When retailers—the salon owner in the tanning industry—buy merchandise from distributors, they expect, like regular consumers, to pay the price on the sticker or at the bottom of the invoice. But what if they could always cut into that price and get some money back? What if product manufacturers helped with the costs of advertising those items? Forget the “what if” … many manufacturers, particularly those that manufacture lotions, do offer ways to get free money back through rebates, co-op advertising and promotions.
Get Some Back
Rebates are ways for manufacturers to reward salons for products bought and sold, and lotion makers are perhaps the most notable potential partners. Brandon Cardinal, vice president of sales and marketing for Performance Brands, Inc. in Sunrise, Fla., says his company gives salons a choice of whether to receive their rebate in product credit or in cash.
Performance Brands offers this program for its ZEDA®, Fiesta Sun® and Pro Tan® products.
“Of course, if salon owners choose product credit, they get much better value,” he says, adding that the product credit equals $3 per bottle, whereas the cash comes out to 75 cents. “When they resell the product, they can use that profit for their advertising or any other expense. The more of our product you buy, the more money you can spend on whatever you want.”
Oldsmar, Fla.-based Devoted Creations runs a no-contract rebate program from Oct. 1 to July 4, says its president, Lewis Henry. When salon owners buy from one of Devoted Creations’ authorized distributors—which Lewis believes is smart because his manufacturer doesn’t guarantee any unauthorized resold merchandise—the salon owners can get a rebate. He advises salon owners to choose distributors carefully and make sure the distributor will keep a log of all purchases salons make.
Laura Green, customer service team leader for Indianapolis– based Australian Gold®, emphasizes the need to keep track of invoices meticulously, as they all must be turned in to the manufacturer before its deadline, which is Oct. 31 or Dec. 31 depending on the level of the partnership.
“I know there are salons that never see rebate checks,” she says, referring to distributors and owners neglecting to keep thorough records. “I think there’s a lot of money left on the table for salon owners.”
Salons also can qualify for assistance with promotions, which are an important conduit to exposure and customer appreciation. Devoted Creations will do unlimited promotions for a salon for loyal customers. “As long as your purchases continue growing, we will sponsor promotions based on that growth,” Lewis explains.