If you’re looking to distinguish your MedSpa in the increasingly competitive medical spa market, find three strategies below that can help you achieve exactly that. We compiled all the advice regarding Medspa growth and profitability that our advisors consistently give their clients and distilled it all down for you in this article. Whether you want to expand services to your clients, give your MedSpa an edge in the market, or simply keep up with the industry, you can increase the value of your MedSpa with these expert recommendations.
1. Get on Board with Memberships
Exclusivity is a key differentiator within a business. A MedSpa where your clients not only come for treatments but also feel like part of an exclusive club is a strategy to differentiate the experience. Memberships add an extra layer of value that can
- boost your MedSpa’s brand appeal and
- create a consistent, loyal client base
Instead of offering a single membership, offer at least two membership levels. Each level can offer distinct perks and benefits, enticing clients to jump in and then eventually upgrade for a more personalized experience. Make sure membership terms are crystal clear. If you don’t allow refunds, put that in your terms and conditions. We recommend an expiration date for the membership – you’ll want to create a timeframe for your clients to come in for their services. This gives you a better idea of how often your clients are using their memberships and getting services done. It also encourages clients to come in for the services they’ve already paid for (depending on if your membership program is monthly or yearly).
Think Through Perks, Benefits, and Freebies
While perks and benefits can be an exciting part of memberships, it is essential to put up limitations around these “freebies” to protect your profits. That means to consider your services that cost the least as your “freebies.” You want to avoid providing the more costly procedures (including materials, labor, and time) as free giveaways or promotions related to your memberships.
We realize the MedSpa market is highly competitive, with every business trying to top the next on what they can offer clients. It is not in your best interest to give away as much as you can for free because you think it’ll reel in clients. You want loyal, long-term clients who want to invest in themselves – regularly. If you’re considering gift cards as another promotional piece in your offerings, we highly recommend expiration dates and clear terms on when they can be used and for which services. Protect your profits.
Strategy for Services
When deciding on the kinds of procedures to offer as membership packages, consider the costs associated with each of your services. You wouldn’t want to offer memberships for your most costly, time-consuming procedures that require a registered nurse to administer. You might look to find a more strategic approach – such as offering packages for your less costly procedures, that take less time and do not require your upper-tier credentialed staff.
Memberships bring a variety of positives to MedSpa. However, there are strategic ways to maximize your membership packages to ensure you are protecting your profits and providing your clients with high-quality treatment for the services they want to purchase.
2. Streamline Your Scheduling
If you haven’t thought about efficient scheduling as customer service, now is the time to change that. It can (and likely will) increase your revenue, removing any clunky hurdles between your clients and the services they want. Plus, it provides another channel for them to book an appointment, which increases their channels of access and your channels of revenue. The marketing world calls this omnichannel marketing, but it’s not just a buzzword. Research shows omnichannel customers spend more money than multi-channel customers, which means that MedSpas like yours are leaving money on the table when customers want to book an appointment, but the option isn’t there.
Take some time to review your provider schedules and consider tightening up your booking system. Categorize treatments based on their type and typical duration so you can allocate the right amount of time for each appointment.
Efficient scheduling ensures that clients don’t end up waiting for ages and helps your staff stay on track. In addition, you’re creating a better client experience, and if you’re considering your next step, you’re showing potential buyers that your MedSpa operations are running smoothly.
3. Smart Cost Management
When thinking about increasing your MedSpa’s value, effective cost management is critical – not only does it maximize your profitability but it also ensures the long-term financial health and sustainability of your business. Here’s a comprehensive look at how to manage your MedSpa’s costs wisely.
Accounting for Inventory Correctly
Precise inventory management is crucial in the MedSpa world. It serves more than one purpose.
- Operational Efficiency: accurate inventory records are vital for seamless day-to-day operations. Whether it’s tracking the number of Botox units or other supplies, maintaining precise records ensures that you don’t order a bunch of materials you don’t need, or never run out of essential items and can deliver services without interruptions.
- Financial Accuracy: Proper inventory management extends to your financial statements. Failure to account for inventory accurately can lead to significant negative adjustments in the context of selling your practice. This, in turn, can impact your financial health and the perceived value of your MedSpa in the eyes of potential buyers.
Keeping a close eye on inventory and supplies allows you to more clearly allocate resources without compromising – and serve your clients.
By putting these three strategies into action –
- offering memberships,
- refining your scheduling and
- managing costs –
you can genuinely enhance your MedSpa’s value. Clients will enjoy an improved service experience, and Potential buyers will be drawn to the stability and growth potential that these steps can bring to your business. As you continue your journey toward a high-value, thriving business, remember that these key investments in your MedSpa’s value today will pay off tenfold in the long run. For you as an owner, your clients, and the future of your business.
Looking for more on how to increase the value of your MedSpa business with expert recommendations?
Download the full detailed MedSpa Value Checklist below.