CCS Plus Consulting Team
Your best-selling package may well have the lowest margin.
1. Why does it sell so well?
Because it's cheap, easy to explain, and customers don't need to think. Staff love it too, because it's the easiest to close and brings sales in fastest.
It looks like good news: top sales, happy staff, happy customers. The problem comes later.
2. Every one you sell costs you a chance to talk about a mid-priced package
Once a customer buys the cheap one, she leaves, and your second and third packages never get their turn.
Staff also get used to pushing only this one. The more they push it, the smoother it gets, and the less they want to touch the expensive ones. The better it sells, the faster your pricing structure collapses. Eventually this signature package drags down the average spend of the whole salon.
Best-selling doesn't mean most profitable.
3. Do this today: work out the real margin
- Take the top two. Put your best-selling package next to the number two.
- Work out the real margin. Price minus product and consumable costs and staff commission, then consider how much bed time each session takes.
- Compare. If number one earns much less per sale than number two, adjust: raise the price, trim the contents, or have staff introduce number two first.
Keep the signature package as an entry offer to bring new customers in. Just don't let it block the packages that actually make money.
Conclusion: look at sales volume, and at margin too
A sales ranking only tells you what sells. Margin tells you what makes money. Look at both and you'll know what staff should push.
CCS Plus reports show how many of each package sold and how much commission was paid, so you don't have to flip through bills one by one when working out margins. Book a 30-minute Demo and we'll show you using your real packages.
