It doesn’t have to be this way!

According to industry reports from the American Massage Therapy Association (AMTA) and Associated Bodywork & Massage Professionals (ABMP), recurring revenue models can significantly increase a massage therapist's income stability and overall success.

In fact, the AMTA reports that massage therapists with membership programs and regular clients can see up to a 30% increase in annual income compared to those relying solely on one-time bookings.

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Recurring revenue is the number one way to alleviate stress and worry about your practice. It is the singular best way to make your income more predictable and to forecast business expenses.

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Business Expenses – How to Forecast them

If you’re wondering how to forecast your business expenses for the year, look at the amount of data you have. If it’s a year, two years, etc., look at your highest month’s expenses. Use that number and add 10% as a cushion. That’s your break-even number. And if you’re thinking, “That sounds like an overestimation,” that’s OK! We want to build in security. If you make more revenue by saving on expenses, then you are in great shape.

This is also how you can forecast your quarterly tax payments. Take a look at your highest tax payment to date and add 10%. Plan to reserve that much for taxes and you’ll never be taken by surprise.

Creating recurring revenue opportunities should be your singular focus whether you’re a massage therapist in the early stages of your career or an established veteran. It is crucial for the sustainability and growth of your business–and combatting burnout!

This guide will explore four proven strategies to increase your recurring revenue, helping you build a thriving and resilient practice.

1. Implement Membership and Loyalty Programs

If you’ve been keeping up in the last few years, this recommendation will come as no surprise. At MassageBook, we have been implementing tools to make it easier than ever to implement membership programs. This is because people really respond to them! In a busy world, a membership can make it easier for people to carve out time for self-care, as well as hold them accountable to their schedule. That accountability can make a huge impact in their lives, as well as your bottom line.

Three Benefits of Membership Programs

Massage membership programs are a powerful way to create consistent revenue and build client loyalty. By offering a subscription-based model where clients pay a monthly or yearly fee for regular massages at a discounted rate (or exclusive add-ons and bundles for those who do not want to discount services), you encourage frequent visits and long-term commitment.

Steady cash flow: Memberships provide a predictable income stream, helping you manage your finances more effectively.

Client retention: Clients are more likely to stay with your practice when they see the value in regular sessions at a reduced cost.

Increased engagement: Regular interactions with clients can lead to better relationships and personalized care, enhancing client satisfaction.

What Should a Massage Membership Include?

The members who have implemented a membership program for their massage practice have often asked: what works best? The answer is that you should consider what your loyal clients want. You can even ask them!

Pricing: Ensure your pricing offers value while covering your costs. For example, if your standard session is $80, a membership that includes one session per month could be priced at $70 per month or a free add-on service.

Tiered options: Offer multiple membership levels to cater to different client needs. A basic plan might include one session per month, while a premium plan could include additional services or discounts on other treatments.

Flexibility: Memberships should offer value and convenience, not feel like an impenetrable contract. You can allow clients to pause or adjust their membership to accommodate their schedules, which can reduce cancellations and increase satisfaction. It’s important to set these policies from the start so there isn’t confusion.

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A case study from ABMP highlighted a therapist who implemented a tiered membership program and saw her client retention rate jump from 40% to 75% within a year.

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2. The Power of Pre-Booking & Appointment Packages

Your client is leaving your massage room feeling refreshed, relaxed, and ready to take on their day. There’s no better time than that moment to ask for their next appointment to be scheduled. Encouraging clients to book their next appointment before leaving your office can significantly enhance your scheduling efficiency and ensure a steady stream of clients. Pre-booking helps clients commit to their wellness routine while simultaneously reducing the likelihood of missed appointments.

Client Commitment: Clients who pre-book are more likely to keep their appointments and stay on the schedule long-term.

Optimized Scheduling: With pre-booking, you have the power to reduce gaps in your schedule and keep the day moving at your ideal pace.

Asking for the Pre-Book Appointment

Incentives: Oftentimes, having more choice in the schedule is enough incentive for a client to pre-book their next appointment. However, you could enter them into a monthly raffle, for example, or offer a small discount as additional incentive.

Reminder systems: Implement automated reminder systems to notify clients of their upcoming appointments, reducing no-shows. MassageBook makes this a no-brainer. With a few clicks of a button, you can turn on appointment reminders to reduce no-show appointments forever.

Personalized Scheduling: Discuss with clients the best times for their next appointments, aligning with their schedules and treatment plans.

