Category

Spa and Salon

How Sport Clips Brings a Successful Franchise Brand to a New Country

By | Battle Tested Strategies, Spa and Salon

Sport Clips, started in Austin, Texas by former U.S. Airforce Aircraft Commander, Gordon Logan, is a hair salon specializing in hair cuts for boys and men. Franchising since 1993, this dynamic system has over 1,800 locations in North America.  Sport Clips has been in Canada since 2012. Sara, who is going into her fifth year with the company, works with franchisees from sea to shining sea.

What does it take to extend a successful franchise brand to a new country without spending too many resources? Sara Belanger, Director of Operations for Sport Clips Canada works with franchisees from coast to coast to set them up for success using franchise coaching and processes adapted to their needs.

We sat down with Sara and she shared how she uses smart processes and tools. 

A Day in the Life at Sport Clips 

What is your role?
Sara: “I am the Director of Operations for Canada. Our focus here is to put the processes that are already established in the United States into Canada. My responsibilities include system-wide software launches and roll-outs such as POS or core operational software shared with franchisees. I also take care of national recruitment strategies, campaigns and platforms. I wear many hats, but I would be bored if I had the same tasks day after day. The diversity in the role keeps it interesting.

“Management of all new store build-outs is also key to my role here at Sport Clips. That means taking the new franchisees through ‘day one’ in the field in terms of starting their new business after they have been on-boarded through their initial training. I navigate them through the entire build-out process task-by-task and we have regular calls to get that done. Once they are up and running, I do the ongoing coaching on operational strategies to grow their businesses. A big part of our franchise coaching is strategies to manage store teams in terms of development and engagement.”

What interested you in the franchising community?
Sara: “It was a great opportunity to work along-side entrepreneurs – I have always had a huge respect for them. A lot of our franchisees have interesting backgrounds and are real “go-getters”. We are a manager-run store with a team leader, so most of the owners of Sport Clips have day-jobs. At the same time, I get to work with the hairstylists who are creative, passionate and fun.”

What do you like about working at Sport Clips?
Sara: “The culture is very positive and respectful. Our team works closely together, and we are all working towards the same goal. We are all helping our stores become successful; it is nice to be part of a team that is willing to go above and beyond.”

Building on the Success of an Iconic Brand

What strategy do you employ to set your franchisees up for success
Sara: “Sport Clips started franchising in the early-90s, so they have over 25 years of experience building systems and processes. To make sure that our store owners are successful, we take them through every element of each process. We want to make sure that they are armed with the tools and information that they need.”

What tools keep you on track?  
Sara: “In terms of staying organized, FranchiseBlast is a great help. It is an opportunity to get back into the system and have task-oriented items there that you can check off. We have processes in place for every development point including:

  • Onboarding training
  • Grand opening
  • Store build-out
  • Ongoing plans

“This is something we can build into a process, and we use FranchiseBlast to ensure that we are hitting every point on the checklist. After that, communication is key. We make sure that we are reaching out to franchisees on a weekly or bi-weekly basis, depending on where they are at in the lifecycle. We have a call with an agenda and create follow-up items to ensure that we are getting traction on our shared goals.”

How do you use tasks specifically?
Sara: “We do ‘Success Checks’ which is what we call our Store Audits. Using FranchiseBlast, we can store and track relevant follow-up tasks. We also use the Action Plans function when we are doing a store transfer or grand opening – all the associated tasks are there. We have it broken down by department and we are able to follow-up on that. If I see a task that hasn’t been marked as complete, it is easy for me to see who needs a follow-up communication. It ensures that nothing gets missed.

“There is also a function to edit plans for ongoing enhancements. If we go through a process and find that there is something missing, we can build a stronger process for the next time.  We don’t need to rebuild the same tool over and over – it is a huge bonus for us.”

Managing Unique Challenges

What was the biggest challenge?
Sara: “Across Canada, I would say that recruitment is an ongoing challenge. We want to make sure that each store manager is not taking his or her foot off the gas in terms of finding those awesome new stylists. Having great stylists is the best way to ensure that our brand is the premium one that we all work towards as an organization.

“Once they are hired on, one of our first steps is to take them through a tool called “Magic Notebook” which is done at 3 full days of training. “Magic Notebook” is a full checklist of what that new hire must go through to ensure that we are setting them up for success. Do they have the tools that they need to function in our environment? Do they know what to do? We want everyone to be successful and they can only be successful if they have the tools and training.”

Canada is a diverse country – how do you manage that?
Sara: “Challenges are very store-specific. Factors such as:

  • Where is the location?
  • Is there a brand presence in that region already?
  • How mature is the team leader?
  • How established is the team?

“Each store has its own unique personality, and a different opportunity. The good thing is that for each challenge that we encounter, we do have the tools. We know what works and we can build those plans for them. They are going to be at different stages of the lifecycle.”

