Salon, spa & fitness
Salon Lead Value Calculator
Works what an enquiry is worth, which sets what you can pay for one.
Result
This is gross profit, not revenue, and it counts the whole relationship rather than the first job. It assumes the repeat work is real for your business, which is worth checking against your own records before spending against it.
Get a Free Business AuditHow the calculation works
Conversion rate to a booked first visit, times the retention rate from that visit, times the lifetime margin of a retained client. Both stages matter: an enquiry that books and does not return is worth the margin on one discounted visit rather than the value of a client.
What moves the number
- Conversion from enquiry to booked visit.
- Retention from first visit onward.
- Lifetime margin of a retained client.
- Whether the first visit is discounted.
Where this one goes wrong
Because lifetime value in a salon is high relative to a single visit, a lead is worth more than a first-visit calculation suggests and the acquisition budget can be larger than owners assume, provided the retention rate is real. That conditional is the whole point: the value depends on keeping the client, which depends on the experience rather than on the marketing that brought them.
Before you quote
- Apply both conversion and retention rates.
- Base the value on lifetime margin, not the first visit.
- Verify your actual retention rate rather than assuming it.
Questions
About this calculator
What is a salon enquiry worth?
Conversion rate times retention rate times the lifetime margin of a retained client. Because lifetime value is high relative to a single visit, that figure is usually larger than owners assume, provided the retention rate is real.
Why apply two rates?
Because an enquiry that books and does not return is worth the margin on one visit rather than the value of a client. Applying conversion alone overstates lead value by the whole retention shortfall.
What determines whether a lead pays?
Retention, which depends on the experience rather than on the marketing that brought them. A salon with weak retention cannot buy its way to growth, because every lead it purchases converts into a single visit rather than a client.
The formula
lead value = close rate x first appointment profit x (1 + repeat appointments)
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How to use this calculator
- Share of leads you win (%). Enter your own figure; the page starts at 32%.
- Average first appointment ($). Enter your own figure; the page starts at $92.
- Gross margin (%). Enter your own figure; the page starts at 52%.
- Extra appointments over the relationship. Enter your own figure; the page starts at 2.4.
- Share of value you will spend (%). Spending the whole value leaves nothing for the business.
The result updates as you type, so you can try a figure, see what it does to value of one lead, and change it back. Nothing you enter is sent anywhere or saved.
A worked example
These are the figures the calculator opens with. Every number in the results column below is produced by the same calculation the page runs, so you can follow it through before putting your own figures in.
What goes in
| Input | Value |
|---|---|
| Share of leads you win | 32% |
| Average first appointment | $92 |
| Gross margin | 52% |
| Extra appointments over the relationship | 2.4 |
| Share of value you will spend | 25% |
What comes out
| Result | Value |
|---|---|
| Value of one lead main result | $52.05 |
| From the first appointment alone | $15.31 |
| Value of one guest | $162.66 |
| Most to pay per lead | $13.01 |
One lead is worth $52.05 in gross profit once the close rate and repeat work are counted. Paying more than $13.01 for one leaves too little behind to be worth doing.
How sensitive the answer is
Holding everything else steady and changing only average first appointment, this is what happens to value of one lead. It is worth knowing which of your inputs the answer actually hinges on, and which barely move it.
| Average first appointment ($) | Value of one lead |
|---|---|
| $46 | $26.02 |
| $69 | $39.04 |
| $92 example above | $52.05 |
| $138 | $78.07 |
| $184 | $104.10 |
Every other input is held at the example value while this one changes, which is not how a real job behaves. Treat it as a guide to which number matters most, not as five separate quotes.
What each figure means
- Share of leads you win (%)
- A percentage, between 0 and 100, starting at 32%.
- Average first appointment ($)
- A money amount, starting at $92.
- Gross margin (%)
- A percentage, between 0 and 95, starting at 52%.
- Extra appointments over the relationship
- A number, between 0 and 50, starting at 2.4.
- Share of value you will spend (%)
- Spending the whole value leaves nothing for the business.
What the results tell you
| Result | What it is |
|---|---|
| Value of one lead | The headline result. A money figure. |
| From the first appointment alone | A money figure. |
| Value of one guest | A money figure. |
| Most to pay per lead | A money figure. |
Estimating is the easy part
The jobs you never hear about cost more than the ones you mis-measure. BDEVY builds the marketing, systems and automation that bring them in.