Taneesa Williamson Recent research by aglow, a beauty membership platform, has revealed consumer behaviours that could significantly impact the beauty business sector. The study, conducted in June 2024, surveyed 1,010 Australian women aged 18-60, showing a strong dedication to beauty treatments despite economic challenges.
Key findings from the study include:
- 87% of consumers already budget for beauty treatments.
- 65% are likely to commit to regular treatments if offered a membership plan with perks and flexible payment options.
- 89% would consider purchasing additional products or services if their main treatment was prepaid through a membership.
“These insights indicate that beauty is a priority for many consumers,” says Jo Blundell, co-founder and chief revenue officer of aglow. “For beauty businesses, offering memberships can tap into existing consumer budgets more predictably, fostering stable revenue and stronger client relationships.”
However, the study also shows that 63% of respondents have reduced their beauty service visits due to the rising cost of living, highlighting the need for budget-friendly options that help clients maintain their beauty routines.
Karl Margrain, CEO and co-founder of aglow, notes the business impact: “Beauty businesses using our platform have observed members spending up to 85% more on retail products and now have predictable revenue, which helps secure bank loans, expand operations, hire more staff, and maintain confidence in their cash flow. This consistency is crucial for business growth in a challenging economic climate.”
Aglow’s membership model aims to provide beauty businesses with predictable cash flow, increased client loyalty, and growth opportunities. Christine Tiberi of Sana Clinic in Victoria shares her experience: “A year ago, my business was struggling, and I considered closing the salon I had run for eight years. Implementing aglow and repackaging memberships, along with pay-as-you-go options, increased our revenue by nearly 43%.”
“Adopting a membership model has been transformative for our business,” Tiberi adds. “Aglow handles everything from payment processing to member communications, freeing us to focus on delivering exceptional client experiences. The financial stability and administrative relief have allowed us to expand and see significant growth.”
Taking off since its launch
Since its launch in May 2023, aglow has partnered with over 600 salons and clinics across Australia and New Zealand, driving notable year-on-year growth. The platform integrates with booking software like Phorest and Zenoti, making it easier for businesses to manage membership programs.
As the beauty industry continues to evolve, understanding and adapting to consumer preferences, such as through membership models, can provide a more stable and profitable future for beauty businesses.
What perks or membership additions have you found that have benefitted spas or clinics using membership based programs?
We’ve found that a combination of exclusive discounts, personalised care, and value-added services are most effective in our membership programs. Some of the key benefits include:
- Exclusive ongoing discounts on all products and additional treatments for the entire duration of the membership. This encourages clients to maintain a comprehensive skincare routine and try new services.
- A birthday voucher that can be used towards any treatment, allowing clients to indulge in something special.
- Regular professional treatments with optional discounted upgrades, tailored to each client’s specific needs and goals.
- Full advanced skin analysis, including diagnostic imaging and regular reviews, ensuring that the treatment plan evolves with the client’s changing skin needs.
- A custom skin journey mapping and product prescriptions, providing a clear path towards achieving skin goals.
- VIP access, such as membership to an exclusive Facebook group with special content and offers.
These benefits not only enhance the perceived value of the membership but also foster a sense of exclusivity and personalised care that keeps clients engaged and loyal.
How are memberships usually facilitated for clients? Can you provide an example?
Our memberships are designed to be comprehensive and flexible, catering to what we call “serious glow-getters.” We offer two main tiers: a 12-month program and a 6-month program, each with its own set of benefits.
Both programs include:
- Full advanced skin analysis with diagnostic imaging and regular reviews
- Regular professional treatments (frequency depending on the chosen program)
- 100% custom skin journey mapping and product prescriptions
- A full starter kit of medical skincare products and ongoing prescription mapping
- A full Naturopathy consultation for internal diagnostic and support
- Flexible payment options to suit any budget
The 12-month program offers more substantial benefits, including:
- 10% discount on all ongoing products
- 10% additional treatment discount
- 15% off Naturopathy reviews, initial Spinal Energetics session, and Beauty services
- 2 LED light upgrades
- A product gift and free VIP event entries
The 6-month program includes:
- 5% discount on all ongoing products
- 5% additional treatment discount
- 10% off Naturopathy reviews, initial Spinal Energetics session, and Beauty services
- 1 LED light upgrade
Both programs provide access to an exclusive VIP Facebook group with special offers and content.
This tiered approach allows clients to choose the level of commitment that best suits their needs and budget, while still providing a comprehensive, personalised skincare journey. The structure encourages long-term engagement and allows clients to see significant results over time.
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