how to identify the biggest problem in your esthetician business mike michaelowitz maxine drake

How To Identify the Biggest Problem In Your Esthetician Business

Do you find it hard to identify the biggest problem in your esthetician business right now? Most estheticians I speak to don’t just want to survive. They want to thrive! So, what do you fix first?how to identify the biggest problem in your esthetician business mike michaelowitz maxine drake

It has been a trying year. Beauty professionals have shifted and pivoted their businesses to adapt to the new normal. Many are thinking, “now what? What business problems do I fix next?” 

With so much going on, what are you supposed to fix in your business in order to thrive?

If you look at your business from a 40,000’ view, you may think, “I need to address every area… I need more clients, I need sales, I need to clean up operations… I need… I need… ughhhhhhh!”

Here’s the thing — you can’t focus on all of your business problems all at once! Two things happen when you try to tackle everything:

  1. You get overwhelmed when you try to fix everything.
  2.  You become paralyzed and get nothing done. 

Neither is constructive, agreed?

To prevent overwhelm or paralysis from happening, pinpoint the biggest problem in your esthetician business so you can focus. More often than not, the smaller problems will resolve themselves when you have addressed the big issue!

The Biggest Problem You Have In Your Business

As Mike Michalowicz states in his most recent book, Fix This Next, “the biggest problem business owners have is that they don’t know what their big problem is.”

Without a structure to understand your challenges, everything seems like a big problem!

In Fix This Next, Mike breaks down our business problems based on Maslow’s theory of human motivation and replaces “basic human needs” with “business needs:”

the beauty business heirarchy of needs mike michalowicz

We aren’t going to get into each section of this pyramid here. However, I do want to address the bottom layer — “sales” — since many estheticians I speak to need to build their business back up. As such, setting that foundation and creating the cash flow has become the “big problem” for many.

The Foundation: Your Sales Process and Profit Margin

Many estheticians I know are obsessed with reaching six figures. Your business may make $100,000 but that doesn’t mean you are taking home $100,000! 

I don’t know about you, but I’m getting less and less interested in revenue goals. Instead, you want to focus on your profit margins because that’s where the rubber meets the road.

To increase your profits, you need to have an effective sales process that generates revenue with minimal effort.

Here are the key steps you should incorporate into your sales process:

  1. Determine how much revenue you need to support your lifestyle. This “paying yourself first” or “profit first” approach will change your mindset and help you build a business model that’s profitable and sustainable. For example, you’ll know how many sales you need and how to price your offerings.
  2. Build rapport with your potential clients. The more they trust you, the more likely they’ll buy from you. Block out enough time for the initial consultations to get to know your client. Find common interests to build a connection to accelerate the “like, know, and trust” factor.
  3. Ask open-ended questions and listen attentively to find out what your clients really want and need. This allows you to respond with genuine care and empathy. Also, use your clients’ exact words when you describe your offerings to effectively demonstrate how your products and services are relevant to them. By repeating what your client says, it shows that you are listening.
  4. Match your products and services to your clients’ goals and focus on how your offerings can solve their problems. Be confident when making your recommendations — your clients come to you because they believe that you’re the expert that will guide them to success! 
  5. Ask for the sale! If you follow the steps above to build rapport and listen attentively, the conversation will transition smoothly into asking for the sale. Remember, sales are vital to your business — if you don’t have sales, you don’t have a business. Have confidence when asking for the sale. When we sell passively, we communicate a lack of belief in our products and services. If we don’t clearly ask for the sale, the client senses weakness.  

Improving your sales process is just one way to solve your business’s big problem. There are several other areas of your business that may need attention.

Learn how to identify the biggest problem in your business and take serious action by joining us for a live class with Mike Michalowicz.

Mike Michalowicz will be my guest speaker on December 7, 2020, for a live Master Class open to the public! (Included in your Esthetician Inner Circle Membership) Get your ticket here!

identify the biggest problem in your esthetician business with mike michalowicz

Share This: