Salon Retail Promotion Ideas
By Samuel Tokko
The goal of salon retail should primarily be to move inventory in and out of your salon. The faster your inventory moves, the more profit you will make. So, what can a salon do to attract more sales from more buyers? Let’s look at some of the ways you can improve your salon retail sales:
HOW TO PROMOTE
The most common way you can promote an item to sell is a percentage discount. The percentage of your discount will depend on the cost of your product and your desired return for that product. For example, if you buy a shampoo product for $5 each and you normally sell it for $10, then you have a product that is marked up 100% and will give you a 50% profit margin. For a sales promotion, you may want to offer a 25% off deal, making the new discounted price at $7.50 and giving you a 33% profit margin.
Use this discount calculator to determine what percentage discount makes sense for your product:
Whenever you consider sales promotions, you still want to make profit off of that item, unless it is a product that has already been on sale for a long period of time (1 year+). This is why it is important for you to find deals and try to save on products you know you’re going to sell. The more of a discount you can get on the cost of the products you sell, then the more you can markup, the more your profit margin, and the more you can discount that product if you need to. This is why at Joi Hair, bundle packaging and discounts are offered exclusively to salons, so that you can maximize your profits and have the freedom to charge whatever price you want. Check out the Joi Hair Product Selling Plan to see how much you can save on top quality, ready-to-wear hair extensions.
2. Bundle Discount
Bundling products can be executed in a number of different ways. The most common way to bundle products together is by using a “buy one, get one” (BOGO) approach. For example, if your client buys your shampoo for $10, then your client gets one more for free. BOGO is recommended only if your profit margins exceed 50%. If you sell your shampoo at $10 and your cost was $5, then giving away 2 shampoos means that you are breaking even. Since your goal is to make profit, you might want to consider selling that same shampoo for $15, so that the BOGO sales approach makes you at least $5 for that shampoo. Another approach is to combine the BOGO concept with Percentage Discount. So, if the client buys a product then he can get another one of those products for 50% off. Bundling products together can really allow customers to feel like they are getting the most out of their money.
3. loyalty programs
If you have a client that reliably and consistently buys from you, then you probably want to consider rewarding that client’s loyalty to you. Just having a loyalty program can also entice other, less consistent buyers from getting products from you. There are many salon booking softwares that will track not only sales and schedules for your clients, but also allow clients to collect rewards points. The amount of points should be determined by how much a client spends on their services or products. For example, you can give 1 point per dollar spent at your salon and if they collect 500 points from you, then they get to redeem a free shampoo or service. Salon Iris is a great example of a salon booking software that can has these features. They are an award-winning salon app that functions as a POS system, booking software, and rewards program for those who are loyal to you.
WHERE TO PROMOTE
SOCIAL MEDIA ADS
One modern and effective way to promote the sale is on social media. If you have a good following, it’s most likely that those followers are either past customers or potential customers. Let them all know that they can get your products for a discount. The recommended social media platforms to promote deals are Facebook, Yelp and Instagram. If you don’t have a great following or you’re a just starting out, you’ll want to consider Social Media Ads. This may cost a little more, but you can always control the budget for your ad and you can target very specific audiences and locations for your products.
2. SALON WEBSITE
Having a salon website is paramount in this day and age. You can promote all your products on your website to all the locals in your area looking for a haircut. You should create a page dedicated to the products that you provide and as people search your products, they’ll get a good sense of what your salon is all about. This is a great way to provide a sneak peek to your salon, the services you provide, and the products you sell. If you don’t have a salon website or your website is not up to par, read our Comprehensive Guide to Create a Stunning Salon Website.
3. STOREFRONT BANNERS
If you get a lot of traffic in front of your salon, a good way to announce your sales is to design and print out posters of your sales. Invoke curiosity to the people walking by your salon and give them a reason to enter your beautiful salon.