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Jacob Caldwell, LMP
Posted by Jacob Caldwell, LMP, Seattle (Capitol Hill), Washington | Aug 14, 2008

Subscribe to Starting a business How do I get People in the door? Cheap 1st Visit or Keep the prices High!

I got this Wellness Center called Arcania been open less than a year and been wondering how to jump start this place.

We have Massage and other Holistic Practitioners, Float Tank, Ionic Foot Bath....

Does a low into rate bring in the people or does it bring in the Cheap People?

How do you bring in the people who have the money, When you dont have any?

20 Bizniks have posted replies

  • amoreena klein
    Posted by amoreena klein, seattle, Washington | Aug 21, 2008

    That's a good question, and one that I've struggled with quite a bit. I end up doing so many "promotions" in which I give away flower arrangements hoping to get business from it...but I question whether or not I should just keep the value high to set the tone that the flowers I create are worth that amount. It's not that I think giving away flowers attracts cheapies, I just think it caters to grateful, yet unpurchasing looky-lous. Your place sounds interesting...is a float tank a sensory deprivation tank? Where are you located?

  • Ondine Constable
    Posted by Ondine Constable, Mills River, North Carolina | Aug 22, 2008

    Are some of your services something that can be offered or demonstrated at Lunch & Learn type events for companies, or employee health fairs? Like 5 minute chair massages, or interesting talks about some of the other services you offer.

    Fall seems to be a time when organizations and companies do health fairs and they look for exhibitors with real info. I've got at least five 30-minute fitness demos scheduled for Sept and October. The demos are free (unless they opt to pay a price per employee for take-home materials) but it gives me great exposure to promote my regular fitness classes and workshops. This is my first time but I'm already getting a lot of interest which hopefully will translate into new students and clients...

  • Tia Peterson
    Posted by Tia Peterson, Erie, Pennsylvania | Aug 22, 2008

    Jacob - good question and I've tried both methods. I've offered free services and received a small amount of conversion - in hindsight, the hours spent doing the free work compared to the money brought in by the conversions was too high. But it's not the same for every industry.

    As a person who loves massage and anything remotely related :), I can say that I am willing to pay high prices because it's a luxury.

    No use in trying to market what's really a luxury item by giving it away or selling it at really low cost.

    I would focus on networking, doing demos/giving talks (like Ondine talked about), and maybe trying to secure some financing so you can market this high-end product to the people who can afford it.

    I would also try as best as I could to use the internet: local business directories, SEO and low-cost online advertising methods, AND make sure you submit a press release about the Wellness Center - it's free and could absolutely work out well for you.

    Tia

  • Ondine Constable
    Posted by Ondine Constable, Mills River, North Carolina | Aug 23, 2008

    Another thought, triggered by Tia's comments: I attended a small business class (free at my local community college) and the director gave great examples about businesses getting free publicity by tying into educational and community events, things that newspapers want to cover. For example, there is a little town nearby whose claim to fame is white squirrels.... they have a white squirrel festival every year. A local bakery partnered with the wildlife service to have someone come to the bakery and talk to kids about white squirrels and then the kids would decorate a free squirrel-shaped cookie. They sent out a press release (free!) and had such a great response they had to book an overflow date, and then did it again with black bear cookies. Of course the adults bought lots of other stuff! I love the win-win-win of this example!

  • Leah Oviedo
    Posted by Leah Oviedo, Encinitas, California | Dec 08, 2008

    I joined a salon because they had a booth at an expo I attended with special gift packages you could buy. I bought one of the discounted packages and liked the service so much I continue to go there.

  • Dennis Dilday
    Posted by Dennis Dilday, Everett, Washington | Dec 09, 2008

    Jacob - I personally think understanding niche marketing is a key mental hurdle; I just got over it last year, and largely thanks to an article written by Chris Haddad called If, then, why...

    Take a look. We're all unique and offer a unique product or service that is exactly what our market is looking for... once that's clear, the appropriate moves you make might come easier.

