Leading is about believing in people

May 13, 2013 by

believe_inBeing the leader of a business is perhaps one of the most complex, rewarding, and often brutally frustrating professions. Leaders are constantly held accountable, subjected to relentless demands, and must always be at the top of their game. A true leader works tirelessly to drive the Four Business Outcomes: productivity, profitability, staff retention, and customer loyalty. But when you peel away all of the trappings of leadership, what it really comes down to is believing in people – and that’s where things start to get interesting.

A leader’s job is to achieve results through the work of others. They keep people and teams on task. They maintain order, direction, and momentum. But would you want to work for a leader who is solely driven by the numbers, in an organization where people are simply the means to an end? In turn, would you want to be that kind of leader? You will get your results, but at what cost to those you lead; and at what cost to the work environment, or company culture? [Read more...]

Filed Under: Business Builders, Compensation, Customer Loyalty, Leadership, Productivity, Strategies Notes & News Tagged With: , , , , ,

Are your front desk systems firing on all cylinders?

August 31, 2012 by

It’s a scenario most of us have lived out hundreds of times: Coffee in hand, we unlock the front door to the salon/spa and walk straight past the front desk as we settle in to begin our daily duties as owners, managers, leaders, etc.

But lets stop right there and back up a few steps — keep going until you get back to the front desk. Now, take a minute to think about your front desk. Not the physical desk, but the experience your clients have when they interact with your front desk/guest services staff. Are clients treated friendly? Are appointments being pre-booked? Are retail sales being rung up? Are clients’ concerns being addressed quickly and courteously? Is the interaction your clients are experiencing on par with how you envision?

Now, ask yourself one last question: Are you doing your part to prepare your front desk staff to deliver the experience that you — and your clients — expect from them?

Here are a five simple areas to focus on to get your front desk systems firing on all cylinders:

1. Efficient Booking: There aren’t too many services that only take 15 minutes. Yet, more often than not, your appointment book is probably riddled with random 15-minute gaps between appointments. Lets remember: You sell time. Four of those in a day equals one full sellable hour gone for good. If you’re open six days a week, that translates into 39 eight-hour days of lost sellable time over the course of one year. Ouch! Work with your front desk staff to teach them how to book more efficiently and to avoid all those gaps!

2. Customer Satisfaction: Is your front desk doing everything possible to ensure that your clients have a pleasurable experience? Whether it’s the tone of their voice, the freshness of the coffee or their choice to answer the phone instead of talk to the client standing in front of them, these details need to be defined, written down and learned by EVERYONE on staff.

3. Up-selling: If you’ve followed Strategies long enough, there’s one thing you’ll hear us preach time and again: the professional recomendation. Clients are in the salon/spa because they trust your expertise. That trust DOES extend into the buying process — but it can’t happen if the recommendation isn’t made. Whether it’s up-selling to a product or service, all it takes is a the proper system. Many software programs now feature functionality that will display an up-sell message automatically when another product/service is purchased. Which leads us to…

4. Scripting: There’s a right and wrong way to say everything. So why set your front desk staff up to say anything BUT the right thing? Whether it’s how to answer the phone, up-selling, how describe your pricing or directions to the nearest highway, take the time to define how you want your staff to answer it. Think of EVERYTHING — and then get it down in writing in your front desk employee manual.

5. Dealing with Difficult Clients: Once again, there’s a right and wrong way to handle every situation. Not only is it important for your staff to understand what to say during a difficult situation, but also for them to understand what actions they are expected to take. Is there a dollar amount that they are allotted to remedy difficult situations (up to $25 in free product/services)? Is there a point in which they should hand the situation over to a manager? Get it down in your employee manual now — both your clients and your staff will benefit in the end.

At Strategies, we often refer to the front desk/guest services staff as the “braincenter” of the salon/spa. Make sure you’re given them the systems, guidance and training they need to do their job right. Want help? Check out Strategies’ upcoming two-day Front Desk/Guest Services Seminar and/or On-Site Front Desk/Guest Services Training.

 

Filed Under: Customer Loyalty, Leadership, Productivity Tagged With: , , , , , , , ,

Social media for salons and spas – Part 1

August 10, 2012 by

Part 1: If you can’t beat ‘em, join ‘em!

I can’t tell you how many times I’m asked by salon owners across the country what my stance is on social media and how to best manage team members and their activity when it comes to online social media sites. The topic doesn’t usually come up until a team member decides to leave and then communicates to their friends and followers where they are going and where to find them. Or even worse, when a former employee decides to post derogatory comments about their former boss or place of employment. These are very valid concerns for anyone running a business. While we never want to hear anything negative about our business, unfortunately, at some point it’s going to happen. And guess what — It’s legal. (Think Yelp!)

