- LookbookGet inspired by the latest lash looks and dive into the artistry trends that we’re obsessing over.
- TutorialsFreshen up on your fundamental classic and volume techniques with our tutorial editorial.
- Product + SafetyGet the lash lowdown on all things product and safety from our resident lash experts.
- Latest
tutorials
Let’s Get Down to Business: Evaluating Your Operational Benchmarks
Establishing solid operational benchmarks, and regularly evaluating your progress against them is critical to building the lashing business of your dreams.
Regardless of how new or experienced you are in lashing, continually revisiting your business performance and measuring it against industry benchmarks is always a good idea. But before we dive in too deep, let’s first review what a benchmark is, and why it’s important to your business.
A benchmark is a business measurement that tracks competitor and industry performance. It helps establish what operational health and potential growth look like for your business. Benchmarks also help you properly set goals, set financial expectations, and identify opportunities for improvement.
To help get you started on the path towards building a better business, we’ve identified key benchmarks across four areas of focus—productivity, operating expenses, guest retention and retail—and provided suggestions and tips aimed at leveling up your operational success. Let’s get to benchmarking!
Productivity
In the world of lashing, time is money. In order to give yourself the best chance of reaching your financial goals, it is crucial to establish clear boundaries and practices around how your time is spent.
Know the numbers
- 80% of hours available are spent being productive
Need a few pointers? The key to being productive is being booked—especially as you start out in lashing. A few tips to help get you closer to the 80% benchmark include:
- Have a referral program so that current guests can send others your way
- Reward referrals with free service add-ons or retail products
- Use social media to highlight and advertise any last minute openings
- Offer discounts or specials to help fill last minute appointments
Operating Expenses
A data point that often goes hand-in-hand with margin, operating expenses are a fundamental business need. Narrowing in on a target spend is a must.
Know the numbers
- 6% of total service revenue is spent on backbar stock
- 2.5% of total service revenue and product revenue is spent on marketing and advertising
Need a few pointers? Spend, particularly on marketing, is a key contributor to growth. A few tips to help you meet these expense best practices include:
- Plan inventory by setting a weekly goal for how much you have to spend on your backbar inventory based on what you generated in revenue
- Spend strategically on marketing—know your audience and research what marketing activities can give you the best return on your investment
- Track and follow your advertising spend and results/returns to recognize what’s working and what’s not
Guest Retention
Did you know that keeping an existing customer is both easier and cheaper than acquiring a new one? For that reason, guest retention is one of the most important benchmarks to watch.
Know the numbers
- 60-70% of all service guests are returning customers
- 60% of guests pre-book their next appointment
Need a few pointers? Keeping customers happy is key to keeping appointments booked. A few tips to help you improve guest loyalty include:
- Stay in touch with guest satisfaction—surveys are a great way to quickly and easily stay on top of your customers’ happiness
- Build relationships with your customers
- Pre-book your guests’ next appointment before they check out
- Host appreciation events, and offer VIP deals/incentives
Retail
Our benchmark of choice when evaluating retail performance is RPCT—Retail Per Client Transaction. Across the industry, 40% of guests are also purchasing retail products, and, on average, each retail client spends an additional $12.
Know the numbers
- Retail accounts for 30% of your overall business revenue
Need a few pointers? A few tips to right the retail scale include:
- Up the quality of your consultations and educate on the importance of at-home lash care
- Ensure that your retail area is shoppable and easily accessible
- Take the guesswork out of shopping and have pre-picked lash care bundles and items easily shoppable from your point of sale
Did you know? Guests who go home with at least 1 retail product are 40% more likely to return. Two products? 60% more likely to return. Three products? 80% more likely to return!
