From one to 12 salons: How Zenoti powers growth and retention
We've started working with Zenoti back in 2015, which is almost about 9 years back.
What we started with one salon, we have expanded to 12 salons today. There are a lot of other things, good things about Zenoti that we would like to talk about. There's marketing, which is one of my favorites. That's something that we look into every time, every day. Why do we care? We use it for segmenting our clients. We look at how to do target marketing. We use features like always-on features.
There are a lot more of good things that we are using even for appointment setting. We use appointment notifications and reminders as well. They have not only explored features and made it available based on what they can build, they work very closely with customers on a day-to-day basis, understand the pain, understand the business goals, and work on different areas that they can kind of improvise and build on it on a daily basis too.
I would take it as feature request. They also come back with an enhancement request. These are the new things and great things that we learn about from Zenoti on a daily basis. So one of the most important reports that we use to drive decisions and also discussions with managers on the floor is the service report and the service performance report.
How it helps is, it makes us understand where are we spending our time and what are the top quality services that we have, and what is kind of giving it more attention as well. What we've done is, we've created an add-on service called "a few zeros" to the main service, which is haircuts. And now we started evaluating the business that we're getting from this particular add-on service. So over a period of time, we've realized that this add-on service is helping us, improving our ABV, which is your average bill value, which is the ticket value.
So what was giving us an average bill value of Rs. 1,700, with the add-on service that we've added on, now the billing value per client has moved up to 2,400 rupees. So, this way, it helps evaluate how much the performance of every service is, and add-on service like "a few zeros" can help us improve the business efficiency as well.
When inside of the service called chemical services, I think it's one of the most commonly used services for salons. It could include your hair color or it could be your keratins or your bonding treatments or hair products too.
One other thing that comes as a requirement is to make sure you get a client consent form. And, we reached out to Zenoti asking them if they can help us with creating forms instead of us manually asking clients to sign forms and have a digital form, a form wherein they don't just tick out information but also get their signature as well. And to our surprise, Zenoti came back saying, 'Hey, we not only have this form available for you to do it, but you can also get the client's signature to do it as well.' So, now we have over 3,000 forms happening every day across 12 stores. And every time that any client wants to come in and do a service, whether it's a chemical service or any other service that we want to get their client consent form done, they get to use the form, they get to sign it, and we get a record of it every single time.
One of the interesting things that we started with Zenoti is the membership program. It's also my personal favorite. Why? Because the membership is all about customer retention.
And with membership, we decided on more of a hybrid model. We had membership, and we also have loyalty points. So, the customer not only gets discounts but also gets points. The beauty of the membership programs is that the customer can not only sign up for himself but also add two more guests as members, and that's a beautiful thing. What we saw was a 60-point ratio earlier, which means 60% were old, 40% were new, but now that has changed. We were at 70% old and 30% new. So that simply means that the membership program plays a key role in helping acquire new clients.