    DD

  • Kaya Singer
    Posted by Kaya Singer, Portland, Oregon | Dec 09, 2008

    Jacob You have to understand the "sales funnel" to really know what to do. At the top of the funnel is giving. This is something of value that you give away so people can self select if they want to spend money on the next level. So give something but not the whole thing. Maybe a taster for a freebie. An open house every so often but then have a range of prices for services, and people can choose to spend a smaller amount or a larger amount. Using the funnel theory, people don't spend the higher amount until they develop the relationship first.

    When people offer a sample for free if works for me and then I can decide. If I like it I would likely go back and buy next time. I really see this working in my business.

  • Tammy Redmon
    Posted by Tammy Redmon, Seattle, Washington | Dec 09, 2008

    Jacob, I know you posted this original question in August, i hope you have found success!

    You have some good answers here all of which I can get behind. And, i would say that when we see and believe we are worth what we charge, we will attract the clients that pay.

    I wold also encourage you to take a look at some great tips on marketing by fellow bizniks Joe Hage and Nancy Juetten

    To your success! Tammy

  • Madeline Bailey
    Posted by Madeline Bailey, Bellevue, Washington | Dec 09, 2008

    The best massage therapists stop worrying about the money and concern themselves with their mission to heal.

    "Touch as many people as possible" (this was the mission statement of the most successful massage therapist I ever worked with).

    Another place had cheap hot tubs, and once you were there, you naturally wanted to get a massage. They wanted to spread wellness, and I could feel it.

    It's hard to remember to focus on your work, and not the money when you're getting started.

  • Katie Lanston
    Posted by Katie Lanston, Moscow, Idaho | Dec 11, 2008

    Jacob, I especially like what Kaya (and others) have to say about giving away "samples," sneak peaks, etc.--not necessarily the whole enchilada--as a way to get people engaged in your sales funnel.

    One other thing I'd add is that, in general, it's far better to BONUS low-margin products or services into an offer than to merely cut prices. For example, some of my chiropractic clients have bonused 15-30 minute massages with $150 consultations. In your case, you might be able to value-add using information, a wellness consultation, an ionic footbath, etc.

    Best wishes to you.

  • Christa Patchen Wagner
    Posted by Christa Patchen Wagner, Vancouver, British Columbia Canada | Dec 11, 2008

    Jacob-

    Something I learned in my past career is value = price and experience. If you are only focusing on price you are going to appeal to the bottom feeders which is a tough place to be. I would recommend listening to your clients needs and focus your marketing efforts on what solutions, experiences and results you can give them to solve their problems, ease their pain, etc. People will pay for results.

    Never forget people value things by price. Why do you think people will pay for $4 coffee at Starbucks. It's the experience.

    One final thing is YOU have to believe in the value you bring to the table. If you believe it, others will too!

    Good luck Jacob!

    Christa

  • Bud Goodman
    Posted by Bud Goodman, Waukesha, Wisconsin | Dec 13, 2008

    Many facilities such as hospitals look for in-services. Often management is required to provide several per year for each department.

    Maybe one way is an in-service on "stress management through excerise" These only need to be about a half hour to an hour long and they do expect the "sales pitch" or what we as business minds like to refer it as a little "self promotion".

    Image is everything. Just an idea.

  • Biznik Community Tech Support
    Posted by Biznik Community Tech Support, Seattle, Washington | Dec 23, 2008

    Hey Jacob - With touchy-feelie businesses like yours, so much of the experience is the environment in which your services take place.

    So one major hurdle is going to be showing people that you have a good place to do your work.

    I would suggest you have an open house. Make a PDF file invite, and email it to all your friends and clients, and tell them to pass it on. Have wine, cheese, whatever... make it for 2 or 3 hours on an early weekday... Mon/Tues/Weds... when people don't have many plans already.

    Invite them to come by, see the place, and meet you (and the other practitioners, if there are any).

    When people come in, greet them, and hand them a simple 5x8 or 8.5x11 sheet of paper with your logo, mission, and a menu of services. They will come in, look around, have a glass of wine, and then look at the piece of paper you handed them. Then they will start asking questions...

    And that is where you get to build a relationship with them, and they will come back!