Somebody once told me that when it comes to social media, it will become a problem when you make it a problem. That hit me square between the eyes. How many times do we find ourselves doing stuff like that? We create friction in our own companies and we don’t even realize we’re doing it.

Here’s the deal folks. In my own personal opinion, the best approach to social media as a business owner is to simply embrace it. Go for it! Encourage your team members and networks to engage with the online community through social media. You have more to gain by creating a culture of social media participation than to try and shut it off. While that may be counterintuitive to many, (especially to those control-freak entrepreneurs) at the end of the day you’re fighting an uphill battle if you don’t. Here are some reasons why:

  1. Your employees and your customers are already online. And legally, you can’t prevent them from participating in social media.
  2. Social media isn’t going anywhere. It’s here to stay. It’s time to embrace it and make it work for you and your company.
  3. Like the old saying goes, “Fight fire with fire.” As a business owner, you can participate too, encouraging a culture of connectedness with your customers and your team. If you want to build brand loyalty, then your company must represent itself in the online community.
  4. The National Labor Relations Board has stressed that all employees have certain rights under federal law that social media policies can’t compromise. (For a complete report on employer social media practices, go here.)

Next time in Part 2: Best practices for social media

Your turn: What problems or challenges have you recently encountered with social media? How did you decide to handle it?

 

Filed Under: Customer Loyalty, Information Flow Tagged With: , , , , , , ,

Why 7 out of 10 new salon and spa clients don’t come back

July 12, 2012 by

You cannot argue with the numbers. From a technical standpoint, the beauty industry offers consumers extraordinary levels of skill and expertise. From a customer service and True Quality standpoint, salons and spas score poorly. No matter how badly you want to refute this assessment, it is impossible to argue with industry-wide numbers that show salons and spas are not retaining seven of ten first-time clients. Interestingly, poor retention remains consistent from value-priced salons right up to upscale, service-intensive day spas.

  • On average, only three percent of owners know their retention rate.
  • Half of these confuse request rate with retention rate — they are not the same.
  • Most have no means to track retention. Even those with point-of-sale computer systems often realize their software doesn’t track retention properly, if at all.

It’s your True Quality score. The overriding objective of every business is to attract and retain customers. The higher your retention rate for first-time clients, the higher your level of customer satisfaction, and the closer you are to delivering consistent True Quality experiences. Granted, you want to satisfy clients on every visit, but client retention tracking begins on the first visit. If your salon or spa fails to perform to client expectations on the first visit, there usually is no second chance. If your business has a 30% first-time client retention rate, don’t even think of using “True Quality” to describe your business.

It’s your salon’s future. Winning the salon/spa business game means building a retained customer base that is loyal to the business. Your retained customer base is by far your most important asset. There is little resale value for used furniture and fixtures. The rules for winning the salon/spa business game have changed. True Quality is no longer an option for owners, but a necessity. The only way to know if your business is moving closer to True Quality is to track improvements in client retention rates. That’s where most salons are in the dark.

What are you doing to retain more new clients?

Filed Under: Customer Loyalty, Information Flow, Leadership, Productivity Tagged With: , , , , , , ,

Are you leaving a legacy as a salon or spa leader?

July 5, 2012 by

What legacy will you leave behind as an owner or leader?

I have been pondering this thought lately. I am in my 28th year in the beauty industry, and I am starting to think about handing over the torch in the next 10 years.  But what got me to really thinking about my legacy was reflecting on my former boss Allen Queen. Allen hired me to work at Chick-fil-A when I was 15 years old. (I am 47 now.) I worked for him for a little over two years.

Allen always taught me that “sales chase service.” He knows this to be true. A five-time winner of the coveted Symbols of Success award by Chick-fil-A, he operates a store that will do $6 million. Yes, a $6 million store. That’s a lot of chicken!

Allen will be retiring soon, and I was asked to speak of the legacy that Allen will be leaving following his 31 years with the company. More than one thousand people came out to wish Allen farewell at his retirement party. Even Elvis made an appearance.

I heard the same comments over and over again. “Allen was always present.” “Allen set the standard in servant leadership.” “Allen taught me to make a difference in the lives of others through charity and service.”

