Week 9

Neha K -

Welcome to Week 9! This week, I wanted to clarify some common questions that I was getting about gift cards.

The gift cards I was referencing in last week’s blogs are our “traditional” gift cards. They are only bought to cover a massage/facial service but are priced depending on if you are a member. For a non-member, buying this gift card would be $40 more than if you are a member because that’s how much extra a service would cost for you. 

Now, let’s examine a quick scenario:

You have been gifted a gift card that was bought at non-member pricing (let’s say it cost $100). You loved the service so much that you decided to become a member yourself. So now, technically you are a member coming in with a non-member-priced gift card. How would that work?

As a member, you are now allowed to get services at the member price ($60, because it’s $40 cheaper than the non-member price). Although the gift card is already paid for, it still wouldn’t be fair to put you at the non-member rate when you are at the member rate. So, we would ring you out as a member at $60 for a gift card that has $100 on it. You get to keep the extra $40 to use for upgrades on a service or to contribute towards another service (even cryo).

Being able to get more off of a gift card is an incentive for people to become members after coming in on a non-member-priced gift card because now it’s not only covering one service but is covering part of another service too.

 

We do also sell an “amount” gift card. This is for people who might not want to spend that much money on a gift card to cover an entire massage/facial service, especially if they are a non-member. If it costs $100 to get a whole service at non-member pricing but had only budgeted to spend $75 on a gift, then they can choose to just put a dollar amount of $75 on a gift card. When that person comes in to get their massage/facial, it’s up to them if they want to pitch in $25 themselves to cover the service at non-member pricing, OR they can choose to become a member and get their services at $60 (which the gift card would not only cover but still leave them with an extra $15).

Hopefully, this post clarified some questions about gift cards. This is definitely the most complicated subject and took me a few tries to get the hang of it as well.

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Comments:

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    O F
    Hello Neha. This is another great detailed post, so good job. One quick question regarding "amount" gift cards. If a non member were come in for a treatment with an "amount" gift card, and they want to become a member, but don't want use all of the money on the gift card for that treatment, would they still be charged a member price? For instance say the card has $75.00 on it, and now the customer becomes a client, if the client gets a $200 dollar facial this week and uses half of the gift card to pay some of it off, and then they get the same facial next week and use the other half to also start to pay it off, would the customer be charged member prices both times? Also, is that even allowed to not fully utilize the gift card in one swipe?
      neha_k
      Hi! Great question! Yes, if it's an amount gift card, you are allowed to only use part of the gift card because it's not meant to cover an entire service. If the client has become a member, then they can use the gift card for as many facials as they want at the member price. There is no limit to the number of services you can get at that discounted rate.
    mugi_s
    Hi Neha! Good job, do you have to explain the gift card perks to each person interested in becoming a member? Or are there other benefits that are more emphasized when selling a membership?
      neha_k
      Hi Mugi! It depends on what they're coming in for. If they're just coming for a massage/facial, then gift card perks may not be something I highlight. But, if they're coming in to buy a gift card for a friend, then I'd tell them the benefits of getting a membership to make their gift card purchase cheaper.
    georgia_b
    Hi Neha! Thank you for clarifying this. Do you give a current member a discounted service if they recruit a new member?
    Aanvi Verma
    Hey Neha! Amazing post once again. Are there any limitations in using gift cards while sing promotional offers/discounts?
    srivarun_v
    What's the difference between the "traditional" gift cards and the "amount" gift cards, and how does the pricing work for members and non-members when using them for services at your establishment?
      neha_k
      The traditional gift card is meant to cover an entire service, while the amount gift card is meant to cover a certain dollar amount. Members will always get a discount on services and gift cards.
    Ethan K
    Hi Neha, this was a great post clarifying what would happen with gift cards under certain circumstances. I was wondering if someone where to buy a gift card while being a member to give it to one of their friends as a gift, is there a limit or a minimum to the amount that they can put on the gift card? Also, if someone wanted to give their friends $100 on to a gift card, would paying a cheaper price while being a member still allow them to spend $100 at the spa?

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