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Med Spa Success Strategies
Scaling Your Med Spa to $10M+ - 7 Steps to Achieve 8 Figure Med Spa Growth
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Foreign. Welcome to the show. Today we're going to be talking about how to build an eight figure med spa. Right? How do we go from an established med spa? We've made it, we're paying our bills, we're doing a couple million dollars a year. What does it take to really get to the next level, to get to the place where maybe you do have three or four locations and your business is doing overall $10 million plus. What does it take to go from established business to really an exceptional level of growth that can achieve eight figure status as your med spa? And I've got a seven part framework here for how we're going to or the things that I'm going to recommend doing in your business to help you achieve that level of growth. So these are the seven pillars. Let's start with number one. And number one on our list is going to be operationalize excellence in your business. You hear quotes sometimes like from people like Elon Musk and they say, you know, a good business doesn't even need marketing. The product speaks for itself. I don't think that's true in most industries obviously, but I do think operationalizing excellence means that the weight of the marketing pull is carried more by the legitimate preference for your brand than having to convince people of it. So let's go through a few things that I would say maybe kill brands and stop brands from achieving eight figure growth as a med spa. So the first thing is B grade talent. As you're growing, there are certain parts times in your business where you can't afford the premium top of market people. But if you truly want to operationalize operationalize excellence, you're going to need the best people in the right seats at your business. We talk about it all the time on the podcast. But B level talent is not the thing that's going to help you stand out from the marketplace. It is is a level talent. Sops and documenting everything are critical if we're going to scale this. We need to operationalize and make excellence systematized in our businesses. That includes consults that are scripted or at least templatized or they're consistent across the practice. Your rebooking protocols need to be consistent. Consistent good sops around rebooking. Your opening and closing of the office needs its own checklist. So all of these things need to be standards, not vibes. That's the first thing operations operationalize excellence in your practice. Number two on our list ties into number one. People are the product in this industry. We're in the service business. Same with us as an agency. So try to hire above the bar. A players only always be recruiting. You never know when you're going to need more talent. And if you're going to grow and expand your business, that should be a constant need. So you need to figure out how to create a system where you're always able to tap into a recruiting pipeline of a plus level talent and you're not having to go back to the drawing board and sort of figure it out for from scratch every time you need additional help and that you're not just filling the hole with the next available body, but you're really being intentional. I had a podcast guest recently who said if it's not a hell yes, it's a no when she's hiring. I think that's a great filter. I love that. I'm gonna adopt that myself. Right? For in order to accomplish this, your comp structure matters, right? If you don't pay people top tier in the market, probably not gonna get top tier talent. So your pricing needs to reflect a capability to support top tier talent. Make sure that you give them a career path and upward mobility, great training. And again here culture is the moat. People want to work with other good people and for a business that's known as top tier. And so if you can create that, it's sort of a chicken or the egg, it can come from either direction. But if we can establish operationalized excellence and we're known for hiring and recruiting other A players, we're going to be more sought after by other A players. So your team is your ceiling. We talked about on an internal call in our team last week the law of the lid, which is a John Maxwell thought, which is you're only going to grow up to the capability of your team and your talent. And each individual and each department has a cap based on the talent and the skill set capabilities of that person or department. So your team is your ceiling. Remember that number three on our list? Know your numbers. We've got clients that are multi locations that might already I think be a figure. Plus med spas who still don't have this part dialed in and they don't know their numbers. So again we talk about an operating system, things like weekly scorecard, leading indicators, understanding your consult to conversion rate benchmarks so you can analyze performance among providers and among locations. If you have multiple locations, your rebooking rates, how do you standardize an expectation around rebooking rates per provider to understand what the benchmark of success looks like? Caveat here. Understand that Rebooking rates are going to look different depending on the source of the lead and the source of the patient. Somebody who comes in from a discounted Facebook ad is not going to retain the same rate of a word of mouth referral, for example. With this though, understand your marketing numbers your customer acquisition cost by channel. Don't just measure success on customer acquisition cost, understand how customer acquisition cost and retention play together to create a lifetime value effort estimate per