    Best of luck to you! Healing people is a noble and worthy goal... - Christian

  • Avi Leanne Taylor
    Posted by Avi Leanne Taylor, Seattle, Washington | Jan 07, 2009

    Hello Fellow Aquarian ie. Sir Jacob:

    Consistency is key. Does your business in every way reflect what you are offering, and more importantly, who you are trying to bring in?

    Where are you coming from and where would you like to go? How will you have to adjust in order to make this happen?

    Solidify your mission and figure out who you really want to work with, then see if your space and everything else that you use to identify your business and service, matches this. People's perception of the space / service may be different than what you intend, or are trying to attract.

    Foundation is key and marrying everything to match your intention will make all the difference. A good marketer can help you with this through surveys, market research, strategy, branding and much more. Most notably if they speak the language.

    Openings and deals can only do so much, if things don't match or speak directly to your target market, you'll be wasting time and energy, although hopefully enjoying yourself and taking satisfaction in knowing your spreading the light, yes, as it is in the end about the work 0:)

    Being profitable, efficient, and actually attracting what you want doesn't hurt either, though. I could definitely assist in making Arcania a success, give me a shout if you'd like to make that happen~

    As I am, the Marketing Magus, Avi

  • Drew Zagorski
    Posted by Drew Zagorski, Beaverton, Oregon | Feb 23, 2009

    Package your offering. In this economy one of the biggest issues on people's minds is money. Let them know what the cost is up front. Put some flat rate packages together, kind of like a menu. That way, your client can see what they get and a set cost. A bit easier for the client to pull the trigger in an environment where dollars are tight.

    You can price this in a way that's fair to you and the client. Maybe even entice them to plug in for a longer relationship by adding a 'maintenance' component - i.e. monthly check ups or something. By puting everything together or allowing the client to create a tailored package, they'll feel like they're getting more bang for the buck. Sure you can discount a bit too, in exchange for plugging them in to a longer term package.

    Not knowing what the cost is going in may cause some folks to pass you by.

    As far as getting the message to the right people... it starts by understanding your own positioning and how you want to be percieved. Creating a need for your services, not just an awareness. Then understanding who exactly is your target client - and where to find them.

    If you build it, they will come just doesn't happen. You'll need to spend some dollars to get your message out there and get in front of folks. A couple thoughts on that: - Look into local Chambers - these usually have alot of homeopaths, naturopaths and other wellness professionals. A good place to connect and build a referral network. - Co-op your neighborhood. Look at the shops and businesses around yours. Can you do something as low cost as creating a rack card with a coupon that you can place in the shops around you? - Mail - yes, mail. Using a service like infoUSA you can purchase a consumer mail list relatively cheaply. And you can target it by socio-economic and geographic selects. So you can get a mail list of people within a 2 mile radius of your location and put together a mailing campaign - of course, one mailing won't do the trick. Do 3, 4 or more mailings to your infoUSA list. - Mail part 2 - Letters to other wellness professionals. Again using infoUSA you can buy a business list and target it by SIC code, so you can specifically select the types of bussinesses you want on your list. You can also select the business owner as the contact name, so you list will include names, addresses and (the pot of gold) phone numbers. Get a couple hundred names and start working the list. Send out a nice cover letter (maybe 30 at a time) with some branded information (a brochure or data sheet) included. Then a couple days after you send the letter make a phone call to follow up and work that process to get appointments to talk about what you do, what the contact does and talk abotu how you can do mutual referrals. - SEO, SEO, SEO - Make sure your web site is optimized. You can get some really great results by optimizing your site the right way, without having to drop cash on adwords campaigns and the like. Be aware that alot of the site builder 'wizards' that hosting services offer are great for allowing you to insert copy and some tags, but most fall short of doing the optimization job right.

    Bottom line is that you'll need to spend some cash to get things rolling. That said, it doesn't have to be a arm and a leg.

  • Stacy Karacostas
    Posted by Stacy Karacostas, Seattle, Washington | Feb 23, 2009

    Hi Jacob, It sounds like you're offering some terrific services but you have a marketing problem. While you've gotten some good suggestions here, I'd like to add a few more that should help jump start your business...

    First off, let me answer your specific question: In my experience offering a free service, particularly when what you sell is fairly high end, is a mistake. People will drive for miles to get a freebie they would never pay for. Instead it might be better to consider using an added value strategy of including a bonus or gift with purchase and targeting clients who are more concerned with value than price.

