CE INSTITUTE LLC BLOG

One of the best ways to add and maintain loyal customers within your spa or massage business is to offer a membership program that provides exclusive benefits to people who pay a monthly or annual fee. Your business will continue to operate as usual for regular customers while your membership program generates a new source of income.

A membership program offers multiple products and customized experiences to your customers. This makes good business sense because when people have more options they will buy more. By making certain products and experiences exclusive to one segment of your clientele— your members—you will build customer loyalty while maximizing profitability.

People want to feel like they belong. They want to feel special. Your members will experience more services, products and support than when they were nonmembers. A membership program provides a sense of belonging while offering authentic benefits to members.

This is the purpose of a membership program: to increase customer loyalty and business revenue, while the customer benefits from enhanced care.

Management should be thinking of business tips to increase service values, business revenue and brand loyalty, all by offering a membership program. (While you are getting ready to launch your membership program, these ideas can be provided within your regular business model as benefits that are upsold to regular customers.) Making sure benefits are truly special will incentivize customers to join your membership program.

All of your guests should feel pampered; otherwise, you won’t attract or retain enough regular clients—nor enough potential customers to join your membership program—so the benefits you provide should stand above and beyond standard items offered to all customers, to justify becoming a member.

Build a Membership Program

Building a membership program is not a one-size-fits-all experience. Determining which benefits you will offer will be entirely customized to each business’s capability, staff skill levels and licensed capabilities, space limitations and budget.

All businesses should capitalize on any perceived benefits they can offer to their customers. Therefore, one goal of your membership program is to use and maximize what you already have in order to generate added value.

A membership program is an opportunity for a business to highlight its specialties, whether onsite perks, retail or massage-tools investments, exclusive treatment spaces or appointments, or such staff competencies as chair massage, reflexology, aromatherapy and mini treatments that could be included in standard business, or treatments that are only available for special clientele.

To determine if a membership model is a good fit for your business, you can engage in beta testing by asking some of your most loyal customers to trial a membership program for free or at a reduced price. If the program is a success, those customers could be offered a founding-member reduced rate to join your membership program. If the beta test is deemed unsuccessful, this presents you with the opportunity to make changes to the program.

You can start with one level of membership as a trial. When the membership program begins to grow, additional tiers of membership benefits could be offered along with an increasing tiered price-point. 

This is how this works, as one example: A member at tier one receives five basic benefits for $20 per month while a member at tier two receives five basic benefits plus five enhanced benefits for $35 per month.

Once existing business practices and services are recognized and translated into member benefits, then owners and management can get creative and think about additional benefits that can be added to the membership program. In evaluating how to add benefits, it is important to review past successes and leading business models.

To learn more, please register for live business training at our school where you share in questions and answers with a live instructor at:  https://ceinstitute.com/

How a business charges for membership will be entirely up to ownership and/or management. There are many unique factors that must be evaluated, and there is no one national business model that fits all practices.

It is not within the scope of this, or any, article to tell someone how much they should charge for membership because this charge—as with any service or product you sell—is determined by each unique marketplace, treatment space, and staff abilities. There is no one correct formula that can be applied across all healthcare, massage and/or spa establishments. Expecting someone to determine your business’s price points and benefits without an evaluation would be like asking an appraiser to price a home without looking at the home or marketplace!

The author of this article does not offer or sell any type of business marketplace evaluations; in fact, we recommend owners evaluate their own business rather than hire someone to conduct an evaluation because a business owner—you— will understand your own business, marketplace and customer base best, more so than any expert who would have to do copious amounts of research to learn the same.

Different marketplaces and skill levels will command different price points. Some business markets are seasonal, some are saturated, and some are void of competition. The evaluation criteria are endless and must be considered for accurate business direction, especially with business offerings and price points.

As many as 95% of new start-ups do not make it past their first five years of business. Many times those failures are due to poor planning and improper evaluation of the business’s unique abilities and situation.

Also, a successful business model cannot always be copied and applied to a different or new business with hopes of similar success. Each business and marketplace will have its own unique criteria to consider when determining operations.