What advice would you give to someone who wants to take an established system and make it successful in a new market?
Sara: “Take a look at the processes in your system and adapt them where needed. We have taken some and broken them down further, so that they are more digestible chunks that will get quicker results. Look at your overall processes and where they would fit in that store’s development. Every team leader who comes on has a different set of experiences and different specialties. You may not train one team leader the same way that you train another one, for example.

“When you look at them on an individual basis, you may want to simplify the training content to ensure that it is meaningful. Also having your actionable items created as tasks, helps you track and see progress. I would also advise to “never assume anything”. Don’t assume that the franchisee knows something without being sure. Instead, ensure that the touch-points and ongoing communication is there. This helps you get in front of an issue as opposed to reacting to it because an assumption has been made.”

Key Take-Away

The key takeaway from this story is that you do not need a lot of resources to expand to a new country if you have the right technology and tools. 

Interesting Questions

For every interview, we ask some concluding questions to learn more about our guest. Check out the below to learn more!

What new belief, behaviors or habits, adopted within the last 5 years, have most positively impacted your life?
Sara: “My perception of business, based on the Sport Clips culture, has changed significantly. ‘Do your best; do what is right; treat others the way that you want to be treated,’ are some of the main parts of the culture. It was a nice environment to come into. In this company, there is a lot of focus on what is going in the right direction and celebrating that. The challenges are really seen as opportunities, and everything can be accomplished. It is a great perspective that I have applied professionally day-to-day and it has also had a positive impact on my personal life.”

Purchases of less than $100 that have improved your life?
Sara: “I have a mouse pad that is like an agenda. I was a collector of agendas and different pieces of paper, trying to keep things on track before. Keeping my day on just one piece of paper has been life-changing.”

What books have you gifted the most to other people?
Sara: “I love light reads that I can get at the department store, then I pass those on to other people. I find it helps me re-set and relax and I like to share that positive energy with others.”

Tommy Gun’s Original Barbershop Improves Old-Fashioned Luxuries with New Technology

By | Press Release, Spa and Salon

For Immediate Release: PRWeb

November 1st, 2018, Toronto: Sometimes a haircut is more than just a haircut — it’s an experience – one that will now be bolstered by technology. Tommy Gun’s, a family-owned upscale chain of barber shops offering a 1930s aesthetic is employing mobile-friendly technology with human-centered workflows to further enhance their business model.

Supported by FranchiseBlast’s Performance Tools, Tommy Gun’s is enhancing its ability to track the metrics of success that each location relies on to thrive. FranchiseBlast, an Ottawa-based technology firm, provides a comprehensive suite of tools for franchises looking to streamline their field coaching processes. With this in their arsenal, the franchisor not only ensures operational compliance but also coaches franchisees to improve their performance.

The solution also allows Tommy Gun’s to aggregate data from Voice of the Customer tool, Listen360, Google Reviews and their point of sale into one convenient location for easy analysis. By incorporating these tools, Tommy Gun’s is looking for point-and-shoot efficiency on the business side, so they can spend even more time on their legendary customer service.

“We pride ourselves on providing a uniquely high level of customer service,” says Darcy Curtis, Director of Barbershop Operations at Tommy Gun’s. “By making the business management side easier and quicker, we can focus on the thing that matters most — giving our customers an exceptional barbershop experience!”

Through the aggregation of data, franchisee coaches are spared the lengthy and monotonous task of copy and pasting data into folders. FranchiseBlast’s Performance Tools saves them time so they can spend more time connecting with individual franchisees.

“A franchisee coach’s time is much better spent actually talking to people, rather than punching in numbers and copy and pasting,” Jason Kealey, President of FranchiseBlast, said. “Our tools make these processes more efficient, so coaches can get back to doing what they do best. Additionally, franchisees gain access to benchmarked data, guiding them on improving their individual weaknesses compared to the franchise as a group.”

About Tommy Gun’s

Tommy Gun’s Original Barbershop is Canada’s largest family-owned network of barbershops, blending 1930’s vintage barbershop grooming with modern amenities, men’s unique grooming products and the latest styles. Our 60+ locations across Canada provide guests with the epitome of male grooming. At Tommy Gun’s, our mission is to ensure that every guy who visits walks away feeling and looking his best.

About FranchiseBlast

Since 2007 FranchiseBlast has helped franchises in their quest for operational excellence. Integrating best practices from some of the world’s best-known brands, FranchiseBlast combines elegant usability with turn-key quickstart programs. FranchiseBlast’s clients include brand aggregators such as Focus Brands and individual franchise brands such as BeaverTails, Pita Pit and Tropical Smoothie Café among many others.

