2010 Salon Advice from the Heartland Expo

I love learning, so for me, two highlights of last month’s Heartland 2010 Missouri Expo were the keynote presentation by industry consultant Stephen Underhill and the panel discussion.

Underhill has a way of pointing out things that seem obvious – but usually only after you hear them. For example, he asked the crowd how many people pay for an extra ad in the Yellow Pages (many hands went up). Then he said, “That’s not how people look for the type of service you offer anymore.” I think most of us would realize that if we thought about it, but we often get stuck in the old modes of doing business and operate on auto-pilot. But as Underhill cautions, “Every decision you make will either have a positive or a negative effect on your business.”

One of Underhill’s main messages was that salon owners need to maximize their databases – communicating via the methods those folks use – such as e-mail and text messaging. He gave specific ideas for the types of promotions that can be effective and encouraged salon owners that if they did nothing else he suggested, they should at least start interacting with customers through e-mail or text, as increased communication increases opportunities for sales. “Tap into those tanners,” he exhorted.

The professional image of the salon was another topic of conversation. Underhill suggested salons have high-quality photographs of their salon equipment – as well as a professional-looking price menu – in the lobby. He made the comparison of a fast-food restaurant, and how helpful it is to be able to see what you’re getting. Besides which, if rooms are occupied when you give tours, potential customers aren’t able to see all of your equipment. Having a clearly communicated pricing structure helps validate specials and sales when you offer them, as customers can compare to the regularly posted rates. Simple measures such as these are affordable and help create a buying environment (as opposed to a selling environment), he affirms.

There was more great advice in store during the panel discussion, skillfully moderated by Joe Schuster and featuring: Greg Henson, owner of Heartland Tan/Tan America and ITA board member; Stephanie Henshaw, a Tan World franchise owner; Stephen Underhill of SMU Consulting; Rick Norvell, owner of Norvell Sunless Solutions; and Matt Russell, owner of Smart Tan Network.

Attendees didn’t tiptoe around when it came to asking for input. In light of recent events regarding the FTC and advertising claims, salon owners wanted to know what they could say to customers regarding tanning-related health benefits. Other questions involved lotion inventory, the tan tax, sales structures, measuring success, and advertising efforts.

Here’s a key point from each speaker:

Henson: Regarding a question about how much lotion to carry ... Henson suggests having a deep display that supports the notion that you’re actually in the lotion business. He also recommends separating the men’s products from the women’s.

Henshaw: One attendee had a delicate PR situation unfolding and shared the temptation to respond to the media. Henshaw urged the salon owner not to go that route, mentioning, “The less you say, the better.”

Underhill: There are many components to measuring success. There are formulas to help determine how much business you “should” be doing (average dollars per tanner, etc.), but you also have to make sure your whole business model is in order – from your pricing to your equipment to employee training and commission structures.

Norvell: When it comes to lotion sales, people like options – but offering too many choices can cause confusion. Make sure you’ve got your basic categories covered (tingle, bronzer, etc.), as well as the different price points (economy, mid-range and high-end).

Russell: Make sure you’re delivering a balanced message to customers – tanning helps you look and feel good, stimulates vitamin D production, and as with any activity, there can be certain risks involved...

I learned much more than I could ever sum up here, and I had a blast. I encourage you to attend one of Heartland’s events in the future and experience the Heartland difference for yourself.

–Karen

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