Stacking Services with Massage Therapy

Would you like to be able to earn more money for your work?

The real question is who wouldn’t? There are several ways you can earn more money by increasing the value of your work – making it more convenient, offering better results with advanced techniques, et cetera. Today I’ll talk about stacking you services.

What does “Stacking Services” Mean?

Stacking services means performing more services that you can charge money for within the same amount of time. An example from my spa days was to have a base rate for a one-hour massage and then charge more for add-ons. For instance, you could charge an extra $10 for deep tissue or aromatherapy, or $15 for both together. The key here is that you are increasing revenue without increasing time.

Stacking services is a way to become more efficient with your time. Let’s step into the shoes of a spa manager for a moment. You’d know that you have a certain number of treatment rooms and that you are open for a certain number of hours per day and per week. That means that there is a certain dollar-value in revenue for each room. What stacking services does is to increase the revenue that each room would make every hour.

Doing More with the Same

The same thing applies to large spas or private, individual practices – you have a certain amount of work that can be performed and it is limited. For an individual therapist, that limit would be the number of massages one could do in a week. For a simple example, if a MT can do 20 massages a week and makes $50 per massage then they are limited to a maximum of $1000 per week. In a perfect world, this MT would earn that much, but in the real world we know that they would seldom be fully booked and would be lucky to make 75% of that.

Now if this same MT stacked some services and raised the average profit per massage to $60, then the weekly income would go up by 20% without working any extra hours. Nice improvement!

For a real-world example, at my old spa, we charged an even $100 for our base one-hour service, a one hour Solace Massage (more on branding later), but our average billed service ran $128 for an hour. All due to stacking. Needless to say, this improved our profitability by 28% without any more hours.

What Can I Stack?

The key to stacking is to do more things in the same time frame. It is fairly common for massage establishments to charge more for specialized massage treatments that require additional training – clinical deep tissue, pregnancy massage, manual lymph drainage, hot stone therapy, and so on. This reflects the fact that fewer people know how to do it. Do you have skills that you could charge a premium for? If you are looking to acquire some skills, find a good balance between what you want to do and what your clients are looking for. If you don’t know what your clients really value about your work – find out! Here are some examples of things you can stack easily:

1. Hot Stone Massage
2. Aromatherapy
3. Deep Tissue work
4. Sports Massage
5. Reflexology
6. Body Treatments – Exfoliations & Body Wraps
7. Eye Zone treatments
8. Signature treatments (i.e. your specialty scalp massage)
9. Postural Evalutations

This is by no means an exhaustive list. Do some brainstorming and think about what you can do to add value for your clients. Will they all jump to take advantage of your add-ons? No, but if you really take into account what they want and look to you to deliver, these add-on services can tailor their treatment to even more perfectly fit their needs.

Adding Time

Another relatively easy way to increase the efficiency of your time is to increase the length of your service. I found that when I was doing outcall massage to the hotels in San Francisco that maybe half of the time if the client had booked a one-hour massage and I asked if they would like to go for a 90-minute session they would say yes.

Now this is different than stacking because it actually does take more time, but especially for outcall massage it is more efficient because it maximizes your travel time.

You see, it would take about 30 minutes to get to and from each appointment for me. That meant every appointment actually took me 2 hours for a one-hour massage. However, with the upsell to 90-minutes, I got paid for 90-minutes of 2.5 hours instead of one-hour out of two. That’s 10% better. You’re already there, so why not make more while you’re at it?

The only problem with this one is when you’re already working close to your limits. Adding time isn’t the best option in that case.

Wrapping It Up

Make sure that when you think of these things that you are looking at it from your clients’ perspective. What do they value about your work and how can these add-ons make it better? If an add-on isn’t a win-win for both you and your clients, don’t do it. They’ll resent it and feel you are trying to gouge them if it only works for you. And you’ll resent having to do it if it only works for the client. If you own a massage business, it has to be win-win-win: for you, the client, and for the massage therapist doing the labor.

• Digg this
• Add to del.icio.us
• Stumble It!

Repeat Clients Are Golden

Have you ever noticed how cell phone companies always seem to offer the best deals to new customers? To customers that switch from other carriers? How you, as a loyal customer only get ho-hum deals on upgrading a phone or changing your plan?

Another one I love is when you’ve been a customer of a company for a while, you call to cancel and they transfer you to “customer retention” where they offer you a deal at half the rate you’ve been paying. Why didn’t you offer me a better rate before?

How does this make you feel as a customer?

