We’ve all been there: you have a client booked in for a much-desired time slot, at your busiest time, on your busiest day, and you’ve turned down many other clients to keep it for them. And then, they don’t show up. Not only is this demoralising for your team, but your business has now lost the time and cost of that appointment.
No-shows have always been a huge challenge in the salon industry, but with social distancing and salon restrictions still in place, cutting down on them has never been more important. Fortunately, Phorest has the solution.
Committed clients, every time
Online Deposits allow salons to take a bigger upfront deposit on online bookings, guaranteeing a stronger commitment from clients. When clients pay a deposit in advance of a service, they’re much more likely to show up. This reduction in no-shows will protect your salon’s income and improve your cash flow in the long run.
So far, Phorest salons using this feature have seen their no-shows decrease by 65%, with rates going from 5.4% to 1.9%. In other words, for every three no-shows they would have had, salons using this feature now have just one.
Custom deposits that you control
According to Phorest data, salons typically charge deposits at 30% of the service price. However, salons can choose which services to charge a deposit for, the amount, and to which clients. This means you could set a higher deposit for higher-risk customers, such as new clients or those with a history of no-shows. Alternatively, you could set a higher deposit for specific services that might financially impact your business more in the advent of a no-show. You could even charge your deposit at 100% if you wished to do so!
Better cash flow
Taking upfront deposits means better cash flow for salons. Being able to cover the cost of supplies (e.g. hair products, beauty materials, PPE, etc.) before appointments is crucial for times when money is tight.
More money spent in the salon
Clients can often be reluctant to spend extra cash in the salon if they’re already paying for an expensive service on the day. Clients who pay an upfront deposit will have less of their outstanding bill to pay on the day, making them more likely to spend a bit more during their visit, with the likes of retail products or even tips. This makes having a conversation about retail much easier and much more likely to be successful, bringing in more revenue.
Further learning on Online Deposits
If you think Online Deposits can improve your business and you’re already a Phorest client, learn more with our comprehensive Phorest Academy Training Course here or go to Manager > Training in your Phorest system to get started.
The cost for Online Deposits will vary depending on your region, so please contact your Salon Business Advisor to discuss this.
If you aren’t a Phorest client yet, you can find out more here or click here to organise a call with one of our business representatives.
To hear an in-depth conversation about Online Deposits, check out our chat with the Head of Phorest Pay, Niamh Greaney, on the Phorest FM Podcast. Subscribe to the show to get new industry insights weekly!
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