What is Spa Health?
Spa Health is measured by your bottom line. However, your bottom line is a combination of many factors, service revenue, retail revenue, fixed costs, cost of goods, allowances and discounts, and other operating expenses. So often spas operate in an unhealthy zone, leaving owners and staff frustrated. The good news is that you don’t need to be an accountant or financial wizard to keep your spa profitable.
JMPankey Partners has proudly created the:
We have incorporated best practices, key indicators and industry standards into an application that will check the financial performance of your spa. The application provides a grade and recommendations to improve your performance. You can input as many scenarios as you like, as the results are generated based on each individual use. No information is stored in the application.
This application will allow you to:
- Calculate and generate business senarios without risk, such as adding treatment rooms or increasing staff or hours
- See how your business if currently performing,comparatively to industry standards
- Learn how to improve your Spa Health through JMPankey Partners.
In the meantime, here are some spa key indicators and metrics you can use to optimize your spa performance. This data is most likely already availble to you through your computer system or CRM reports. We encourage you to share your numbers with your staff, letting them know that their performance makes a difference. Additionally, these metrics are great tools for goal setting and performance evaluations.
- Revenue Per Available Client= Total Sales/# of Client Visits
- Service Productivity Rate= Sales/HoursBooked
- Retail Productivity= Total Retail Sales/Booked Hours
- Goal: 30% of your total sales should be Retail
- Retail Per Square Foot= Annual Retail Sales/Retail Square Footage
- Ultization Rate= Hours Booked/Hours Scheduled
- Goal: over 80%, at this point you need more staff
The success of your business depends on the synergy between your facility, staff, external enviornment and internal operations. Managing your numbers on a daily, weekly, and monthly basis is critical to understanding the intricacies of your business. The slightest change can have a huge impact.
Create, Plan, Implement and Monitor.
Let 2015 be the year to reach your business goals. JMPankey Partners can help you get there.
P.S. Let us know what you think about the app – questions and feedback are always welcome.
Posts of Interest:
- A Year In Reflection
- Increase Retail Sales in Your Spa