January 2016-How effective is your spa business model

875ac165 2d73 49db a8af e12edf9aacd9 January 2016 Newsletter

A Note from Dori

61c2157a c564 43b2 8e13 4c7d3eb130fb January 2016 NewsletterHappy New Year!

Here we go again! Another year is upon us. How will 2016 be better for you?

If we apply Pareto’s 80/20 theory to improvement, we will find that 20% of spa professionals are doing well, while 80% are barely surviving. Or, that 80% of the $15 billion spent at spas this year was generated by only 20% of spas. So, the question is…where do you stand? Are you part of the 80% that is barely surviving, or are you part of the 20% that is thriving?

People ask me all the time, “How do you think the industry is doing?” My answer is, “The people I work with are doing great.” They study, implement, measure, and always strive to reach their goals. They are in the 20%. The beautiful thing is that no matter where you are now, you can make a decision right now to make 2016 your best year ever! It’s up to you! Set your goals, gain a successful blueprint, and start your 2016 off right!!

What’s New in 2016

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  • New InSparation Management website
  • New CoachMe Gold Series – Genius Marketing and Sales Strategies
  • The Biggest Gainer Annual Contest! Submit your numbers by January 15th


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  • Listen to the Genius Marketing and Sales tele-seminar

Featured Article


387b4f63 8744 4e6e 8bb8 dafb56f19e17 January 2016 NewsletterEntrepreneurs work too hard. Why do I say that? Because most don’t have a proven-effective business model in writing outlining all their systems, structures, policies, procedures, training, etc., so they are always repeating themselves and doing things in an inconsistent manner.

For example, during a private coaching call recently, a client was expressing frustration with the fact that she had to train yet another new employee, and it takes a lot of her time. I asked her if she has a training manual for that position. The answer was no. This is a new client to us, but she is not new to her business. As a matter of fact, she has been in business for nine years. After nine years, she still does not have departmental manuals. She is working too hard. What plan did we come up with to help free her from the repetitive tasks that took up days for her to complete? Are you in the same situation? If so, I encourage you to keep reading and implement the following business model. This will set you free, and it will also help you prepare your business to be sold in the future for a much higher price.

6 Steps to Creating an Effective Business Model

  1. Establishing structure
  2. Defining your spa departments and identifying your department leads
  3. Manuals needed
  4. Systems and operational guidelines by department
  5. Training needed – Technical & business
  6. Measurement – Evaluation and continuous improvement
  1. Establishing Structure

Establishing structure gives the entire team clarity as to how your organization operates. Without it, you have chaos.

Every business has four main departments:

  1. Operation
  2. Sales
  3. Marketing
  4. Finance

It’s best to have department manuals for each division of your company. Establish chains of command in order for your team to know who to go to with issues, training, coaching, and help. Who will train them, evaluate them, mentor them, etc.?

Publish an Organizational Structure.

  1. Defining Your Departments and Identifying Your Department Leads

test 300x184 January 2016 NewsletterIncluding department leads within your organization structure is extremely important and helpful to the leadership of the spa/medi spa. Department leads should:

  • Plan for success
  • Train the team
  • Motivate the team
  • Implement strategies, systems, policies, etc.
  • Help maintain a great positive attitude within the spa

In addition, each department must have position descriptions, evaluation methods, goals, and expectations.

3. Manuals Needed

For any business to succeed, it must have operational manuals by department.

For a spa or a medi spa, you must have the following manuals:

  1. Orientation Manual
  2. Employee Manual
  3. Therapist Manual
  4. Reception Department Manual
  5. Call Center Manual
  6. Support Team Manual
  7. Injector Manual
  8. Sales Manual
  9. Consultation Manual
  10. Video and Audio Training Library
  11. Management Manual

Having these manuals will prove crucial when it’s time to sell your business. You will be able to receive a much higher valuation of the business.

