The Mentor Chair · Money & pricing
The situation
You're considering an offer to bring new people in, and you're not sure what it will actually cost you.
From the mentor chair
Sometimes.
But I want you to think about what you're giving away and why you're giving it away.
There's a difference between strategically creating an introductory offer and simply making yourself cheaper.
If you're trying to get a new client into your chair, an offer can absolutely help remove some of the hesitation they have about trying someone new.
The key is creating an offer that feels like a big value to the client without creating a big cost to you.
For example, instead of taking a large percentage off an expensive color service, you might include an additional service that takes relatively little product or extra time.
The client feels like they're getting something substantial.
You protect the value of your primary service.
And most importantly, you're giving yourself the opportunity to get that person in your chair.
Because once they're there, the promotion has done its job.
Now you have to do yours.
The goal isn't the discount
The goal isn't to create a clientele that only comes when there's a coupon.
The goal is:
Get them in.
Give them a great result.
Give them a great experience.
Build the relationship.
Give them a reason to come back at your regular price.
If someone only returns when you're offering a deal, that's information too.
You don't build a sustainable business by constantly convincing people to choose you because you're cheaper.
Look at your numbers
Before running a promotion, ask:
What does this offer actually cost me?
Consider product, additional appointment time, lost opportunity to book another service, and the discount you're taking from your normal revenue.
Then ask:
What could this client be worth if they become a regular?
A promotion that costs you $20 to acquire a client who comes back every four weeks is very different from giving away $100 with no plan for getting them back.
Try this
When creating an introductory offer, look for:
High perceived value to the client + low actual cost to your business.
Don't just say:
“20% off because I need clients.”
Think:
“What can I offer that gets the right person into my chair and gives me the opportunity to turn a first appointment into a relationship?”
Mentor note
A promotion should be a doorway, not your business model.
You don't want people choosing you because you're always running a sale.
You want the promotion to introduce them to the reason they'll eventually come back without one.
Promotion Builder
Coming during betaA guided way to design an offer with high perceived value and low cost to your business.
Mentor principle
A promotion should be a doorway, not your business model.