As I’m sure you know, the lifeblood of any business, especially aesthetic businesses, is repeat or returning custom. The best way of achieving this is to sell ‘repeat treatments’ or ‘treatment packages’ to your customers so they return for numerous treatments - thereby creating a steady income and consequently increased profit for your business. So how can GO Cardless help with this and how does it work?
GoCardless is a 3rd party direct debit platform which allows you to, electronically, set up Direct Debits to collect regular payments from customers. The beauty of this is that you can set up instalments for ‘treatment packages’, which are delivered over a number of visits to your clinic, at an affordable cost for your client. For example, imagine a client comes into your clinic and has a HydraFacial. They love the treatment and the results and you suggest they might like to sign up for a 6-month package on a buy-5-get-1-free deal you have on. They are really interested but don't have the full funds to pay for the treatment up front. Clients can pay an initial deposit immediately (by cash or by card) and set up a GoCardless direct debit for the remaining amount split over the next 6 months. It’s a win/win situation. You sell a package of treatments that helps with your cash flow, incentivises your client to return for their subsequent treatments and gives you more opportunities to cross-sell other treatments or products. You client gets the treatment they want at a price they can afford.
Of course, like most things in life, there are some risks. A client could always have a change of heart and cancel the mandate with their bank, however, if this does happen you can discontinue their package and not lose out. However, in our experience, we have found this to be very rare indeed and GoCardless will always inform you immediately if any plans are cancelled so you can take the necessary action to recoup the funds or cancel the effected package if payment cannot be made.
For every payment plan set up, GoCardless take a 1% handling fee per transaction, or a minimum fee of 20p and capped at £2. There are no setup costs and no hidden fees. For this cost you get a safe and secure Direct Debit system that allows you to collect funds automatically on payment dates. No more late or chased payments! GoCardless can be used to collect one-off or recurring payments of any amount and you can choose the dates you collect funds. It is completely flexible so you can tailor payment plans to the needs of your client. GoCardless also processes money collected daily so the money hits your account quickly, allowing you to control your cash flow and predict future revenue for your business – which has to be worth the handling fee on its own.
It really is very simple. Go to https://gocardless.com/features/ and choose 'Sign Up now' and complete your details. You can even integrate GoCardless Connect with any existing accounting software you may use including QuickBooks, Xero, Sage, Team Up, WOO and Changebee. To sign up a client you’ll just need their Bank Account Number, Sort Code and their home address.
All that’s left for you to do is concentrate on selling those treatment packages that are the lifeblood of any successful aesthetic business.
If you would like your business to GoCardless visit https://gocardless.com/ or request a copy of our ‘Guide to Using GoCardless’ for more information.
Although the Consulting Room Group has no official links to GoCardless (and therefore cannot take any responsibility for technical issues or management of the service) we are, however, more than happy to assist with basic queries should you decide to use this platform to collect payments. Just call us on 01788 572 007 and ask to find out more about GoCardless.