My favorite story was from the water manager in the City of Newnan, Ga. “Two years ago we accidently cut a main water line, and I came in your busy restaurant on a Friday night and told you that in 20 minutes you would lose water for several hours and to start preparing your customers and your employees,” he related. “You asked how many did I have on my work crew and I said 50 men. I left your store wondering why you asked, and then 30 minutes later you and your crew brought us sandwiches and iced tea on that hot summer night. You thanked us for our hard work for the city.”

He went on to say, “You may not remember me, but I remember you and the way you cared for my men and I wanted to thank you.”

I was blown away by his story. And I heard many more like it over the weekend. I can’t say that if that happened in my salon, I would have been as gracious as Allen was.

As I think about the legacy that I will leave behind, I desire it to be one that will help those who worked for me be better servants to those around them and to truly make a difference in the lives of others. I hope it is not that I did the best blondes or that I was a hard worker but that I raised the bar of using our gifts and talents to exhort, honor and love those we know and strangers whose paths we cross.

What will you be remembered by?

Lisa Cochran is a Certified Strategies Coach and salon director of The Studio, an Aveda Lifestyle Salon in Hattiesburg, Miss.

Filed Under: Customer Loyalty, No-Compromise Leadership Tagged With: , , , ,

Who ‘owns’ the customer?

June 22, 2012 by

Recently, I went shopping at a local mall. A sales associate approached me to ask if I needed help. I told her what I was looking for. She immediately came back with knowledgeable recommendations. After trying on the selections, she asked if I’d like to shop some more, which I did. So far, so good.

As I was walking through the store, another salesperson offered assistance. “Wow,” I thought, “they really have this team-service concept down.” And that’s when it happened.

The first salesperson came over and scolded the second one for helping me! He left, embarrassed, without another word to me. I somehow had changed from “valued customer” to “instigator.” It left a very bad taste in my mouth, especially as I knew that once I left, that second associate would probably be further reamed out – all for the “sin” of trying to help a customer. Trust me, my desire to purchase new clothes plummeted after the incident!

I put my discomfort aside to ask whether the sales associates are on commission. They were not. However, they each had individual sales goals, and she obviously was feeling threatened that she could lose “credit” for the entire sale.

What happened here is that it went from an extraordinary team customer-service experience that would have led to more sales to a “me first” mentality where the employee focused only on her personal goal. This is a great lesson on how a compensation system that does not have team goals can compromise sales and your bottom line — and sour a customer in the process.

Think about the following:

  • Does your staff put the customer’s needs beyond a desire to “get the sale”?
  • Do you encourage team service, so that every customer gets the benefits of the combined knowledge and skills of your staff?
  • Does your staff understand that the company “owns” the client, not any individual service provider?
  • Does your entire team take responsibility for the happiness of every client?

You can’t afford not to put guest services at the top of your to-do list. Need some help fine-tuning your guest services? Call or e-mail me and ask how a Certified Strategies Coach can come in to your business and inspire your team to practice off-the-charts service.

Bruce Hourigan is president of Strategies.

Filed Under: Business Builders, Customer Loyalty, Strategies Notes & News

How to keep clients coming back with pre-booking

May 24, 2012 by

Pre-booking is merely the practice of asking your guests for the permission to book their next appointments before they check out. It’s centered on maintaining and fulfilling their needs. Pre-booking increases productivity, drives revenue, helps with staff retention and improves customer loyalty.

Here’s your pre-booking to-do list: (Goal: Build a total “Client Experience System” that includes pre-booking.)

  1. Ensure your team understands:
    • What pre-booking is.
    • Why they need to do it.
    • How to do it. (More on that below.)
    • How it will be evaluated.
  2. Develop the process. It’s as simple as asking the client how she feels about her service. You’ve just opened the door to make the recommendation for the next visit, which may involve the same service and/or the addition of a complementary service.
  3. Have your team build scripts to successfully pre-book.
  4. Role-play using the scripts so that they feel natural. This will help your staff feel comfortable recommending pre-booking and dealing with different responses from customers.
  5. Be sure your front-desk/guest-services team has the scripts to successfully pre-book. The goal is that every guest is pre-booked. Everyone is responsible.
  6. Communicate the progress daily.
  7. Ask your staff: “What can I do to help you reach pre-book success?”

What should this the pre-book score look like?

  • 80-90% = No-Compromise Zone
  • 70-80% = Compromise Zone
  • 60-70% = Mediocrity Zone
  • Below 60% = Review your pre-booking procedures to ensure that they are clear and easy-to-implement. Individuals who continually fall below your standards need one-on-one coaching.

