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Old 09-04-2006, 08:22 AM   #1 (permalink)
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Hollywood tans $20 unlimited pkgs.:(

How does someone compete with Hollywood Tans $20 a month unlimited? We have a ton of hollywoods in my area, but one big one just opened near a college campus that some of the students traditionally came to me. they are 1/2 mile from campus, I'm 2 miles from campus in the next town. Hollywood used to have all standups and I got the kids who liked the beds, but this one has a ton of beds.

We normally had run 3 months for $80 to get them to go the 2 miles. Should I bite the bullet and go to $50 for the semester and hope for a lotion sale?
This special would be limited to that college. Getting the word out to them is very hard. Their school paper is VERY expensive to advertise in and they make a ton of mistakes on the ADs. Their campus has had a problem with vandals so handing out flyers or doing something on campus is tough to do.
They are about 20-25% of my tanning business and I hate to lost them but wondering if my advertising dollars and time would be better spent concentrating on growing the business with-in my town. Also, I just purchased sunless HVLP equipment from a salon in town who closed down because of lease renewal time. They were open a year but the town is too small to support a sunless only salon. I'm wondering if that market would show a higher profit ratio per advertising dollar than beating my head againist the wall competing with that large chain.

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Old 09-04-2006, 08:53 AM   #2 (permalink)
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Re: Hollywood tans $20 unlimited pkgs.:(

You get whatyou pay for .. we have several chains by us and mybest advice is keep doing what you are doing... By HT offering this it will weed out the good from bad clients.. The good ones that want a good tan and know using a lotion is better for you will continue to come to you...
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Old 09-04-2006, 09:12 AM   #3 (permalink)
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Re: Hollywood tans $20 unlimited pkgs.:(

well it is not 20 a month - it is 3 month commitment so it is 60.
if you do 3 for 80 and your beds acctually tan - dont worry about "Gross Tan"
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Old 09-04-2006, 11:22 AM   #4 (permalink)
 
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Re: Hollywood tans $20 unlimited pkgs.:(

As a former college student and friend to many current students--we are always on the lookout for the best deal. You have the convenience of location and price that you are up against. The $50.00 isn't a bad idea provided that you get several student's.
How about $25.00 for the month without the need to enter into a 3 month contract such as H-tans 3 month committment for $60.00. This way a student only has to come up with $25.00 instead of $60.00. At $25.00 you have a discount of only $ 1.67 per month from your previous special to college students(3 months for $80.00).
I probably wouldn't expect much of a change in the sale of lotions unless there is a change in marketing your line. You may have noticed that some college students bring their own or don't use any. There are a lot of resources online to help students save money on books, as well as lotions.
Do you have a record of your clients email addresses? Also, do you have a webpage where you can announce specials to your clients, where you can list coupons that can be printed? When you compare the price of having your own website to the price of continually advertising in the schools paper, you will likely come out ahead. You may still need to advertise in the schools paper just not as often.
We are going over some ideas to help maintain an increased market value of the beauty industry. Do Not get into a price war, especially with a large chain which mat at some point get into predatory pricing to eliminate the little guys. I would be happy to help in any way that I can. Please feel free to drop me an email or call.

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Last edited by Shocker; 09-04-2006 at 12:37 PM.
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Old 09-04-2006, 07:05 PM   #5 (permalink)
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Re: Hollywood tans $20 unlimited pkgs.:(

It's an EFT program. Many salons offer it, not just Hollywood. But the recently cut all of their monthly and session packages nearly in half. Why? Why do you think?
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Old 09-04-2006, 07:15 PM   #6 (permalink)
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Re: Hollywood tans $20 unlimited pkgs.:(

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Old 09-04-2006, 09:10 PM   #7 (permalink)
 
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Re: Hollywood tans $20 unlimited pkgs.:(

IGNORE HT !!!!! Don't fall into there trap and lower your prices out of fear. You get what you pay for. Hey tanners: really, they trick you into "no contracts" look closely. It's a three month commitment, it's automatically taken out of your checking account and it's for there lowest level bed. They also usually only have 1-2 of them so there rarely available....meaning you'll have to upgrade (pay more) Also people are generally not happy with the result so they upgrade(more money) and they are very clever this way. The lower level units are generally a high % of burning rays ........so BE CAREFUL!!!!! There's usually not a well trained proffesional person there to TAKE CARE OF YOUR SKIN. Stick with the non-franchise family owned salon. They won't try to trick you (except in Canada:) ) and they'll offer yopu a much better, longer lasting tan and a better value (again, except in Canada)

Last edited by bronzeman11; 09-04-2006 at 09:13 PM.
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Old 09-05-2006, 04:51 PM   #8 (permalink)
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Re: Hollywood tans $20 unlimited pkgs.:(

Hollywood Tans has the junk in the trunk and the students will soon find that out
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Old 09-05-2006, 05:06 PM   #9 (permalink)
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Re: Hollywood tans $20 unlimited pkgs.:(

Quote:
Originally Posted by Dustin
Hollywood Tans has the junk in the trunk and the students will soon find that out
Junk in the trunk? LMAO
Have you been hanging out with Matrix Man
sorry couldn't help myself
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Old 09-05-2006, 06:07 PM   #10 (permalink)
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Re: Hollywood tans $20 unlimited pkgs.:(

I think he means junk in the salon.
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