Hi there, I am an experienced therapist setting up from scratch in a new city. I have been against vouchers in the past but was wondering if anyone had actually had a good experience taking part in a scheme at all? By that I mean generating extra income from add on treatments offered to voucher clients and particularly whether any repeat (full price) business resulted from the offer. I'm working solo so don't have staff to keep busy/train, and rent a room in a clinic. I am wanting to promote my skincare so would offer a facial, but basically would not be making more than a few pounds over the cost of products, although I can cap how many vouchers sold. Living Social are quoting an 80% rebook rate for repeat business, but this seems a bit "pie in the sky"! Thoughts?
Is Living Social worth it?
- Thread starter BJohnson
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Help Support SalonGeek:
noreenoconnor
CND Education Ambassador Cork
80% hahahaha
its a well know fact the reality is more like 1% and thats not exaggerating
They kind of clientele these deals attract, are deal hunters, it will be difficult to upsell and retail to these clients and they will not be loyal to anyone but the voucher site.
I used to rent a section in a hair and beauty salon, and when i first arrived the previous tech had done a deal but left, so the owner told me there was a few still left over and would i mind taking them over, i said i didn't mind because i had no clientele and hoped i would keep some of them on as clients… well a few turned out to be 357 vouchers, I kept 3 clients , 2 of which were absolute pains and i had phase out after a few months by telling them i had no availability and one who is a dream client and still comes to me to this day ….
You'll turn away potential good customers because you'll be booked out with vouchers making no money, and the amount of messing around with appointments with swapping and changing and canceling last minute will drive you mad
Save your sanity and stay away from the site, or any site like it …. theres no money and no longer term clients out of it, i'm sure there will be more along to say the same as me
its a well know fact the reality is more like 1% and thats not exaggerating
They kind of clientele these deals attract, are deal hunters, it will be difficult to upsell and retail to these clients and they will not be loyal to anyone but the voucher site. I used to rent a section in a hair and beauty salon, and when i first arrived the previous tech had done a deal but left, so the owner told me there was a few still left over and would i mind taking them over, i said i didn't mind because i had no clientele and hoped i would keep some of them on as clients… well a few turned out to be 357 vouchers, I kept 3 clients , 2 of which were absolute pains and i had phase out after a few months by telling them i had no availability and one who is a dream client and still comes to me to this day ….
You'll turn away potential good customers because you'll be booked out with vouchers making no money, and the amount of messing around with appointments with swapping and changing and canceling last minute will drive you mad
Save your sanity and stay away from the site, or any site like it …. theres no money and no longer term clients out of it, i'm sure there will be more along to say the same as me
jemma brookes
Active Member
I have a very positive viewpoint with regards to Living Social. When I first started up over 4 years ago, I did deals with Living Social. They never sell anywhere near as many as Groupon so you don't get bomb barded. What I found with Living social customers was that they were considered more "upper class" so were happy to spend a bit more on a Living Social voucher instead of the groupons which you will always make less money on. Back when I worked with them, I think it worked out I got 65% they got 35%. I would say I got around 10% rebook and have 4 regulars that came to me on a Living Social who are still with me today. And they praise the site also. Now back then to get my name about, I also did deals with Groupon and Wowcher.
Groupons didn't come back, had a lot of messing about and wayyy too many brought the vouchers even though I capped them every time. Wowcher were up and down.
By far of them all Living Social were the better kind of clients, turned up on time, weren't rude and often tipped or rebooked. I'd say with you just starting out it is a great way to get your name out there. Plus you wont sell thousands meaning you can fit them in where you have quiet periods.
Hope this helps xx
krum
Well-Known Member
I think it can work but don't discount too heavily. It's a big mistake to do like 75% off full price as that only attracts deal hunters. But say it's 30% and the people who do have a great treatment they are much more likely to rebook as the next full price treatment isn't way, way more. It seems reasonable to rebook at full price then.
squidgernetball
Ubergeek
I hate any voucher sites. I think they belittle our industry and attract the worst type of client I'm afraid. I agree with @noreenoconnor. Most voucher users are looking for the next voucher.
I personally think you're better off putting out a local offer via a leaflet drop or advert with a hefty discount to the first x amount to book. This way you have a limit which you can exceed if you want and all the money is yours.
Vic x
I personally think you're better off putting out a local offer via a leaflet drop or advert with a hefty discount to the first x amount to book. This way you have a limit which you can exceed if you want and all the money is yours.
Vic x
cocomummy2
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I totally agree with @noreenoconnor & squidgernetball, the voucher companies are the only people who benefit! Why undersell yourself? You'll find it very hard to get clients to see the value in what you do if they got a previous treatment at such a small price. Although you see it as doing discount to attract potential clients, they will see it as 'you must be making a fortune on treatments if you can afford to do those deals' which isn't the case!
When we first set up 8years ago we did a tried & tested article in a local glossy magazine & also linked with local businesses (there is a well known garden centre/coffee shop/ local pub etc around us) to offer both there customers & staff an offer. We tried not to discount prices though, instead we offered add on's like free hand& arm massage with shellac services or manicures incorporated hot stone(a good one coming into winter) for facials we did add on hand or foot massages or a take away sample size product. Doing an offer this way costs you next to nothing to do, but will give your client feeling they are getting a deal without getting them used to paying less for something. Hope that helps. We didn't think we'd still be here 8 years later but have stuck to our guns on not doing crazy deals & have developed a very loyal client base. Good luck.
When we first set up 8years ago we did a tried & tested article in a local glossy magazine & also linked with local businesses (there is a well known garden centre/coffee shop/ local pub etc around us) to offer both there customers & staff an offer. We tried not to discount prices though, instead we offered add on's like free hand& arm massage with shellac services or manicures incorporated hot stone(a good one coming into winter) for facials we did add on hand or foot massages or a take away sample size product. Doing an offer this way costs you next to nothing to do, but will give your client feeling they are getting a deal without getting them used to paying less for something. Hope that helps. We didn't think we'd still be here 8 years later but have stuck to our guns on not doing crazy deals & have developed a very loyal client base. Good luck.
