by Darren Jones | Apr 4, 2024
“Boutique X” delivers its Pet Care and Retail services to cater for the pet grooming, daycare, and boarding needs of Harlem in New York City. Operating with a 12 person staff, “Boutique X” accommodates on average 70 grooming appointments per week and takes in on average 15 dogs to its daycare per week.
Initially, the boutique pet store functions while losing revenue for over 18 months where the average monthly profit is -$45,000. The boutique pet store sought out strategic planning to lower their expenses and increase their revenue through implementing a subscription payment option and expanding their service provision by launching a mobile grooming service.
METHOD
Working closely with the pet store to:
Analyzed 6-month financial trends;
Identify customer pain points and issues that are lowering retention;
Identified target “revenue per employee” and reduced headcount by 55%
Implemented a “Google Review” response system to encourage more guests to review.
Analyzed former client sentiment to understand the reason they left.
Created a “gamify” system among staff to encourage upselling to maximize revenue.
Analyzed their sales to identify the lowest selling services, created a subscription to entice and increase sales.
Analyzed their packages and services and identified areas for growth.
Developed a referral system to encourage customers to leave a review or invite their friends to purchase a grooming service.
OUTCOMES
Strategic planning has taken “Boutique X” to pinpoint its weaknesses and discern the actions needed to be done to grow the business. Increase in numbers can be seen in the number of weekly average services they provide where grooming appointments went up to 85 from 70 and dog daycare intake to 21 from 15 with this course of action. This has also subsequently increased “Boutique X’s” average sale from $91 to $117. Implementing the subscription payment option generated $6,500 in 4 months while the mobile grooming services was able to bring about a $2,000 profit in just a few days before the vehicle broke down and for it to be put on hold. Furthermore, the boutique pet store was able to reduce its expenses which helped them to breakeven and make their first monthly profit in 18 months.
Upon the finalization of the strategic direction, “Boutique X” was able to increase their market visibility, improve the ways they provide their services, and grow their business. We also planned for sustainable profit making strategies by keeping its staff engaged and motivated in providing services, encouraging customers to share their opinions about its products and services, and recognizing the sectors of the boutique pet store that could be improved.
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