Retail

<<< Back to ISPA Academy

Retail Management for Spas | Chapter 5.1 | Retail Sales Percentage of Total Spa Revenue

March 27, 2017

All of the information needed for financial evaluation can be found on the retail department schedule in Exhibit 1. This departmental schedule covers revenue, adjustments, cost of goods sold, gross margin, direct expenses, and the final income/loss departmental contribution. This is a generic schedule designed to fit all spas; individual spas will have modified schedules to meet their own needs and requirements. Several of these items are evaluated monthly.

Retail Management for Spas | Chapter 5.2 | Retail Sales Contribution by Merchandise Classification

March 27, 2017

Some spas with significant retail revenue will want to monitor retail sales by classification as compared to plan. This information is valuable as it can aid spa professionals in…

Retail Management for Spas | Chapter 5.3 | Retail Sales Per Ticket

March 27, 2017

Another way to evaluate the retail sales of a spa operation is to compare retail sales to the number of tickets posted during the month. 

Retail Management for Spas | Chapter 5.4 | Retail Sales by Therapist

March 27, 2017

The most common measurement of spa retail is retail sales per treatment by therapist. 

Retail Management for Spas | Chapter 5.5 | Retail Markdown Percentage

March 27, 2017

Markdowns and retail discounts are two factors that affect the cost of sales. Discounts are strategic decisions made by management. 

Retail Management for Spas | Chapter 5.6 | Retail Sales Per Square Foot

March 27, 2017

In the classic retail environment, revenue is monitored on a sales per square foot basis that is calculated annually by dividing total retail revenue by the square footage of the spa retail space. 

Retail Management for Spas | Chapter 5.7 | Cost of Sales Percentage

March 27, 2017

The cost of sales measures the profitability of retail sales. It is a ratio between the cost of the goods sold and the net revenue. It is always expressed as a percentage of net revenue, never as a specific dollar amount. The specific dollar amount is expressed as the cost of goods sold. It is the largest expense within a spa retail department and merits study on a monthly basis.

Retail Management for Spas | Chapter 5.8 | Inventory Turnover

March 27, 2017

While inventory has been thoroughly covered in a previous chapter, some of the concepts apply directly to evaluating performance and maximizing a spa’s profits.

Retail Management for Spas | Chapter 5.9 | Spa Retail Budgeting

March 27, 2017

Spa professionals prepare the retail department annual budget at the same time that they prepare the budget for the entire spa operation. For the budget to be most useful and accurate, spa professionals have to prepare a forecast of retail activities as it represents the road map of the retail operation.

Retail Management for Spas | Chapter 6 | Introduction

March 27, 2017

At the Seasons Spa …

Jazmine and the Seasons Spa are avid participants in the Jelly Bean League. They meet monthly to compete against other spa retail staffs.

Scroll to Top