4. Systems and Operational Guidelines by Department

The manuals should include training information to perform each position. For example, a therapist’s manual should have a manual for technical knowledge explaining protocols, product knowledge, rituals, guest experience, etc. Also, it must have a business section to teach the team how to recommend upgrades and home-care products, expectations, goals, and evaluation methods.

Each business process should have a system. By having systems, your team and management team will have the ability to perform their positions with clarity. Systems allow you to have consistency, accuracy, and growth.

All systems should be in writing in the manuals. This will provide you and the department leads the training tools to use with new hires. But most importantly, it helps prepare your business for an exit strategy. When someone looks at your business to purchase it – having manuals and a business model in writing will be much more appealing. In fact, it could be the deciding factor on whether you will be able to sell your business or not.

  1. Training needed – Technical & Business

Most spas focus on technical training when hiring a new employee. Of course, technical training is a must but so is business training. When you hire a new person, they need to go through orientation, technical training, and business training. This will take some time, but it will be worth it in the long run.

What business training should your team undergo? They must learn how to increase revenue per guest, retail sales, cross marketing, self marketing, asking for referrals, gaining reviews, selling memberships, gift cards, promotions, and more. When you focus on business training, you will position your team for success!

6. Measurement – Evaluation and Continuous Improvement

Yes, manuals and systems are important to have, but make sure you are continually updating and improving your model. When you measure performance, notice what is working and what is not so you can fine-tune and keep improving. Be on the lookout for new treatments, new products, new rituals…ways to improve your guest experience. Or, see how you can improve your hiring process, management process, accounting, sales, and marketing efforts. You need to always be monitoring and innovating techniques to improve all your systems and update your manuals.

Implement these six steps to prepare your business for elevated success, as well as for your exit strategy!

Need help? Reach out to Info@InSPArationManagement.com and gain access to a business model. We offer 9 spa business manuals in Word documents. Begin customizing now!

Bright Idea

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Improve your marketing and sales efforts

Want to put your business on steroids? Join the new Genius Marketing and Sales CoachMe Gold series.

Do you want a latte every day or strategies to help you succeed? I am often amazed that people will pay $5 for a coffee daily, and then tell us they can’t invest $100 in their business education so their business will grow. Guess what? Those are the people who are in the bottom 80% of the spa industry who are struggling. So, if in fact money is tight, that is exactly why.

They struggle because they do not invest in business education. How do you expect to gain new results if you don’t take new actions? If you want your business to soar in 2016, you need Bright Ideas, as well as Genius Strategies.

If you are ready for success, we are ready to help you. Get motivated and join the top 20%.

If you want to put your business on steroids, join the new Genius Marketing and Sales CoachMe Gold Series and start soaring!

The new CoachMe Gold Series is filled with:

  • The latest marketing strategies

  • Sales techniques that will multiply your sales

  • Implementation strategies

  • Access to private member page

  • Podcast, transcripts, and tools

Click here to see all the modules and to join!

Don’t miss out on great bonuses!

Dori Recommends

04f630fb 5b48 403e a842 e808e1e3d663 January 2016 NewsletterAnnually, we ask members of the community to enter their annual business growth results to be considered for the Biggest Gainer Contest. How was your year? We invite you to submit your growth rate to win!

We award 4 categories:

  • Day spa

  • Resort spa

  • Medi spa

  • Solo-preneur

Simply submit this form with your growth rate and the techniques you utilized that contributed to your growth and success.

Your Awards:

  • One free ticket to Leap Ahead- a value of $2950

  • One-year access to the new CoachMe Gold Genius Marketing and Sales – a value of $

  • One-hour CoachMe Private call with Dori – $175 value

  • Winners’ Circle Interview with Dori

Submit your numbers now. Good luck!

Winners will be announced in the February InSPAration Moments.

Form must be submitted by January 15th


CoachMe Gold

Genius Marketing and Sales

Regular price $149 – Special $99

Receive $2,200 in bonuses

Join now!


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