What are the key factors when analysing my business?

The beauty industry is growing at an extremely fast rate and becoming more challenging every year. Therefore, it is crucial to find out what is working and what is not working in salons and spas.

Analysing your business is vital and here are some key pointers to ensure you are operating at optimum efficiency. Make sure you choose the right software to give you all the accurate information you need.

The two key performance indicators to analyse constantly are your wage percentage and management of white space.

The key to managing your wage percentage is to ensure your therapists are working on as high revenue treatments as possible. Of course, there is always going to be a mix of treatments in your offering to clients but getting this mix right is vital to keep your wage percentage at a level that will ensure profitability at the end of the day. Analysis of your wage percentage every week is essential and will show quite clearly if you have your therapists working on the right mix of treatments.

It is so important to have a senior member of your team managing white space every day. This will enable you to clearly see how your days and weeks are mapping out and to react accordingly to fill the diary as quickly as possible. Full diaries are happy days!

Other key areas of your business to analyse are re-booking rates, retail sale percentage v treatment revenue, and how many new clients are you attracting?

Professional Beauty Magazine  – Ask The Experts