Salons rely on long-term relationships, making customer-churn a profit poacher. That’s why Teresa McGaha got strategic, focusing on retaining every client who ever crossed her threshold. Her mini-investment/super-sized payoff plan:

Name of Salon: Mouton’s Salon
Location: Grapevine, Texas

Bright Idea: Generate a computerized list of every client who hasn’t returned in the past seven weeks. Send each an “appreciation” letter, offering 20-percent off any service—for a limited time. As these clients come back, focus on pre-booking their next visit. Then, personally call every client who hasn’t rebooked in the last five weeks.

Why it works: Clients don’t really want to salon-hop unless they’re uber-unhappy, and they need a reminder to get booking. McGaha’s approach lures loyalists with an offer that helps them save on services, encourages pre-booking habits and adds a personal contact. The more contacts you have with clients, the more anchored they are to your business.

Bottom line: 100-percent of clients contacted during the five-week calls rebooked. Business is up 12 percent over the same
period last year.