Merle Norman Cosmetics Spas Enjoy Impressive First Year of Success

Spa services give franchisees a potentially lucrative second source of revenue

A beautiful young woman relaxing at the beauty spa

A little more than one year after rolling out our brand-new spa services offering, 130 Merle Norman Cosmetics studios now also are designated Merle Norman Spas. Always known for exceptional skin care products, our brand now offers exclusive products tied to spa services. It’s a recipe that our franchise owners are finding successful and foundational to the health and longevity of their studios.

“Within one year we’ve added 10 percent of our franchisees as new Merle Norman spas,” says Travis Richards, Vice-President of Franchising. “We’re very pleased with the spa offering and really view it as the future of Merle Norman. For the Studio owner, we’ve reduced their cost of goods because they aren’t buying from a competitor, and the product is so much better. From a business model standpoint, franchisees who offer spa services earn more and there’s a greater profit margin.”

Merle Norman franchisee interviewMerle Norman Spa Services mean potentially more sales and higher revenues for franchise owners

Studios with spas see increases in sales for a variety of reasons. As customers wait for their spa appointment, they are interacting with our makeup play tables in the front of the store and inevitably find new products to try and purchase.

There’s also an increased sell-through for our skin care and facial products because customers are more likely to buy items they’ve been exposed to through a spa or facial experience. “Spa services add to incremental sales of the retail product because now you’re using the product during a pampering service that truly does make a customer’s skin — and that person — feel and look better,” says Richards. “For the franchise owner, it’s going to mean more to the bottom line.”

A spa service provides an additional stream of revenue for Merle Norman Cosmetics franchisees

For potential franchisees, the Merle Norman Spa is an attractive element of opening a studio. Obviously, it’s another way for studio owners to capture customers’ business, but it’s also an effective way to equip franchisees to serve their communities.

“Many of our franchisees are interested in pursuing some other type of service, or in selling another product in order to bring in additional revenue,” says Richards. “We see that spa services are more conducive to what the studio is already doing in the way of skin care and cosmetics than, say, selling accessories. Offering spa services is a natural fit for our studios and is an effective way to serve customers. Helping women feel better and look better is a core element of who we are.”

“Many potential franchisees see the benefit in offering spa services,” says Beth Butler, Director of Franchise Sales. “The market for services is much broader than the market for products. Studio owners have a built-in pool from which to pull customers, and they don’t have to tie up their money in inventory. The spa services aspect of owning a Merle Norman Cosmetics studio makes the franchise opportunity very attractive.”

The potential for revenue is impressive. We estimate that most studios could conservatively generate approximately $52,000 – $80,000 annually in services, assuming only one treatment room, 24 facials per week at an average service price of $69 – $105.

Learn more about Merle Norman Cosmetics and Spa Franchise

For almost 90 years, Merle Norman Cosmetics has been delivering prestige cosmetics at an affordable price to customers whose glowing, youthful skin is a testament to our products’ quality and efficacy.

With more than 1,000 studios in North America, we are excited about the growth and expansion to come as we continue to add Merle Norman Spa services to new and existing studios.

Now is the perfect time for you to join us! We are actively recruiting entrepreneurs to open cosmetics and spa studios in markets all over the United States. Find out more by exploring the research pages on our website or by requesting a copy of our free Franchise Information Report.

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