Contact:

Stefania Sigurdson Forbes
Sr. Marketing Director
FranchiseBlast
877-567-5282 x709
ssigurdsonforbes@franchiseblast.com

See PRWeb Submission

Important KPIs for Spas and Salon Franchises

By | KPI, Spa and Salon

While many Spa and Salon businesses recognize the need to measure KPIs, the truth is many rely more on intuition than analyzing the numbers. While creating an atmosphere, happy clients and happy employees takes fantastic soft skills, “knowing your numbers” will help your spa or salon find its place in the market.

Think of a KPI indicator as a map. You have a destination point, and you have your path, with a giant “you are here” sticker as well showing where you currently stand. You talk to your clients about balance, and the numbers are a big part of the balancing act for any business. Here is a helpful list of the top KPIs for spas and salons.

1.    Cost Per Lead (CPL)

Every marketing effort should be tracked, since what gets measured, gets improved. It helps you understand how much you are spending on leads, and if you should continue to invest. For example, if you are getting $25/lead off of Google, and a bunch of traffic off of Facebook, but 0 leads, you should reconsider the time, money and energy you are investing in Social.

CPL = Cost of Marketing Program/Total Number of Leads

Note when calculating, a lead has two main aspects:

  • They are actively searching for the service
  • They provide a way for you to contact them for follow up

It is a good idea to put aside a small amount of your budget, such as 10%, to experimental initiatives to make sure your marketing mix is the right one for your spa, your target market and your area.

2.    Average Treatment Rate (ATR)

You may think that because your salon or spa is busy, it is successful, but that is not necessarily true. At the end of the month, it is a good idea to get an idea about how much you are making for each treatment as well.

ATR = Total Number of Treatment Hours Sold / Total Number of Treatment Hours Available 

As you look at this metric, one thing to take into account is that some treatments take longer than others. So – a 2-hour treatment of $180 is less efficient than a 1-hour $100 treatment.

3.    Spa Productivity or Occupancy

With the rent or mortgage costs associated with the space typically being the biggest cost associated with a spa understanding the usage of treatment rooms is an important indicator of how productive your space is.

Spa Productivity = Total Number of Treatment Hours Sold / Total Number of Treatment Hours Available

4.    Capture Rate: Retail

Spa and Salon revenue comes from two sources: services and retail sales. According to Winn Claybaugh, co-founder of Paul Mitchell Schools,  “Per square footage, the footage devoted to selling products [like shampoo and hair gel] is more profitable than footage devoted to service”.

Capture Rate = Total Retail Guests/Total Spa Guests 

5.    Net Promoter Score (NPS)

Offering an exceptional experience will not only keep your guest coming back, but they will also tell their friends. Best of all, they may even take a “selfie” of them looking fabulous after their treatment! Technically a loyalty measure, the Net Promoter Score (NPS) is a fantastic way to measure this on a quarterly basis.

This measure compares your biggest fans (promoters) compared to your biggest critics (detractors). Learn more about Net Promoter here.

NPS= % Promoters-% Detractors
Your NPS can help you in your marketing efforts, by asking promoters to leave reviews or recommend to their friends and family and it can help prevent churn in terms of the detractors.

6.    Repeat Guests

Repeat guests generate a higher return on every dollar spent getting them in the door. Also – practical experience shows that repeat customers tend to spend more on subsequent visits as well. This metric is calculated through the following:

Total Number of Repeat Guests/Total Number of Guests 

7.    Employee Retention

Customers are more likely to develop a bond with their stylist or therapist than the brand itself. If you have an employee who leaves, you risk their clients moving with them. For this reason alone (even though there are many others), you want to make sure your team is happy. Employee retention is measured as follows:

Total Number of Employees that Left for a Period/Total Employees at the End of that Period 

8.   GOPPATH

This is a strong indicator of performance because it looks at how good you are at generating revenue, controlling expenses and making strong utilization of your hours.

GOPPATH = Total Spa Gross Operating Profit (GOP)/Total Treatment Hours Available.

9.    Earnings before interest, tax, depreciation and amortization (EBITDA)

EBITDA is a measure of a spa or salon’s operational effectiveness. It is a way to evaluate a company’s without having to factor in financing decisions, accounting decisions or tax environments. Although difficult to say or even fully comprehend for gym owners who have come up through the health and fitness operations side, it is a key indicator.

To calculate the adjustments needed for EBITDA, please see this article from Quickbooks.  

EBITDA shows how good your business is at generating cash thus your business is valued as multiples of this metric.

Metrics Are a Beautiful Thing

While you encourage your clients to balance mind and body, at the same time, you want to make sure your KPIs are balanced. Look at our post on how to use KPIs in Franchising.  With FranchiseBlast’s Scorecards, you can track all of your metrics in one place, and modify metrics on the fly. Learn more here…



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