Just how much are your salon clients worth to your business?
Attracting new clients to your hair salon is important BUT retaining your loyal existing ones is even more important. Why? Because of their Lifetime Value to your salon.
Salon customer loyalty
Customer Lifetime Value (CLV) is one of the most important measures of the worth of a hair salon client.
It calculates the expected £££s you will receive from a loyal salon client over their projected lifetime as a customer.
It’s quite sobering to see how big the CLV can be.
How much are you losing?
- Say your average haircut is £40
- A salon client visits five times per year = £200 pa spend
- Add a couple of colour services at £60
- Add a couple of retail purchases at £15 each
- Total annual spend for client = £350
- If this client stays with your salon for five years = total £1,750 spend
- Keep them for 10 years = £3,500 spend
*and this is not taking into account any price increases or inflation.
Invest in marketing your hair salon
And the benefits of retaining loyal clients go even further. Invest in your hair salon marketing to your existing loyal clients and:
- Salon referrals will increase
- Average salon spend will go up
- Loyal customers are less price sensitive
- The costs of servicing them are less than new clients
- Complaints are lower
- Profits go up
So you can, loyal clients are exactly what your salon business needs! For more reading on salon client loyalty.