2 mins
THE LINK BETWEEN MARKETING AND ROI
Salon owners often make the mistake in business of believing money is more valuable than time, forgetting the key business fundamental of return on investment, writes Jessica Crane
Image from Shutterstock
Time is more valuable than money and it is the only resource in the world that you can never get back. The thing is, money can be re-earned, but time doesn’t work that way. So, why when it comes to business – and we are especially guilty of this in the beauty industry – do we often pour a lot of time and energy into certain tasks with the focus of little-to-no monetary value in return?
Every time you make a business decision, from making a monetary investment to using resources such as time or energy, you should be asking yourself one question – what is the return on investment (ROI)?
“WHAT IF YOU KNEW
exactly
WHAT RESULTS
you would
GET PREDICTABLY
with the
EFFORTS YOU PUT INTO
your
SOCIAL MEDIA?”
Will you gain more back from what you are putting in? Too often I see salon owners asking the wrong questions, like what will it cost me? Or how long will it take? You need to change your mindset. For example, what if I had a machine that costs R100,000 – would you want it? You might say ‘no’ without knowing what the return on investment is.
However, what if I said instead that this machine will give you R200 every time you put R100 in? I’m sure you’d probably find a way to get a hold of R100,000 to double your money for the rest of your life because now you’re focused on the return, not the investment.
Strategy
This often happens when it comes to salon marketing – owners spend hours and hours creating content without a measurable return, but what if it didn’t have to be like that? What if you knew exactly what results you would get predictably with the efforts you put into your social media?
What if you had a strategy to fill your staff members columns without the peaks and troughs and, more importantly, without having to fall back on a discount strategy? What if you could decide to work smarter and not harder?
When it comes to your salon marketing the creative is, of course, important – making sure it is on-brand etc – but the business strategy behind the tactics is way more important. Yet, this is often the missing piece in most salon’s marketing campaigns.
Always start your marketing campaigns knowing the exact results you want to gain and then create a reversed engineered plan of how to achieve those goals in line with what your business needs throughout the year.
Jessica Crane is a business coach who has been working with salon owners for more than eight years.