patient. And even better than a lifetime value estimate, figure out a 24 to 36 month window, how much a typical client is worth to you and maybe consider anything else icing on the cake. Margin by service Are we putting forward the right things that are going to generate profitability in our med spa? So many businesses get caught up in trying to find maximum profitability so they think, well, my laser devices give me maximum profitability. What if we can just turn every room in the office into a laser room? There's not enough volume in terms of patient demand to support that. So we have a recent video where we talked about balancing volume and profitability. It can't just be about margin, but margin is important. So know your numbers and then cash position and your profit and loss line. Are you keeping a pulse on this weekly or monthly to make sure that your business is profitable? If you're an owner, your business needs to be profitable to support and sustain itself, to make sure that you're able to take home a healthy paycheck and to take home the money that you deserve for putting this putting the work in and taking taking the risk to build the business. And if you ever wanted to sell, you need to make sure that it's sellable and your profit and loss and your margin and your numbers are going to determine sellability. So know your numbers. Dial that stuff in. Today's episode is brought to you by Gloss Genius. Gaps in your schedule and patients who don't rebook. Tight margins, high fees and a clunky EMR holding it all together. Sound familiar? You'd love to be growing your practice, but you don't always have the time to figure out your next move, let alone to sit down and eat lunch. That's why I want to tell you about Gloss Genius, the System More than 5,000 owners use to grow their practice in the background. Unlike others that take more effort on your end, Gloss Genius automatically fills your calendar by getting you more traffic, more reviews and more online bookings. It finds hidden revenue for you using AI and auto sorts your treatment photos with a HIPAA compliant emr. Your team will actually enjoy using and Gloss Genius is built in. Point of sale doesn't just take payments, it earns you more every day, rebooking patients at checkout, increasing what they're willing to spend and saving you thousands with the lowest flat rate and zero hidden fees. Ready to earn more and take back your time with the software that does the work for you? Use code strategies@glossgenius.com for 50% off your first two months for any aesthetics Practice Plan hey practice owners and marketing directors interrupting this episode to invite you to schedule a one on one strategy call with me to discuss how we might be able to improve and level up your digital marketing efforts. So we're rated five stars on Google, we're HIPAA verified by Compliancy Group and we have a track record of taking clients from 30,000amonth to $120,000 a month and adding multi millions of dollars in additional revenue for some of our bigger multi location med spas from more effective marketing strategies. So on the free strategy call call, it's really educational. I basically spend an hour going through detailed reviews of all of our best performing plays that we run for our clients. You have it to take and run with it if that's what you want to do and if you think it might be a fit to work together, then we're excited about the possibility to partner with you. But if you're interested in better, more effective digital marketing solutions for your Med Spa, visit Medspamagicmarketing.com that's Medspamagicmarketing.Com to schedule your one on one strategy call with me. Step four to building an eight figure med spa is you have to go beyond a single play in marketing. So we can't rely on one strategy and one channel that is fragile by nature. We need to really shoot for omnipresence. We talk a lot on this podcast about when you're starting off for newer med spas. Being lean, being efficient, finding just the one play that's going to generate the best, most cost effective results. But if you're already doing multiple seven figures trying to scale to eight figures, you gotta move way beyond just direct response ads on a single platform or two to generate new clients because these things become increasingly less effective over time. Another recent video we had on this feed is and if you're looking at the podcast feed, the direct response doom loop video, we want to escape that and we want to create momentum and velocity that outpaces the algorithm. So you need to be doing a little bit of everything and Doing it well and showing up everywhere. So organic needs to be dialed in, paid needs to be dialed in, email, you need to have good search engine optimization and AEO answer engine or AI optimization. We want to be creating short form content that builds brand magnetism, gets people seeking out your business, your brand and your providers by name, not just because you put an ad out for the service itself. We need a machine in terms of generating consistent Google reviews. We need to make sure we're dialed in with email and sms, that that we're also getting away from the computer and ingraining ourselves in the community with things like local events, partnerships. Right, Just be unmissable. That's the main thing here. If you're omnipresent, you're unmissable. It's going to be undeniable that you're going to be in the consideration pool. And then it comes down to what we call the validation phase. Do you have the goods to generate the actual booking once you're in the consideration pool and the social proof to back it? Some of the other things we already talked about here will help you accomplish that. But you have to go beyond simple