    To take the comment on creating packages a step further, I'd also consider creating some type of prepaid membership that offers a discount. This keeps clients coming back in for more and offers an added level of savings and convenience while balancing out your cash flow. Check out www.massageenvy.com for an example of how this might work.

    I think you should definitely consider hosting free educational events (at your location if you have room, and/or other places where you would find your ideal client). I'd also consider partnering up with a non-profit to do a fundraiser that brings people into your door and offers the chance for good PR.

    And I would absolutely try to find strategic referral partners who already work with your ideal client (physicians, naturopaths, even real estate agents (they're always looking for gifts to give new home buyers)). These are the folks you should be giving free services to. That way they get excited about promoting you and can speak honestly about the wonders and benefits of your services.

    Finally, I think the biggest problem you're having is that you're trying to solve a complex problem (IE how to market and grow your business effectively) with a silver bullet solution (IE free offer or gift).

    As others have alluded to, you really need to figure out who your ideal client is, what they want, and why what you offer is different or better than the competition.

    Then create a marketing and messaging that gets in front of those people and speaks to them in a way that connects and compels them to take action. This includes consistent follow ups (thank you cards, newsletter, etc.) to make sure you stay in touch with everyone who has walked through your door.

    The key is to make sure you have a plan for marketing your business consistently. Otherwise your business isn't going to grow consistently and every time you stop marketing you'll lose traction and momentum.

    If you want more marketing guidance, please help yourself to my free report on The 7 Deadliest Small Business Marketing Sins at http://www.7deadliestsins.com. I’d say chances are high you’re guilty of one or more marketing sins and this is holding you back.

    You can also grab my handy guide "110 Practical Tips for Marketing Your Small Business" for FREE right now (It's regularly $17 but I'm running a special, recession-busting promotion so all I ask is that you cover S & H). Check it out here: http://www.freesmallbusinessmarketingtips.com

    Best of luck to you! Stacy

    Stacy Karacostas Practical Marketing Expert

  • Sue Turcotte
    Posted by Sue Turcotte, Vancouver, Washington | Feb 24, 2009

    Hi, Jacob. Everyone here has offered such fabulous ideas & insights.

    A question for you ~ is any of your equipment (i.e., massage tables, foot baths, et al.) mobile? If so, you might consider setting up "15-minute complimentary treatments" at establishments, such as golf & country clubs, high-end salons, upscale retirement communities . . . places where the clientele may have more discretionary income to spend on full appointments with you once they've had a taste of what you have to offer.

    I certainly wish you the best of luck!

    ~Sue LocalAdLink

  • Kare Anderson
    Posted by Kare Anderson, Sausalito, California | Feb 24, 2009

    2 ideas: 1. Offer a one-month or one-week special only - a packaged experience of a mix of your services for a special value

    +

    1. Offer a version of #1, called "Share with 2 friends" in which the 3 get a bonus gift (flowers, book on health, etc.) from your biznik member/partner who has a business that also targets one of your niche markets

    (Find more ideas on profitable partnering to introduce a firm enter a new market, generate media coverage or more per-customer spending in my book, SmartPartnering)

  • Taylor Ellwood
    Posted by Taylor Ellwood, Portland, Oregon | Feb 24, 2009

    I usually offer one free session and then tell my client what my prices are. I don't change my prices, unless it's a project I'm working on, at which point the fees could change depending on the amount of work being done.

  • Kate Phillips
    Posted by Kate Phillips, Carnation, Seattle, Washington | Mar 10, 2009

    Great ideas here! I agree, offering value rather than freebies, add-ons rather than give-aways, and looking for your target audience rather than a silver bullet.

    One more thing - yes, the open house is a good idea, but even better, host an educational event. Talking about the benefits of the different services could be a winner. They'll get to see the Wellness Center, learn from your expertise, and then you can offer them a value-added service... "As a gift to thank-you for your time tonight, I'm offering a (bonus service) for anyone who books a (specified service) in the next two weeks." Give them a reason to act, a deadline, and valuable information. They'll be back!

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