Why is pre-booking important?

  • Predictable productivity in the next 3-6 weeks.
  • Drives frequency of visit from 6 visits/year to possibly 7 or 8 visits.
  • Increases guest retention.
  • Creates avenues to communicate with the guests.
  • Drives revenue opportunities creating growth.

Mary Walker is a Certified Strategies Coach (CSC).

Filed Under: Customer Loyalty, Profitability Tagged With: , , , ,

Creating a foundation for salon and spa growth

May 3, 2012 by

You’d never open a salon without the proper tools — state-of-the-art scissors, top-of-the-line blow dryers and, of course, fabulous, effective products. Similarly, no one would try to run a spa without massage tables, pedi chairs and wonderful scrubs and lotions.

Unfortunately, many owners do try to run their salons and spas without the proper business tools needed to be profitable and successful.

Many salons and spas struggle with cash-flow and figuring out what’s coming in (and going out). Without a clear financial picture, it’s impossible to plan for steady growth, as expenses always pop up. Many owners (maybe even you) start using their personal credit cards to pay the bills — even to cover payroll. It’s impossible to build a strong business without a realistic cash-flow plan.

Numerous other owners and managers grapple with staff concerns, from hiring to pay design to performance evaluations. Some owners have leadership issues, uncertain how to translate their vision to their employees so that everyone is working toward the same goals. Proper communication is one of the first steps in building a successful business, yet it is one of the basics that many salon and spa owners believe they don’t have time for. A culture where employees want to do their best, stay and grow is one of the hallmarks of a thriving, profitable business.

Providing consistent customer service is also difficult for many businesses. As you know, customers expect more — just doing the minimum is no longer effective in today’s super-competitive environment. Surpassing customer expectations in every area of the business is a requirement to develop a loyal customer base that will recommend a salon or spa to their friends.

Do these challenges seem familiar? While perhaps not as glamorous as offering a great cut, a photo-worthy up-do or a creative manicure design, solid business practices are what every salon and spa need to be successful.

The path to addressing these issues starts with you — the leader. Start coordinating your game plan for change now. Now is a good time. And you can find the time to make it happen. The alternative action — putting it off again — will only leave you in a declining holding pattern. If you want change, do it now.

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Looking for the best place to start?

The Strategies Incubator is designed to jumpstart the business side of your salon/spa. In four intense, exciting days, you will learn the basics to grow a strong business, including financials, leadership, teamwork, communication, compensation, employee retention and customer loyalty.

Without a proper business foundation, a salon or spa cannot grow in a healthy way. It may appear to be doing well, but it’s no more stable than a castle built in the sand.

Start building your foundation for success at the Strategies Incubator, June 10-13. Find out more here.

Filed Under: Customer Loyalty, Financial Literacy, Information Flow, No-Compromise Leadership, Productivity, Profitability, Staff Retention, Teamwork Tagged With: , , , , , , , , , , ,

How to increase salon and spa web traffic with blogging

April 26, 2012 by

Several years ago, the bulk of my marketing responsibilities at Strategies involved print ads and direct mail. But in a seeming blink of an eye, those traditional marketing avenues have all but dried up — in every industry. The launch pad for the selling process has relocated from the mailbox to the computer screen. People are relying on the Internet more than ever to make their buying decisions. The challenge is how to grab the attention of both potential clients and the search engines they’re searching with.

One of the most important elements in getting found online is the ability to consistently publish new and relevant content. Just like you and me, search engines like new stuff! One of the most effective ways to pump new content onto your site is through blogging.

Not sure what to write about? Here are five salon/spa blog topics to drive traffic to your website:

  • Seasonal styles and trends: Is your staff trained on the latest techniques? Great! Showcase these trends to your clients. Whether it’s a cut, color, manicure or quick-and-easy style, the more expertise you display about the latest trends, the greater the chances potential clients will make their appointments with your business.
  • Product spotlights: Have a product that’s flying off the shelves? When products are popular, buyers are looking for them online. Share your professional insights on the hottest sellers to drive traffic to your site.
  • Team profiles: You’ve got a great team, so talk them up! What are their areas of expertise? What awards have they won? What new classes have they taken? Why do they love working at your salon or spa? Don’t forget about your non-technical team members. Tell the world why you think you have the greatest guest-services staff.
  • Special events: Whether it’s a cut-a-thon, guy’s night, breast cancer awareness event or a fashion show, events are prime marketing opportunities. Let potential clients know that your business is about more than just hair and massages; it’s about giving back and having fun.
  • How to get the most out of a salon/spa service: Help take the guesswork out of what a client should expect from their service by educating them on the lingo, etiquette and  options available.

