2012 grow your business from the inside out

www.group3marketing.com @group3marketing #g3missemw /group3marketing

Grow Your Business From The Inside Out

Salon Marketing Strategies We Promise Will Put Your Guests

at the Heart of Your Business

ISSE - Midwest

November 4th & 5th, 2012


Customer/Guest Driven Boutique Direct Marketing Company

Founded in 1988 Wayzata, MN Specialty Retail With a Focus

on Beauty – The Business of Beauty• High Value Salons• Value Priced Salons• Beauty Supply Distributor• Manufacturer• PBA Member


Doing Business In The Age Of NOW

In-Salon Strategies Your Brand Promise Smarketing™ - Smart Marketing

• Retention• Win-Backs• Underperforming Guests

Guest Relationships Staying Connected

4

Beauty for the Ages

A 360o VIEW OF YOUR CHANGING GUESTS


TAKEaway #1

It’s What We Do to

Influence the Next Sale.

(Everything Else Is

Background Stuff.)

Let’s Define

Marketing…

New World

2008 Changed Everything

Technology Continues To Explode

Einstein Thinking Continues To Shape

How We Do Business

Winners And

Losers

www.group3marketing.com @group3marketing #g3missemw /group3marketing 7

TAKEaway #2

We Are Out of Our Comfort Zone

• Economy Is Changing

• The Rules of Society Are Changing

• Consumers/Guests/Clients

Are Changing

• Our Employees Are Changing

• How We Do Business Is Changing


Social Media Revolution 2012

Continue to next slide to view videohttp://youtu.be/0eUeL3n7fDs


Beauty for the AgesBYE-BYE BOOMERS – HELLO GEN Y!

GENERATIONS DEFINED

BOOMERS: 1946 – 1964

Idealists, self-centered, motivated by internal, inwardly-focused values

GEN X: 1965 – 1979

“Me” generation, savvy, entrepreneurial, very brand-conscious

GEN Y: 1980 – 1994

Millennials, confident, expressive, always connected, open to change


All Guests Are Not The Same

What Differences Do You See Between Your Female Guests Based on Age Groups?• Gen Y (Millennials) 18 - 30• Gen X 31 - 44• Boomers 45 – 64• Traditionalists 65+


Pop Quiz

What One Word Best Describes Your Guests Today

In The Age Of NOW?

Beauty for the Ages“HOW DID YOU HEAR ABOUT YOUR

PREFERRED SALON?”

• When choosing a salon, Gen Y is the most likely to follow others recommendations

• Gen Y is also the least receptive to advertising

0%

10%

20%

30%

40%

50%

60%

Perc

ent o

f Gen

erati

on

Gen YGen XBoomers


Understanding NEW Guest Dynamics

• The Dynamics Of Social Media– Significant changes in the last few years

13

0%

10%

20%

30%

40%

50%

60%

Perc

ent o

f Gen

erati

on

Gen YGen XBoomers


Growing Your Business From The

Inside Out Begins W

ith A Clear Focus

Virtual Tour

14


In-Salon Strategies


Right Here – Right Now

Step Outside Look in the Windows. Open The Door.

• What’s That Noise?• What’s That Smell?• What’s The First

Thing You See?

AMBIENCE Is First• Feelings• Positive Energy

5-Star Service Begins With ATTITUDE• Do It Like You Mean It

DRESS Like a Professional• Is There Any Other Way?

Be GUEST Centric• Be Flexible• Be Willing


The Grand Hello

Engaging Each Guest Before the Service Is The First Moment of Truth • The Welcome• The Check in

Always Verify the Guest’s Personal Information in the POS – Especially Their E-mail Address

Use The Menu As A Selling Tool For An Added Service

Always Have A Product To Sample


The Grand Experience

The Service(s) – the Second Moment of Truth• Create a Dialog

a) Don’t “Ask” What the Guest Wants

b) Offer at Least One Suggestion

• Stay Focused on the Guest• Have a Scripted Close

a) Is Everything Okay

b) Remind the Guest What Products You Used

c) Suggest When You Want to See Them Again


The Grand Goodbye

Checking Out – The Third Moment of Truth –

Failure Here Can Destroy Everything That

Previously Happened During the Visit

a) Compliment the Look

b) Ask If the Guest Sampled the New

Product or Whether the Products Used

Were Okay

c) Do You Need Any Products Before I Close

the Ticket

d) Get the Bill Right

e) Prebooking – Marketing Begins Here


TAKEaway #3

Why Is Our Focus on In-salon Strategies

an Important Part of Your Salon

Marketing Efforts?

