The Hidden Revenue Stream: How Gift Cards and Add-Ons Boost Your Bottom Line
The Overlooked Opportunity Most studio owners spend their energy filling classes and booking appointments. That’s the core revenue, so it makes...
1 min read
Katie Zacharkiw
:
Updated on October 16, 2018
In a perfect business model all of your clients are dues-paying members of your business and regularly come in for your classes. But of course this is never the case. More likely, you have a mix of loyal, frequently-seen clients, clients who only come in once or twice a month, and drop-ins you’ll never see again.
Within one of these groups lies huge potential for increased profits. I’m talking about those clients who show up for classes once in a while but have never committed to a membership or even a pass. A little nurturing may hook them back in and get them to finally commit, and drastically increase your profits.
If they’ve been to a class, you have their contact information. Send periodic emails to check in, and invite them back to your facility. You could add in a coupon as an extra incentive. The goal is to stay at the forefront of your client’s mind. Your emails are a little reminder that your business is there and their presence is missed.
Looking at the classes your client has attended in the past, you can get a pretty good idea of what is interesting to them. Suggest a specific class or a course that your client might like. The personal invitation may be just the motivation they need to sign up.
After a certain amount of visits, it becomes much cheaper to purchase a membership or pass than to pay drop-in prices every time. Remind your clients of this, especially if they might not realize it. You might even offer a discount on membership to sweeten the deal.
The next time you see your uncommitted client, put a little extra effort into making sure their experience is great. It will remind them why they like coming to your facility, and may motivate them to come by more often.
If you don’t already have a loyalty program in place, it’s time to seriously consider starting one. Loyalty programs are a proven way to increase customer retention and encourage more frequent visitors; 71% of consumers say loyalty programs are important part of their relationship to a brand.
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