These five topics are just the tip of the iceberg when it comes to blogging ideas for salons and spas. I’ll leave you with three closing thoughts.

  1. You’re the expert, so write about what you know.
  2. Keep it short and sweet. Blog posts don’t have to be essays. Two paragraphs can often do the job.
  3. Always remember that you want your blog entries to be found by search engines. So make sure you are using keywords and phrases that you would enter into Google if you were searching for this topic.

If you’d like to learn more easy things you can do to enhance your online marketing, don’t miss Strategies’ “Inbound Marketing” Webinar at 1 p.m. Eastern on Monday, April 30. You can register here.

 

 

Filed Under: Customer Loyalty, Information Flow, Uncategorized Tagged With: , , , , , , , , , ,

Five strategies for staying focused on customer service

April 16, 2012 by

You’re in a restaurant, waiting for someone to take your drink order. Scanning the room, you see plenty of employees. Finally, the waiter arrives and takes your order. You’re hungry and would like some of that bread that the party at the next table, who were seated after you, is enjoying. After a long wait the drinks arrive, and you order dinner (still no bread). The long wait and empty water glasses are in stark contrast to this restaurant’s reputation. You finish your meal and just want to go home. Now you’re waving your napkin trying to catch your waiter’s eye for the check. To avoid having to wait a minute longer, you have your credit card out to give the waiter when you ask for the check. Great food. Bad service. Zero peripheral vision.

Extraordinary customer service, whether in person, by phone or online, is all about being hypersensitive to the needs of others. I call it “peripheral vision.” It’s the ability to see, sense and anticipate all that’s happening around you – and respond instantly. Great companies excel at creating service cultures where its collective peripheral vision is honed to perfection. It’s all about delivering the best experience at every touch point.

Here are five no-compromise strategies to polish up and widen the peripheral vision of your customer-service efforts:

  1. It starts at the top: Peripheral vision starts with leadership. But for leaders, peripheral vision extends far beyond the ability to see all that’s around you. It means nurturing and protecting the company’s customer-service vision. If it’s not right, fix it. If it needs to be done, do it. If follow-through is an issue, address it. If standards need to be raised, raise them. If you have a toxic player on your team, what are you waiting for? No-compromise leaders strive for excellence, not mediocrity.
  2. Everything speaks: My friend Dennis Snow, author of Unleashing Excellence, says, “When it comes to customer service, everything speaks.” Everything around you is speaking to you. That cobweb on the light fixture, the stressed-out guest who needs some TLC, the tone in someone’s voice, the employee who can use another pair of hands – everything speaks. Peripheral vision sees everything – and engages without hesitation. (Unleashing Excellence is available in the Strategies bookstore.)
  3. Everyone is responsible: The deathblow to extraordinary customer service is when anyone in your company says or thinks, “It’s not my job.” When it comes to customer service and creating the right memorable experiences, it’s everyone’s job. Teamwork is about everyone pulling and pushing in the right direction, not dragging self-centered, egotistical and lazy non-players along for the ride. Indifference and “I don’t care” thinking kills companies. If an employee isn’t playing to be indispensable, he or she is dispensable.
  4. Train to see differently: Peripheral vision comes naturally to some while others need to develop their skills. What’s your training program look like? Nike can get away with “Just do it” in their advertising, but those words mean little in the world of customer service. What does anticipating needs look like in your company? How do you read body language? How should team members respond to specific customer problems? What words should they use and which should they avoid? Extraordinary customer service is a planned and orchestrated outcome. What’s your plan?
  5. Sense of urgency: Urgency is energy. Urgency keeps you and your company in the game. So, grab your company’s sense of urgency dial and turn it up. Wake up everyone on your team. Reconnect with your vision for extraordinary customer service. Rebuild your vision if that’s what’s needed. Play to win. Challenge yourself as a leader. Challenge your team to be as good as your marketing claims you are. Blow your customers away by delivering the unexpected. Thriving in the world of extraordinary is hard work. That’s why so few even try.

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What steps will you take to widen your “peripheral vision”? Click above to share.

Pass this e-mail on to your business colleagues, managers and friends. They’ll appreciate it.

Filed Under: Business Builders, Customer Loyalty, Monday Morning Wake-Up, No-Compromise Leadership, Teamwork Tagged With: , , , , ,
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