A med spa came to us ready to franchise.
Sales were growing, but the owner was still generating much of the revenue herself. The business worked because she worked.
Before replicating the model, we needed to know whether another owner could make the economics work without doing the same.
Three things were getting in the way: the menu, the pricing, and the pay structure.
The menu
The menu had grown over time. It was long, difficult to navigate, and many treatments only made sense after a lengthy consultation.
That created two problems. Clients didn't have an obvious place to start, and the business relied heavily on the person selling the treatment to decide what came next.
We simplified the menu around a clear entry point. Marketing led with one offer clients could easily understand. From there, treatments were organized into logical next steps and add-ons.
The pricing
Discounting had become the default way to bring in new clients. It helped fill the schedule, but it also trained clients to wait for the next promotion and steadily chipped away at margin.
That was particularly costly because many of the treatments already required expensive products, equipment and staff time.
We repriced the menu around the value and economics of each service. Promotions became strategic rather than constant.
The pay
Even after improving the menu and pricing, one problem remained: the compensation model.
Staff were earning commissions of 40–60%. That worked while the owner was producing much of the revenue herself, but it left too little margin to build a business that could eventually operate without her.
Simply cutting commission wasn't the answer either. The business still needed to attract good people and reward strong performance.
We replaced the commission-heavy model with hourly pay and performance incentives tied to clear expectations and measurable results.