What should you consider when setting prices for your spa services and products? There is an array of costs you will need to review when it comes down to setting prices within your business. You do not want to set your pricing too low and undervalue your business. Ask yourself questions such as; what is your brand identity and who is your target demographic? Here are costs to consider in your clinic to help you determine pricing.
Costs to consider in your skin care clinic
Firstly, it may be best to check your surrounding competition and see what they are offering that is similar to you. This will help give you a better range when thinking about pricing for your spa services and products. The following need to be considered also;
- Marketing costs– How much money are you spending or plan to spend on social media, ads, and email campaigns?
- What is the cost and profit margin of the treatment
- Cost of product– What products are you looking to sell? Will you private label your own skincare brand or use someone else’s brand?
- Cost of labor, commission, rental space, equipment etc,.. Do you have employees and based on your treatments what can you offer them financially? Does the equipment you own require monthly payments or do you already have it paid off. What about your disposals or can you cut down on some disposable items?
Knowing where and how much money you are spending in your business can allow you to calculate or change pricing. To have everything organized, you can create an excel sheet with your finances written out. This will help you become confident in pricing and secure that you made the right decision.