12 steps to a Happy and Profitable Christmas in your Salon retail or Spa retail

Christmas is a pivotal time for many customer-facing businesses, from retailers to service providers. According to data from Phorest, a salon software provider, 6,000 salons across the UK, US, Ireland, and Germany see retail accounting for an average of 11% of their salon revenue from January to November. This number jumps significantly to 19% in December. Read more about this on here

The festive season beckons a shift in consumer purchasing habits. Throughout the year, most purchases are personal, but as we approach Christmas, gift-buying becomes dominant. To ensure a prosperous season that bolsters both sales and profits, consider these essential strategies:

1. Plan and Analyze Early: Dive into your previous year's performance. Identify what products flew off the shelves and which ones didn’t. Examine the total profit of each product line and the stock left over post-holiday season. If excess stock lingered, how did you offload it, and what did that cost you? Remember to work out the Rate of Sale, this will help you when planning your buy.

2. Cater to All Budgets: From luxurious gift hampers to budget-friendly stocking stuffers or Secret Santa gifts, ensure you provide a range for all.

3. Leverage Supplier Offers: Many suppliers present ready-made gift sets—these can be beneficial if they’re priced rightly. However, be wary of superficial add-ons like low-cost washbags. If suppliers offer discounts for bulk orders, be cautious. Overstocking can lead to heavy markdowns and wastage come the new year.

4. Plan Your Display Space: Whether you’re curating your own festive packages or sourcing them, space management is crucial. Aim for a clear and captivating presentation by allocating more space for festive products and reducing the number of regular options. These visual changes are justified not only by the additional revenue generated but they can also accentuate your festive décor.

5. Order Strategically: It's wise to order early but conservatively. Understand your suppliers' policies. Some may reserve stock for you, giving you the flexibility to reorder if needed, while others might not. Aim to minimize risk—let them hold onto stock until you need the quantities. If you need to place order early on, negotiate later delivery dates or extended payment terms. Whenever possible, opt for sets that can also sell as individual items or can be utilized by your staff.

6. Maintain Stock file Integrity ( Ensure you track all inventory movements ) : Whether you build your own gift sets or you have to disassemble bought in sets to sell items separately or for you staff to use in treatments and services, it's crucial to update your inventory management system accordingly. Consistent tracking ensures an accurate picture of stock levels and aids in making informed decisions.

7. Marketing and Promotion: Consider promoting your special holiday offers and gift sets on social media, your website, or even through email marketing. Remind your customers of the unique products or services you have

8. Festive Ambiance: Create a festive atmosphere in your salon or spa. This doesn’t necessarily mean heavy decoration, but subtle touches like scented candles, festive music, or even holiday-themed treatments can make a difference.

9. Staff Training: Ensure your staff is well-informed about the Christmas products and promotions. They should be able to explain the benefits and features of products, especially if they're in gift sets.

10. Loyalty Programs & Gift Cards: Encourage repeat business by offering loyalty points for purchases made during the Christmas season. Also, gift cards are a versatile gift option for many, so if you are offering them, make sure you promote them effectively.

11. Feedback Loop: After the festive season, gather feedback from both customers and staff. What did they love? What could have been better? This will help you refine your strategies for the next big event or holiday season.

12. Return & Exchange Policies: Given that many purchases will be gifts, ensure you have a clear and fair return or exchange policy in place, and communicate this to customers at the point of purchase.

Remember, the primary goal is not just to boost sales in December but to enhance the customer experience during the festive period, supporting the long term profitability

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