Your Primary Goals – • Influence the Next Sale

to Set the Stage that Guarantees the Guest Comes Back Againand…

• Invigorate the Guest to Become Such a RAVING FAN that She Tells All Her Friends How Fabulous Your Salon Is.


The Brand Promise And Why It’s Important


Author Seth Godin Said…

“If you go out of business

tomorrow no one will care, so do

something remarkable or quit.”


The Brand Promise

All Marketers (and Salon Owners) Are Story Builders

Let’s Stay Focused• What Is Your Brand Promise?• Why Is it Important?

a) To Your Teamb) To Your Guests

Is Your Brand Promise• Static or Dynamic?

TAKEaway #4Every Time You

Consider a Change Ask How It Fits With Your Current Brand

Promise

24

Beauty for the Ages

GEN Y WANTS A SALON THAT IS:

trendy

hip an experience

25

Beauty for the Ages

GEN X IS TRENDY, BUT…

61% JUST WANT TO RELAX

SAME GOES FOR THE BOOMERS75% WANT THEIR SALON ENVIRONMENT

QUIET AND SUBDUED

26

Beauty for the Ages COLOR IS B I G

% COLORING THEIR HAIRGEN Y = 55% GEN X = 71% BOOMERS = 73%

WHY?BOOMERS: 64% COLOR FOR GREY COVERAGE

GEN X: 41% COLOR FOR GREY COVERAGE; 25% LIKE THE CHANGE

GEN Y: 46% LIKE THE CHANGE; 19% WANT TO FOLLOW TRENDS


Smarketing™

It’s Smart Marketing andIt’s All About Your Guests


GO Marketing

Every Guest is…– A Golden Opportunity

• Think of GO Marketing– A Missed Opportunity

• Think of MO Marketing

GO Marketing• Retention• Protection• Growth

MO Marketing• Defections• Decline


Retention The Heart of Smarketing

70% Is A Really Bad

Number


Retention The Heart of Smarketing

Why Is Retention Such A Challenge For Salons?• Service Vs. Guest Focus• Missing the Brand Promise• Not Staying Connected

31 www.group3marketing.com @group3marketing #g3missemw /group3marketing

Pop Quiz

What Do You Call A Guest When She (Or He) Walks

Out Of Your Salon?

A FREE AGEN

T

32 www.group3marketing.com @group3marketing #g3missemw /group3marketing

Pop Quiz

When Do You Begin MARKETING To Free

Agents?

RIGHT NOW


Let’s Talk About Loyalty

How “Loyal” Are Your Guests? To Whom Are They Loyal?

• The Salon?• Their Stylist?

What if I Told You Brand Loyalty Is Dead• Brand Experimentation

• Especially Boomers & Gen Y Guests

TAKEaway #5– Create Salon Loyalists

by Being Guest Centric• Recognize Them• Thank Them• Reward Them• Stay Connected

With Them

Beauty for the Ages“IF YOUR STYLIST LEFT YOUR SALON, WOULD YOU

FOLLOW HER/HIM TO A NEW SALON?”

Gen Y Gen X Boomers

Yes 27% 28% 34%

Maybe 52% 56% 52%

No, I like my salon, other stylists are

just as good21% 16% 14%


Beauty for the Ages“HOW LIKELY ARE YOU TO RECOMMEND YOUR STYLIST? HOW ABOUT YOUR SALON?”

