When a product manufacturer or distributor rolls out new product promotions, it’s very tempting to sell those items to your clients at regular price, pocketing the extra savings for yourself. On the surface, this strategy makes a lot of sense. After all, you work hard and picking up a few extra dollars feels like being rewarded for that.
While that approach will surely make you a little extra money in the short term, passing along the promotional savings to your clients can help you steadily increase your long-term income.
Hear us out.
There is a lot of competition for beauty product sales these days. Big box retailers (both brick and mortar and online) are usually able to undercut small businesses price wise, because they deal in higher volume. Lowering the price of a bottle of shampoo by a few dollars is more than made up for when you’re selling hundreds of bottles a week. It’s difficult for small businesses to compete in this area because every sale (and every dollar) counts.
The number one reason that clients do not purchase their products in the salon is because they can usually find it for less, elsewhere. If you get a price break on a product from your manufacturer or distributor, you can use that “breathing room” to offer a discount to your clients, this gets you back on the playing field, in terms of pricing.
Passing along promotional savings also takes a job off of your plate—namely marketing sales and deciding which promotions to offer in your salon. Using your manufacturer and distributor promotional calendars as a blueprint for your salon’s marketing efforts is an easy, time saving solution. Typically, there is some sort of communication around upcoming promotions, well in advance. Take our digital magazine, beauty z.one. It is packed with upcoming promotions and marketing materials that can be used in your salon, immediately.
Time saved is money earned.
Finally, passing along promotional pricing to your clients goes a long way towards building a better relationship. Consider how nice it feels to get an unexpected gift form someone, it’s a small way to let someone know that they are appreciated. Making these small deposits in your and your clients relationship bank account add up over time and can help foster loyalty. Apart from your skillset, the relationships that you build with your clientele are your most valuable asset. Anything that you can do to strengthen and grow them is time and money well spent.
At the end of the day, pocketing the extra savings from a promotional offer may give you a little jolt of instant gratification and sometimes, times may be tough, and those discounts are all that is standing between you and the lights going out. However, if you are in the position to do so, consider what it might mean to your clients if you shared the wealth a little.