team sothat they know you know how to
ask for a pre-book, how to um,you know, uh, what's the best
(15:08):
way to set the client up forsuccess and the stylist up for
success?
And it's not.
Hey, my schedule's really busy.
You should go ahead and book,or the holidays are coming up.
You should go ahead and book.
I'm so busy.
Look at me, I'm so busy.
That's not the script we'retalking about.
Like you want them to have ascript that serves everyone to
their highest good.
You know, one other thing toadd value and build wealth is to
(15:34):
win back lost clients withthose personal touches we talked
about that.
Lindsay shared that story ofhow, when she no longer was
doing hair and some of theclients that she was serving
hadn't been in a while, so shepersonally reached out and was
able to attract some of thoseback.
Like, how special would youfeel, like if you went somewhere
else just because you're like,yeah, it was good, but there's
something missing?
(15:54):
And then the owner or thatservice provider reached out to
you like, tell us how we can dobetter, tell us how we can be
better.
That's what Disney would do andthat's why they have new client
retention at 70%.
Another opportunity is ask forreferrals often and reward them
often, and so again, it'steaching your team to have those
(16:15):
scripts, to know when to askfor a referral, to know what to
say and to also reward theclients that are referring
lovely clients to your salon.
Interesting fact you knowthere's other amusement parks
besides Disney, like in ourhometown.
There's Carowinds, there's SixFlags.
(16:36):
I don't even know all thedifferent amusement parks.
I think they might be owned byParamount, but even if they're
not, it's interesting.
I was just there the other daywith my niece and I thought I
wonder what their clientretention is compared to
Disney's, because I knew thatDisney's was 70% and their new
client retention is only 40%.
So it's like they have moresystems in place at Disney than
(16:58):
any other amusement park andthat's how they're able to
ripple that out.
We were just there the other dayand they were doing make a wish
for kids at care lands where wewere at, and it was just so
interesting to watch is, youknow, they get a special place
in line, which is awesome.
We loved it.
My little six-year-old nieceloved watching it too, and it
was like some rides.
The people, the attendance,were almost aggravated that they
(17:19):
were having to deal with this,but on some rides some of the
attendance were high-fiving thekids Like you wouldn't have that
at Disney.
All attendance would be wouldhave been high-fiving the kids
at every single ride and that'swhat sets companies apart.
That's what changes yourretention from.
You know new client retentionfrom 40% to 70%.
(17:41):
So just think of ways that youcan add value and build that
wealth.
Speaker 2 (17:47):
Wow, it just makes me want to pass out some high
fives.
It's so good.
You know and I think it's easyto say you know to come up with
lots of excuses for why we do ordon't do things in life, but
I'm just curious did you knowthat there are 60 salons for
(18:08):
every Starbucks location inAmerica?
Wow, let me say that again,there are 60 salons for every
Starbucks in America.
You know, and Jen just recentlyshared this stat with me and I
shared it with some peopleearlier today and we were
talking about it and I was likeso how many salons or how many
(18:30):
Starbucks can you think of inour town?
And they were like, well, one,two, three, there's three.
And I was like, yeah, there's,there's three like freestanding
locations, but there's one inour grocery store and then two
more in other grocery stores,and we forgot that there's one
in target.
And so we came up with six, youknow, and I'm in a small town,
(18:51):
so there's quite a few Starbucks.
And so we did the math.
I was like, okay, so if there'ssix?
So first we only thought therewas three, so that would mean
there's 180 salons in this town.
But now that we discovered, hey, there's actually six, because
we forget about those littlehidden, closet ones.
There's actually probably youknow 300 and you know 60 plus
(19:15):
salons in our town, and that'swild when you think about that,
because what it means isstanding out is the only way to
grow, and the difference issystems, standards and
consistency.
You know, because wealth is notbuilt on viral videos.
(19:38):
It's built on repeat businessand relationships.
It's built on repeat businessand relationships.
So we would invite you to audityour retention, refine your
referral systems, train yourteam and remember predictable
(19:58):
income doesn't come from hustlenot at all.
It comes from strategy andsystems.
So now go build the kind ofsalons that clients never want
to leave.
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