In many business and marketing classes, you are taught how to find new customers – a necessary and worthy endeavor. The trick is to balance the quest for new blood in your practice with honoring those who have been with you all the while.

The Cost of a New Client

What many people don’t realize is that gaining new customers costs money. If not money, it costs time; but as the old saying goes, time is money. So just how much money does gaining a client cost you?

Well first you have to determine how much money you are spending on your marketing efforts. Tally up what you spend on business cards, mailers, maintaining your website, open houses, charity functions, etc… so you have a dollar amount. The next part is a little harder – figuring out the intangible costs.

To figure out the intangibles, ask yourself, “Are any of my promotional efforts costing me money in time or potential lost business”? If your time is plentiful, this may not really be a cost. But if it isn’t, you might be “spending” money that way. Also factor in things like transportation, refreshments and any other costs direct or indirect.

Let’s take an example (numbers entirely fabricated) by evaluating all you spend on marketing broken up by category. Then, you have to keep track of how many clients you get from each source. And finally you divide to see how much each new client costs you…

Biz Cards	$25	5 clients	$5 each
Paper Ad	$150	3 clients	$50 each
Online	$50	2 clients	$25 each
Health Fair	$400	8 clients	$50 each
Mailer	$100	5 clients	$20 each
Totals	$725	23 new clients	$31.52 average

What this does is allow you to see how effective each effort is. In this example, our imaginary MT spent $31.52 to gain each new client. New clients are expensive! But wait, there’s more! If you give an introductory discount, it can be even more.

Say your normal rate is $70 per hour. If you give a $20 new client discount on top of that then those clients from the newspaper ad and the health fair were given a free massage. You’d better make sure they come back! The business cards were more efficient, but during this time frame their appointment was still given for:

$70-31.52-20 = $13.48

New clients are vital to any business, growing or established, but don’t lose sight of the big picture and focus all of your efforts here. Not many of us can afford to do all of our work for $13 an hour. It can be an eye opening experience to find out exactly how much we can spend to get those clients in the door. The added bonus to this strategy is that it can really help us focus on our most successful and efficient marketing efforts.

Repeat Clients Are Golden

Now that we’ve seen the sticker shock of how much new clients can cost, how much do returning clients cost?

Nada.

Quite often a client will come back with a simple “would you like to book your next session now?”? Don’t miss this opportunity to ask the client to come back. Show your appreciation for their business and to let them know how much you genuinely value them. Gratitude can go a long way.

Going back to the cell phone company example from the start of this post, why don’t you go a step further and offer a VIP program, a “frequent flier” type program, or a discount for booking a massage at least once a month?

If you look back to working with new clients, you have to look at your conversion rate – how many of those new clients come back for another massage? And another? Personally, unless there is a major clash of personalities, I consider it a problem with my service if a client wouldn’t come back for another session. I use that as an opportunity to evaluate if I could do something better. Of course there could be any number of reasons why a client doesn’t return, so find out what those reasons are! You can’t do anything about it if you don’t know!

Invite those clients back, entice them for more, and as they say in show business, always leave them wanting more (but not wanting what they came for in the first place).

The 80/20 Principle tells us that 20% of your clients will provide 80% of your bookings and income. Make sure you know who they are and you treat those 20% the way they deserve. (More on the 80/20 Principle to come)

I had a client once that turned to me as he handed me the check with a bemused grin on his face and said “wow, with all this money I’ve spent on massage I could have bought a car!”. He followed that statement up by saying that he had enough cars anyway (much to my relief) but it also made me realize that he had spent thousands of dollars with me. When I looked at the books, it turned out that this one client had provided almost 10% of my income for the year!

Follow Up

If you haven’t heard from one of your regulars in a while, make a point of calling them to see how they are doing. Although many new massage therapists blanch at the idea because they are afraid it seems pushy, it has always been a good thing for my practice. In fact, I usually get a booking out of it and I have had quite a few clients thank me for calling – genuinely grateful because I was concerned for their well-being. You’d be surprised how many of your clients think about coming to see you but life gets in the way and they don’t get around to it. Make it easy for them.

There are any number of strategies out there to maintain contact with your clients, so look them up and use them! Ask your colleagues what they do. Ask your old teachers. But above all…

Don’t neglect your repeat clients!

• Digg this
• Add to del.icio.us
• Stumble It!

Building Your Personal Network To Build Your Massage Business

This is a very simple, yet powerful technique to kickstart the best way to build your business – word of mouth. I’ve taught this method in my business classes for years, and the students who apply it meet with great success.

