Created to cater to those who no longer live in major cities but still crave the style and talent found there, Green Tangerine Spa & Salon first opened its doors in South Windsor, CT, in October 2003. It was less than a year later when another location opened in Canton, CT. Additional outposts followed in Burlington, Foxboro, and Peabody, MA. The upscale luxury spa and salon brand is still growing with another location set to open next spring. Each has approximately three to five treatment rooms and employs between 20 and 45 staff members. “In the first several years in each location, we grew more than 100 percent and continue to grow at double-digit rates,” says Andre Manguikian, director of operations. “While the financial success is important, we have also grown our employee base from 15 when we started to more than 140 employees across five locations. Additionally, we have a very strong retention rate and see new client counts increasing by more than 20 percent over the previous year.” Here, Manguikian shares how Green Tangerine is prospering.
How have Green Tangerine Spas & Salons continued to succeed over the years?
A. At Green Tangerine, we focus on the client experience during each and every visit. We offer hand massages while guests are in the shampoo chairs and hot towel treatments to our male guests during their haircuts. Also, client feedback is very important to us, so we ask after every visit for comments, negative or otherwise. This information is crucial to keeping our customer service in check. In addition, staff retention is vital to our success, so we invest in education and compensation atypical in the industry. For example, we offer health insurance, as well as paid vacation, personal days, and holidays. We have built loyal clients with great service, a friendly but professional atmosphere, and competitive prices.
What are some of the steps you’ve taken to boost business this year?
A. During 2013, we invested heavily in the upgrade of our computer system. The new software allows us to monitor our services and inventory centrally, so we can note any trends and make changes or adjustments as needed. Now, our clients are able to see their services, color formulas, and retail history in any of our locations. We also send last-minute deals and promotions in email blasts, which are now handled in-house with ease and efficiency.
How do you attract new and repeat clients and encourage them to visit?
A. Our existing clients are still our best source of referrals. In addition, we have our 20/20 referral program in which we offer a 20 percent discount to both new and existing clients. The fact that we are a full-service spa and salon, open seven days a week with extended hours, has always been attractive to consumers looking for flexibility and convenience.
Have you changed your menu of offerings? If so, what effect has it had on the business?
A. We have not made changes to our core Green Tangerine Spa & Salon offerings. However, we enhance our menu with the most cutting-edge services available, such as collagen masks, chemical peels, and Keratin treatments. This approach has only strengthened our business. Our clients notice the Green Tangerine Spa & Salon difference.
What steps and cost-cutting measures do you employ?
A. We closely track our backbar and treatment room supplies to ensure there is no waste. We are also consolidating vendors and manufacturers to better monitor and get volume discounts.
What have you learned from surviving the recent recession, and how do you plan to incorporate those lessons in the future?
A. It is important to closely monitor all aspects of the business, even those doing well. We have been able to cut costs by strengthening our partnerships with our vendors and suppliers, increase revenue by educating our service providers on strategies to boost their average ticket sales and behind-the-chair retail sales, and reducing product waste while maintaining a very high standard of services.