That Said, Consider These Pricing Models

That said, things to take into consideration when setting your membership pricing, as well as the member-only special fees for services and products you set, include competition pricing in your locality, as well as customer-perceived value for the services and products that will be included in the membership.

Customers should feel like they’re getting something extra when they’re paying extra, and it will be up to the business ledger and customer feedback to determine when an appropriate balance has been achieved.

 The Price-Per-Session Model

One option to consider is the price-per-session model for a membership program. This is the model national massage franchises use.

This is how it works: You charge a certain price for a one-time appointment. For the customer who commits to receiving a set number of sessions per month as a benefit of your membership program, each per-session price is lower than the usual price.

For example, if a member pays $100 for a monthly membership that allows them to pay up-front for three massage sessions to be used within one month at a cost per session of $125 instead of the usual $150, they save $75 per month. Additional perks and benefits of membership will more than make up for the additional $25 paid for a monthly membership fee.

This model incentivizes a customer to join your membership program, which provides a reliable stream of income for your business, while the customer enjoys a discounted rate and benefits from regular body-care sessions.

The Annual Pricing Model

Consider providing a discount if a customer pays for membership for a year in advance versus paying a monthly membership fee.

Some customers might look at an annual membership payment as an excellent way to support your business while also saving money. A 15% savings is an appropriate amount for this discount.

This is how it works: Let’s say your membership program costs $75 per month. That equals $900 per year. 15% off $900 is $135, so a member who pays for an entire year of membership benefits upfront pays just $765.

To learn more, please register for live business training at our school where you share in questions and answers with a live instructor at:  https://ceinstitute.com/

VIP parties are a way to build on the feeling of belonging and specialness a membership program provides, or to simply recognize valued clients. Your party could be exclusive to VIPs or members plus their friends and family, to show others how good membership feels. Or you could host a party for all of your customers, with an employee on-site to sign up new members, and a separate area dedicated to a members-only lounge featuring free 10-minute chair massages or foot reflexology sessions, door prizes and catered snacks.

Use these types of events to recognize your valued customers, promote a membership program, gift certificates and mini-sessions, sell products at a special discount, and introduce guests to services they might not have booked before.

Consider holding a members-only party centered around retail products, such as a make-your-own hand scrub event or an educational event on how to properly use a motorized body brush—and then sell retail items members can take home.

Another type of event is to allow a vendor to host a demonstration for your members to gain exposure and sales while you profit from renting space to the vendor and members benefit from learning something they can use, such as the use of a new product, self-massage or meditation.

 For any type of event held in your business, post an employee at the door to have all attendees sign a waiver allowing photos and video of them to be taken at the event and posted on social media. Use your social media channels to show the world how you appreciate your customers and members. Social media is a great way to increase business exposure with minimal effort and expense.

To learn more, please register for live business training at our school where you share in questions and answers with a live instructor at:  https://ceinstitute.com/

Linens and clothing—sheets, blankets, towels, robes and slippers—are items that can be used to separate members from nonmembers.

Luxurious, expensive sheets and robes represent a premium value for members. Your businesses could balance your cost for such luxury items by using ordinary sheets for nonmembers. Provide luxurious robes and slippers for members to change into prior to service, while offering plainer (or no) clothing options to nonmembers.

Sell premium robes and slippers in a retail area, which can help prevent theft. To avoid theft of high-end loaned linens, record a member’s membership number (remember that laminated membership card?) and safely holding a nonmember’s physical ID, such as a driver’s license, when checking out robes and slippers. This provides another point of differentiation between members and nonmembers.

Treatment Space Rewards

Some establishments, such as massage franchises, are custom-built to have similar-sized treatment rooms for all; however, if you find yourself in a unique space, consider which treatment rooms are most desirable.

Desirability might be based on room size, windows and views, lighting, temperature, noise level, decor, flooring and any other perceived benefit. Charge nonmembers more to upgrade to your most desirable room or make their use exclusive to members.