Offer Appointment Bundles

If you’re not ready for a membership program, another effective strategy is to sell appointment packages where clients purchase multiple sessions upfront at a discounted rate. This also serves as a great way to pre-book appointments.

If the client is overcoming an injury, for example, you can suggest a series of appointments in two or three week increments to help jumpstart their healing. If the client has recently given birth, you can emphasize the importance of self-care and time to rejuvenate. 

Upfront Revenue: While you may discount the sessions, packages provide an immediate influx of cash and ensure clients return for multiple sessions.

Client Commitment: Clients who invest in a package are more likely to follow through with their appointments because they have committed to paying. It also allows them to carve out that budget for self-care before they’re in desperate need.

Enhanced Loyalty: Regular visits help build stronger client-therapist relationships, enhancing loyalty and satisfaction.

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According to the AMTA, therapists who encourage pre-booking report up to a 50% reduction in appointment gaps.

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3. Offer Add-On Services and Products

Expand Your Offerings

Diversifying your services and offering products can significantly boost your income. By providing complementary services and retail products, you create additional revenue streams and enhance the overall client experience.

The only caveat to this is that you will need to front an investment into purchasing products or being certified in a new modality or service. Therefore, we always recommend polling your loyal clients about what they might be interested in. Although your competition can help you understand the market, your clients are your biggest resource when it comes to these kinds of business decisions.

Complementary Services: Introduce add-ons like aromatherapy, hot stone treatments, or specialized massage techniques that clients can incorporate into their sessions for an additional fee.

Retail Products: Sell high-quality massage oils, lotions, and wellness products that clients can use at home to extend the benefits of their treatments.

Creating a Value Proposition

Educate clients: When you ask your clients what their interest is in different modalities or products, take time to explain the benefits. Highlight how these options can enhance their wellness and why you like them.

Bundle packages: People love a bundle! Even if they’re not saving a lot of money, it feels like a bargain. Create bundles that combine services and products for a one-time discount, encouraging clients to try new things and expand their horizons.

Get creative with seasonal promotions: Offer special promotions during holidays or seasonal changes, incentivizing clients to purchase additional services and products. Tying these promotions to a theme is the best way to make them memorable.

Examples of seasonal promotions that can include bundles:

Holiday Harmony with peppermint oil add-on and infrared sauna time

The Summer Skin Special with seaweed wrap or body scrub add-on

Back-to-School Bliss with head massage add-on and free trial size CBD lotion

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AMTA notes that therapists who sell retail products see an average increase of 10-15% in their annual income.

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4. Develop a Robust Referral Program

Word-of-mouth referrals are one of the most effective ways to grow your client base. By developing a robust referral program, you can encourage your existing clients to refer friends and family to your practice, increasing your recurring revenue.

A quick note about memberships & referrals:

Memberships and referrals go hand-in-hand. When is someone most likely to refer their massage therapist? When they’ve just had an amazing massage, of course! The more frequently your loyal clientele comes in, the more likely they are to recommend to their colleagues, friends, and family.

Incentivize referrals: Offer rewards such as discounted sessions, free add-ons, or gift certificates for clients who refer new clients to your practice.

Track referrals: Implement a system to track referrals and ensure that both the referrer and the new client receive their rewards.

Think big: Social media, email and in-person conversations are a great way to promote your program, but don’t be afraid to think big! If your client works at a large company, offer that company a special discount for new clients. You can even ask to speak to the HR team about the importance of massage in reducing stress and burnout, so they have you as a resource when people come in saying they need help or a break.

Building Relationships with Local Businesses

Partnerships: Form partnerships with local businesses such as gyms, yoga studios, and wellness centers to cross-promote each other's services.

Collaborative events: Host joint wellness events or workshops to introduce your services to new potential clients. This can be with a chiropractor, who are often a great source of referrals, or a mental health physician. These specialists also cater to folks who are paying out-of-pocket and not just dealing with insurance.

Building a sustainable and profitable massage therapy business requires a multifaceted approach to increase recurring revenue. By implementing membership and loyalty programs, encouraging pre-booking and appointment packages, offering value-added services and products, and developing a robust referral program, you can create a steady income stream and foster long-term client relationships. Leveraging these proven strategies will help you achieve financial stability and professional growth in your massage therapy practice.

If you’re a talented bodyworker, it’s not a given that you have business expertise. And that’s where we come in.

At MassageBook, we are on a mission to help independent massage therapists run their businesses with an all-in-one software that creates business efficiencies to organize your operations, streamline billing, and market your services to find new clients.