plays, a single play and direct response alone. Build a brand. I would strongly encourage you to build a brand as well, which to me means people are seeking you out for you. Like I said, not just for an offer. Although the offer based ads can work, you want to move beyond that. Number five is you do have to be dialed in with your retention and lifetime value. If you're bringing in new patients consistently, but you're bleeding patients because the experience is just average. We've talked a lot about this. You've got a 35% increase in adoption of neurotoxins as a service in the last half decade. But you've got a triple quadrupling of competition in many markets, which means we're all fighting for a smaller slice of the pie. And in order to avoid that, we need to make sure the patients we do bring in are retained. And that means we can't afford to lose patients because we did an okay job. And people will leave you if the experience, the service and everything is just okay. It's got to be exceptional memberships and incentives that make this just a no brainer. Rewards programs, loyalty programs being comprehensive with treatment plans, not just single service visits rebooking before people leave the chair. I don't know how many times we've talked about this, but make sure I talked to a client recently. There was a huge disparity from client to client. On our roster, one client had 90% of people that we were bringing in by default on the books for a second appointment. Now they weren't guaranteed to show up, but by default they had a second appointment on the books. I had another client that only had 21% of the clients that we brought in rebooked and on the charts for a second appointment. That's going to lead to attrition. That's going to make this a lot harder to achieve in terms of growth, reactivation, re engagement, deepening relationships with clients. How do we create a better experience and a community so people don't resort to price shopping providers? And just remember, retention beats acquisition all day long. Absolutely true. Number six hinted at this in the previous step, but build a brand. What does that mean? People buy brands. The reason people pay more for Nike is because they've established brand identity. You want to do this in your med spa if at all possible. And so this means having a unique point of view, telling compelling stories about the people and the business that create connection, having some signature services and protocols and treatment philosophies that guide what you do, having a consistent brand voice. These are the things that can support premium positioning and create the compound effect of trust. We want to create those elements of know like and trust in a way that's compounding and not have to go back to the well every time. Building brand allows you to do that. And number seven is work on the business in the business. You've heard this. If you're in any sort of leadership circles or business coaching circles, what does this mean in practice? Let's go through a few things of what working on the business means. This means you're out of the chair and not just out of the treatment chair, but you're out of the day to day firefighting chair as well. You're not just the last resort for the issues that are popping up in the business. You're solving the biggest, most complex problems that move the business forward. So you have a good number two that's doing the rest. You have a clean organization chart with named seats and clear accountability. You're doing things like a weekly leadership team meeting. You have quarterly rocks. These are the big projects. They're going to help you move the business forward, create change and transformation. You have a vision for the future. What are we working toward here and why? What is our three year vision in the business? And remember when you're doing this, try to resort on coaching your team, not doing the work. Coach and support. Don't do the work this will help you remove bottlenecks and put you in a much better position to achieve the growth and success that you're trying to achieve in your business. Because you know this is hard. There's a lot of competition. There are a lot of people in your area trying to get the same clients that you're trying to get. If you can take a step back and work on the intentional strategic initiatives, they're going to help you deepen the relationships you have with your clients, the community, and to create scalability, you're going to be better off for it. So remember where the CEO hat. So again, those are the seven pillars. Relisting them again. Operationalize excellence. Remember that people are your product. Get really comfortable knowing your numbers. Be dialed in on the stats and numbers related to your business. Shoot for omnipresence with marketing, not just a single channel. Simultaneously, work on building a brand and magnetism so you're not relying on direct response alone. And then last, work on the business, not in the business, so that you can do the things that are most important to move the ball forward for your med spa. Hopefully those were some good guidelines on how to get to the next level of success. I would say we frame this video as how to get to eight figures. How do we build a $10 million med spa? Something with multiple locations? But this is still true. These are the things that you want to dial in. Now. If you can get comfortable with these seven items, you're going to be better off for it. Even if you're at 50,000 or $100,000 a month right now. You might not be able to do all of these things at this moment, but to have this framework on your radar will, I think, position you for success and growth in your med spa. Thanks, and we'll see you on the next one.