One successful massage-establishment owner started off in an old office building that rented individual offices. She began with one office as a treatment room, then continually added more treatment rooms as her business grew and she hired new staff. Eventually, she grew from one office to occupying two entire floors of offices in a three-story office building.

Because the office building was an old and extremely large Victorian-style building, some rooms were larger and considered nicer than others, some had windows that provided views, and some had proximity to the audible reception area or to a bathroom. The business owner charged nonmembers more for treatments booked in the best rooms while making their use a free benefit to members.

Your best rooms might be those that contain a couch to relax on before a treatment, an electronic massage chair, a mini-bar with flavored waters, or a foot-soak tub, You can provide members with 10 minutes of time in a premium room to relax before their treatment as another benefit of membership.

To learn more, please register for live business training at our school where you share in questions and answers with a live instructor at:  https://ceinstitute.com/

Food and beverages present another opportunity to rewards VIPs or grow a membership program within your own business.

As the world becomes busier and people have less time than ever, it is important to have snacks available for your customers. (On a side note, jellybeans, sugary soda and fruit juice are always good to have on hand, in the event of a diabetic customer developing low blood sugar. Being prepared for these clients shows that you’re aware and care about their complete well-being.)

Snacks could be complimentary for members and part of a retail sales business for nonmembers. All customers might have access to a vending machine filled with healthy options, while members are provided with fresh food items.

You do not want to deprive non-member customers of bare essentials to try to sell memberships or premium services; instead, you should provide something extra, and tangible, for members.

Sparkling water with a slice of lemon might be available to all customers, while members are offered specialty coffees, teas, juices or flavored mineral water in bottles labeled with your business branding.

To learn more, please register for live business training at our school where you share in questions and answers with a live instructor at:  https://ceinstitute.com/

Mini services are a very effective way to offer members-only benefits.

For example, a spa or massage establishment may have a sauna, whirlpool, shower area or other hydrotherapies that cost extra with service, but that members could access free of charge pre- or post-appointment. 

Hot towels are inexpensive to provide yet are regularly valued as a premium service. Massage or body treatments could begin or end with a hot towel to the face, back or feet.

Mini hands-on services that do not require you to spend much money yet provide a pampering, health-supporting benefit to members, such as a foot scrub or paraffin treatment, could be included as complimentary add-on service for members.

When adding such mini services as a complimentary foot scrub to an appointment, practitioners do not need to extend the appointment treatment time to provide the extra service. The foot scrub could be provided during the regular appointment time; however, the extra work, product supplies and linen expense are what the member receives as a complimentary benefit.

If your establishment is a foot-spa or reflexology practice, provide premium chairs or loungers for your members. Some practices might offer 3D goggles with visual experiences during a foot or reflexology service. Providing this visual experience as a paid add-on for nonmembers and for free or at a discounted price for members is another way to incentivize repeat customers to join a membership program.

Providing a monthly special service exclusive to members is also an effective business tactic, especially if your business provides body-treatment services above and beyond regular massage. Body-care products, such as those used in body scrubs or wraps, have an expiration date, especially when the products contain active ingredients. If you have expensive products that are about to expire, think about offering a half-priced members-only service to both avoid product waste and offer members a valuable experience they might enjoy enough to repeat at full price.

It is important to help a customer feel they are receiving something special in exchange for payment, especially in a membership program or as a VIP client. This is where branding— through public recognition, private labels, signage, marketing and more—comes in.

One of the goals would be to help nonmembers and potential customers recognize or become curious about the benefits of membership, or becoming a VIP, so that they want to do the same to help grow your profit margin. Publicly recognizing those with exclusive benefits is one way to do this.

Provide VIPs or members a sticker or bracelet to wear to show they’re in a special membership class and should receive prioritized service when collecting towels, drinks, lockers or anything else where there could be a line or wait.

Create a private relaxation area for VIPs and members, even in a small space. A few minutes of silence or peace in a private relaxation area might be the best moment of the week for a busy customer. This special area can contain comfortable furniture, complimentary snacks and beverages, an electronic massage chair, and relaxing music and lighting.

