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Profitability--Proven Steps to Ensuring a Healthy Bottom Line

By: Melinda Minton
Posted: March 26, 2009, from the April 2009 issue of Skin Inc. magazine.

Running a spa is an ongoing challenge that keeps owners and managers on their toes and then some.However, there are tried-and-true methods for ensuring a healthy bottom line while still maintaining the high standards of quality and service your clients have grown accustomed to. In fact, in many ways, tightening up management strategies and operational methodologies can actually improve quality, cut costs and improve employee morale.

Expedite and measure

When employees are offered unlimited amounts of product for back bar use, unlimited amounts will be wasted. This is a given fact of spa reality. However, offering premeasured trays of back bar for specific treatments such as facials, body treatments and massages allows for the exact amount of product to be distributed and used for the service without waste.

Moreover, expediting yields consistency for the client. This way, each client receives the same standard of service, the same type of service and the same treatment. Each staff member, likewise, is treated equally within the scope of services offered.

Offering an expedited service further controls theft both by staff and clients as well, because products aren’t sitting in treatment rooms unaccounted for. Rather, they are monitored, measured and allocated as needed, allowing for a more precise treatment of costs per service, wastage and true profitability per service.

Train, train, train

While the cost of education and training for employees can be high, the overall impact on the spa is well worth the added effort and expense. Training works on many levels toward enhancing profitability. When a treatment is performed by a staff member who completely understands the service, the client is much more likely to return for the same service or a similar service at a future date. The client is similarly more apt to purchase home care or add on to a service complementing the core treatment they are experiencing.