Tuesday, January 15, 2008

DOLLARS PER CUSTOMER

Wouldn't you like to know what each customer costs you? It's easier than you think to figure out. You simply divide your expenses by the number of clients that walk through your doors.

Dollars Per Customer is a new free service we are offering our full-service clients. It is an interesting study of your financial information that allows you to view your income and expenses broken down per client. These numbers will obviously change over time, but the dollars per client should remain fairly constant. As more people come through your doors the numbers of clients will increase, but the dollars will as well, so this will give you a fairly good average.

Here's an example: Let's say you pay $10,000/month in rent. In the last month you served 1,000 clients. Divide $10,000 by 1,000 clients and you get $10.00. This means that each customer costs you $10/month in rent.

This gives you a good idea of how Dollars Per Customer works. Granted, each individual salon's rent and number of clients will be different. Click on the following link to access Dollars Per Customer on our website; select Forms & Publications: Dollars Per Customer

If you need help or have any questions, shoot me an email at lkopsa@kopsaotte.com.