You can also provide VIPs and members a tag to put on their dashboard or hang from the rearview mirror to use for parking. If the business has valet parking, clients might pay for premium memberships if they’re moved to the front of the line. If the business has a parking area, consider providing members’ parking closest to the establishment’s entrance.

There are a number of different ways a Health Care, Spa or Massage Establishment can help a client feel important, these are just a few!

To learn more, please register for live business training at our school where you share in questions and answers with a live instructor at:  https://ceinstitute.com/

If a member needs to be reached in case of urgency or emergency, you can provide them with dedicated communication channels, while encouraging members to leave their smartphones in their lockers.

Adding a separate phone line for VIP members could be inexpensive or even free to your business. There are online website phone services that provide a free, dedicated phone number. A separate phone line for members should be constantly maintained, answered first and provided the fastest administrative service.

A specialized email address can also be provided to members only. These emails are delivered to a dedicated address and instantaneously pop up to administrative staff for the fastest response times possible.

If your facility has limited parking, think about marking some parking spaces, or a valet section for VIP members. There are lots of various methods that can be used to prioritize access for VIPs at your establishment, and with a little creativity, you can develop more with your unique space too.

A low-cost-to-your-business benefit is allowing members exclusive access to peak times. Customers may be willing to join a membership program just so that they can book the appointments they want when they need them. 

Consider those clients who want extra-early or extra-late appointments outside of your normal operating hours. A premium membership service could offer the extra times a client wants, and a practitioner could earn extra income for this premium service. A way to phrase this in your marketing materials is “members enjoy access to all appointment times, including before- and after-hours appointments.”

Now, consider peak service times at your business. If the business is always booked or sold out from 10 to 2 every Saturday, reserve those appointment times for members. This could be phrased in your marketing materials as, “The following premium appointment times are available only to Members of our Premium Serenity Club.” If not all appointments are booked in advance by your deadline, release those appointments to nonmembers.

Holidays and special events, such as Valentine’s Day, the week around college graduation, Mother’s Day and Father’s Day, are also opportunities to promote your membership program—again, by reserving premium appointment times for members.

Simply put, members of your program receive early access to highly coveted peak-time and holiday appointment bookings.

To learn more, please register for live business training at our school where you share in questions and answers with a live instructor at:  https://ceinstitute.com

When a customer buys into a membership program, they should receive some type of initial gesture as recognition of their investment. This could be an immediate discount or some type of small take-home gift.

Any gift you provide a member should reflect the high quality of your establishment and also be branded with a bespoke label to promote your business. Aromatherapy oils, analgesics, candles, handheld massage tools, soaps, pens, mugs and notepads are all memorable, personalized gifts.

When you give a gift of a body-care product used in special treatments, such as an aromatherapy oil or lubricant, include a card that describes the treatment at your establishment and offers special member pricing, such as a small discount on the usual cost.  Or, leftover product can be deposited into a small container and gifted to the client as well.

For physical or occupational therapy, think about providing TheraBands for precise exercises, or any other inexpensive object that can be taken home and used by the client.  Small gestures that help a client remember their a sentimental guest experience are priceless investments to your business.

Adding retail to an establishment is a another great way to increase revenue, as long as you have a space that is climate-controlled and secure. Your service providers should offer retail products at the end of every session, and gift certificates should be available for purchase in each session room and in your dedicated retail area.

A new membership program can offer a store-wide retail discount for members only. This can be promoted as a way to save money on a regular basis, because the regular purchase of a high-end body-care product might result in ongoing savings to a customer who uses that product regularly—and so makes joining the membership program make financial sense.

Here is how that works: If a membership costs $50 per month and the member will save $5 per month on their favorite product when they buy it from you, then their membership is paid for in just 10 months—and they still receive any additional monthly member benefits you offer.

To learn more, please register for live business training at our school where you share in questions and answers with a live instructor at:  https://ceinstitute.com/