PROTECT YOUR SALON & PROFITABILITY WITH PROMOTION TERMS & CONDITIONS

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Posted March 11, 2019

HABA would like to take this opportunity to thank our members for the incredible feedback we have received on this series of blog posts. We are loving bringing you ways to make sure that your salon profitability is high and how to run a successful salon promotion, and we are glad that you too are seeing the value in the work.

Now we get to talk about some of the more nitty-gritty aspects of running a salon promotion, but undoubtedly the more important aspects. Terms and Conditions are key to ensuring that your promotion is profitable and with restrictions for your customers, ensuring that your business is protected when running a particular offer. It’s important to write these carefully to ensure that there are no loopholes for customers to take advantage of your offer and reduce your overall profitability.

• They should state that they are not in conjunction with any other offer. This ensures that customers don’t try to stack offers and gain multiple discounts throughout the year.
• They should state the start and end date of any promotion so that they cannot be brought into salon months after the agreed finish date, or once a service has been increased in price.
• Restrictions on quantity can act to create a scarcity mindset to ensure that customers purchase quickly, but can also offer protection for your profit margins. For an offer with lower margins you want to deliver fewer of the service, but use it to garner attention.
• It’s a good idea to include a date by which any promotional offer must be used. Unlike Gift Vouchers, which now must have a 3 year expiry, a promotional offer can only be available to be booked for any period you decide This can ensure you drive customers into your salon during periods where you need to drum up more business, like January or July.
• Consider including a limit per customer of the offer that can be bought, particularly for retail offers. It has happened plenty of times where customers will try to purchase all their facials for the year during a discount sale and therefore do not pay full price all year. Consider limits of one per customer, particularly for service offerings.
• Consider restricting for whom the offer is available. Offers for new customers only can run year-round as a way to get them into the salon, and student prices might only target school-aged kids rather than university students. You can bet if you don’t specify that you will get people trying to claim an offer that you hadn’t particularly designed for them as your ideal target market.

Ultimately, writing a comprehensive set of terms and conditions is about protecting your business from people trying to get something for nothing. Not all customers are out to get the most out of you they can – but there will always be a few who try it on. Consider all the scenarios in which customers could try to take advantage, and what you will and won’t accept, and write your terms and conditions to cover those scenarios. If your offer is for a significant amount of money or you’re really concerned, consider speaking to a lawyer or solicitor to be doubly sure. In the case of most promotions, the above framework should give you the protection you need to ensure your salon promotion goes off without a hitch and doesn’t end up costing your business.