Gen Y Gen X Boomers

Stylist 71% 74% 77%

Salon 80% 78% 80%


Defectors – It’s Going To Happen

Are You Ready? Signs a Guest Is

Defecting Can Be Bold or Subtle• Unsatisfactory Service• Unresolved Issues• Slowdown in Visit Rate• Fewer Services• Stylist Leaves

Create a Powerful Win Back Strategy For Your Salon• Internal – Organize a

Quick Response Team to Handle Guest Issues

• Smarketing• Don’t Let External Forces

Erode Your Business


Win Back The Defectors

TAKEaway #6• Be Alert

• Otherwise it’s MO Marketing Time

• Put Your POS to Work(It’s More Than a Cash Register and Booking System)

• Reach Out and Touch the Guest• The Heart of Smarketing

Is Being Direct, Timely and Relevant


Smarketing Is Being Organic

Underperforming Guests• You Know Who They Are• You See Them Every Day• You Do Nothing to Change Their Behavior

• Classic MO Marketing

Lost Revenue and Profits Lost Opportunity to Create a Salon Loyalist

• Better Yet – A Raving Fan


Loyalist Or Raving Fan

A Loyalist Is Passive

A Raving Fan Is Excited• She’s

Going To Talk About You

• Word Of Mouth Marketing

39


Underperforming Guests

Think of This As Classic

Guerrilla Marketing Warfare

The Challenge• Get Them to Buy What They

Are Not Buying - TRIAL

• Get Them to Come in

More Often

• Protect Your Margins


Guest Relationships


Buzz Words

•Overworked/ Overused•Loyalists•Raving Fans

Loyalty

•Guests Don’t Want Relationships•They Want Fabulous Service, Fair Prices, Smiles, And Rewards

Relationships

•Social•Connections•Viral•Two way

Engagement


Let’s Get Serious

Staying Connected – The Key to Growing

Your Business.

44

Put Your Guests At The Heart Of Your Business Make It Easy for Them To

Do Business With You

Two Ways To Connect Internal Data Mining Social Media

Being Guest Centric


Staying Connected

Guests Want to Stay Connected• Be Timely• Be Relevant• Be Social

A Rewards Program• A Guest Incentive Initiative

Goals• Keep Your Salon Top of Mind• Create a Reason to Return• Reward Patronage and Show Your Appreciation


Your Guest Marketing Program

This is Growing

Your Business From

The Inside Out

Do It Right – or Don’t Do It• Keep It Simple – Really Simple• Reward Purchase Behavior

First• Influence the Next Sale• Make the Program Meaningful

for Every Guest

The Premise• Spend and Earn –

Redeem and Save• Upsell and Cross Sell


A New Guest Marketing Program

Trigger Based Marketing• Something Happens EVERY DAY

• A New Guest Tries Your Salon• A Guest Does Not Come Back• A Guest Earns A Reward

• These Are Call-to-Action Triggers

Underperforming Guests Growth Opportunities Every Day


Ei3™ – A Powerful Tool In The Age Of NOW

Focus is electronic Turnkey Customizable Easily changed Affordable

Why E-mail? Epsilon Reports:

“Open Rates for Triggered e-mails soar”

Analysis of 7.1 billion e-mails found open rates for trigger based e-mails were 75% higher than “business as usual” (BAU) e-mails in Q1, 2012.


The Final Question

Where Should You Allocate Your Scarce

Marketing Resources?•Getting New Guests•Keeping Current Guests•Growing Current Guests


The Final TAKEaway

TAKEaway # 7• Marketing In The Age Of

NOW Works – IF…• Focus on Your Guests• Dedication• Commitment• Investment in the Future• Positive ROI


Before We Close

• Tomorrow 12:00 – 1:30PM – Tell Your Friends– Grow You Business From The Inside Out– Room 12

Information Sheet– Ei3™ Marketing Program

More Information – TEXT G3MISSE to 96362– Future Webinars– Presentation Copy– Weekly E-Marketing Newsletter


THANK YOUYou’ve Been Fantastic

Lifestyle

2012 grow your business from the inside out