Building Word of Mouth

This is far and away the most effective long-term strategy for a healthy business. It involves building a reputation and confidence in your customers that if they send their friends to you that they will be well taken care of. It starts with exemplary service to your customers. Provide top-notch customer service to every client and potential client. They won’t recommend you if they did not have a good experience.

But how do you take the next step, getting them to refer their friends and family to you? With some clients, you don’t have to do anything – they will sing your praises to anyone within earshot. It’s the others that you should focus on (without forgetting these wonderful people of course!)

What Do You Want Them To Say?

One thing that I’ve seen very few people pause to think about is what people are saying about you. Remember that everybody has their own view about what massage is and what it means to them. People will talk about what massage does for them, not necessarily what it can do for their friend.

To tailor this message a little more, first you need to understand what it is that you deliver. That involves several pieces…

1. What do you do? (Frame it in terms of what the client gets out of your work) and what do you enjoy doing? What are the challenges that you like to face in your practice?
2. Who do you work with? This ties in to what challenges you like to face, but what kinds of clients do you work with? Athletes? Pregnant women?
3. What environment do you practice in? Clinical? Spa? Outcall to clients’ homes? This is tied heavily to the clients you work with. It can also include the kind of “functional” environment that you create. You can create a spa feeling within a clinic and vice versa.

The final step in this process is to create a mission statement that includes these pieces. Try to make it clear and concise – preferably something that is easy to say aloud. Why? Because you will be saying this to your clients in so many words and more importantly, this is what you want your clients to be saying to other people.

Get The Word Out

Once you have refined a mission statement, you need to get it out there. Let all of your current clients know about it and use it in your marketing and in conversation with potential clients. You don’t have to say it word for word every time, but it should be clear enough that every person hearing or reading your message will be able to describe fairly accurately what you are all about.

It is not limited to only potential clients though, and here is the magic. When you make a simple, clear statement about what you do (that really communicates your mission) then that is what sticks in the person’s mind. You’ve created an association in their mind, you’ve created a special category for you, your brand of massage therapy, who you work with, what environment you work in, and what problems you deal with. From that point on, any time one of those topics comes up, they have a much better chance of recalling you.

Recruiting Your Army

Finally we get to the simple, yet powerful, technique I mentioned at the start of this post. The Friends & Family Letter (FFL). To understand how this works, think about what you do when you need something you don’t know about. Where do you turn to first? Simple, you turn to the people you know to ask about their experiences. Then you rely on other people’s testimonials and personal familiarity (like you drive by the business every day but have never been in it). Then, and only then, do most people turn to marketing. Of course that doesn’t mean that you should neglect your marketing, but that shouldn’t be your first effort.

The FFL is designed to recruit the people you already have a relationship with to be your sales & marketing force. The good news is that because these people know you they will hear you out. They care about you and they want you to succeed. You can sound like a dork in the letter and they won’t care because they already like you!

To write it, discuss the following:

1. What you’re up to: Are you just graduating or still in school? Are you starting a private practice? Are you job-hunting? Give them an update
2. What you do: Here is where the personal mission statement kicks in. Make sure you frame it in terms of how you can benefit them (your friends & family). Make sure it is in terms of how they should talk about it to their friends and family. It is very important to be clear here, because what you say here heavily influences what they say about you – which is exactly what you want.
3. What you want them to do. ASK! Make sure you come out directly and ask them to help you. They like you already so it isn’t a great imposition. Do you want them to come in and get a massage? Do you want them to tell all of their friends and family about you? Do you want them to ask their friends and family if they have heard about any massage jobs for you? All of these? Make sure you ask them directly – don’t just hope that they understand what it is that you are looking for.
4. Thank them and let them know what they get out of it. You might have a referral program or you might offer your undying gratitude. Make sure you show your appreciation.

You can tell your friends & family that they can forward it on. Send it as a letter or as an email.

Effective?

So does this work? I had a student who sent out a FFL by email the night of this class lecture. Over the next 2 days she got over 20 new appointment bookings from people she knew, booked herself out for that weekend, and ended up getting established with a successful weekend BBQ massage business – all by referral. In fact it was so successful that she turned it into a monthly newsletter that continued to help grow her business.

These people know you, so they are likely talking about you already. But are they saying the right things? Do they know what you’d like them to say? Do they know you’d like their help? Do they know what they can do to help? This FFL helps to answer all of these questions.

Good luck! And let me know how it works for you!

• Digg this
• Add to del.icio.us
• Stumble It!