Stop scrambling for monthly promotions: plan the year first

In short: instead of inventing a promotion every month, lay out the 12 months ahead before the year ends. The plan does not need to be complicated, but you need one.

What goes wrong without a plan

It is like driving from Johor to Penang and on to southern Thailand without checking the tyres, the radiator or the spare, and dealing with problems as they come. You might be fine, but it is a bold way to travel.

• Last-minute promotions are usually just discounts, which hurt your prices and your regular customers
• Staff have no time to prepare, so execution is messy
• Unconnected monthly offers never build a brand impression

Four steps to an annual marketing plan

1. Mark the fixed dates and seasons: Chinese New Year, Hari Raya, Deepavali, Mother's Day, year-end holidays, and your own slow months.
2. Give each quarter a theme: for example a new service in Q1, rewarding regulars in Q2, lifting the slow season in Q3 and year-end prepaid offers in Q4.
3. Set a goal for each campaign: new customers, returning customers, higher spend per visit or prepaid sales? Different goals need different tactics.
4. Review once a month: keep what works, adjust what does not, and next year's plan will be sharper.

Discount less, add value more

Cutting prices is the easiest reaction when sales dip, and the most expensive in the long run. Before discounting, look for ways to add value: an extra service, a different bundle, or something special for regular customers.

Plan next year before this year ends, and you will stop worrying about it every month.

Adapted from Dave Tan's book How High Should Your Customer Retention Rate Be? (2014, in Chinese), updated for today. About the book

Author: Dr. Dave Tan, DBA — Founder of Vital Design, Doctor of Business Administration (DBA). A business consultant to salons and SMEs since 2003, and author of a book on salon management.