What does 'Other and Non-Member Services' refer to in the context of Deka Lash revenue?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
Note 6. Other and Non-Member Services. "Other and Non-Member Services" refers to revenue collected from services provided to clients who do not maintain monthly memberships.
| Source | 2023 Proportion |
|---|---|
| Automatic Memberships | 56% |
| Products | 5% |
| Other & Non-Member Services | 39% |
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 55–57)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, 'Other and Non-Member Services' refers to revenue generated from services provided to clients who do not have monthly memberships. This is a specific category of revenue that Deka Lash tracks to understand its customer base and revenue streams. Understanding the proportion of revenue derived from non-members can help franchisees tailor their marketing and service offerings to attract and retain both members and non-members.
The FDD also provides a breakdown of revenue sources for studios open during 2023. Automatic memberships accounted for 56% of revenue, products accounted for 5%, and other & non-member services accounted for 39%. This breakdown shows that a significant portion of revenue comes from clients who are not monthly members.
For a prospective franchisee, this information is crucial for financial planning and business strategy. It highlights the importance of attracting both membership-based and non-membership-based clients to achieve a balanced and sustainable revenue stream. Franchisees should consider how their marketing efforts and service offerings can cater to both types of customers to maximize their revenue potential.