“One thing that I’ve never fully understood is how to calculate per client averages. Can you show me the process to obtain that figure? Once I have this number, how can I use it to improve things at my tanning salon?”
What a great question! The answer is something I want every tanning salon owner to know…
Per Client Average (PCA) measures the investment tanning salon owners get from the average tanner. It’s a relative term. (Relative as in the sense of comparison, not as in a member of your family!) Use it to track progress in your salon’s services, products, and the experience you deliver.
Philosophy aside, the calculating of PCA is simple. You merely check your point-of-sale data to find the number of individual tanners (Not tans!) or unique customers. You have customers at every possible level of expenditures at your salon. For example, you could have one tanner who purchases a single tan in a year. (God only knows why!) You also have individuals who spend hundreds of dollars over a year on your top EFT monthly services. You’ll also have all types of tanners who’s spending habits fall between these two extremes. The PCA helps you determine an average between them all.
It’s easy to determine your PCA. Take your number of individual tanners who did business with you over any set period of time. (Typically we refer to PCA for a full 12-month period.) Divide that number into the total monies these tanners collectively spent at your salon during that time. You’ll arrive at your tanning salon’s PCA. Use it to test your progress at increasing your tanners’ perceived value of your services.
Your PCA is the total of the individual customer dollars spent divided by the total number of individual customers. A bad number would be anything under $75 for 12 months while a good number would be $135 or more. And how do you increase your PCA? By increasing your percentage of revenues that are from EFT members. Simply put, increasing EFTs increases your PCA. Best of luck!
