Reduce No-Shows and Late Cancellations with Deposits, Cancellation Fees and Card-on-File

Pets make our lives better, and as a pet groomer, you’re an essential part of keeping them happy and healthy. However, let’s talk about a common headache that can really trim down your profitability: no-shows and late cancellations.

Every time a client doesn’t show up for their appointment or cancels at the last minute, it creates a frustrating gap in your schedule, costing you valuable time and revenue. Not only is it lost income for that slot, but it’s also the time you could have booked another eager client. So, how can you reduce these frustrating occurrences and protect your business?

The answer lies in implementing smart policies, and more importantly, backing them with the right technology: deposits and cancellation policies.

The Power Trio: Deposits, Clear Cancellation Policies, and Card-on-File

To effectively combat the problem of late cancellations and no-shows, consider a three-pronged approach. First, require deposits. Second, implement a clear appointment cancellation policy. Finally, utilize a card-on-file system.

Require Deposits

How it helps: Asking for a small, non-refundable deposit at the time of booking creates a financial commitment from the client. As a result, this significantly reduces the likelihood of them forgetting or casually canceling, since they now have something to lose.

Best practice: The deposit amount should be reasonable – enough to signal commitment but not so high that it deters bookings. For example, you can make the deposit a percentage of the service cost or a flat fee. In fact, a 50% deposit for services is fairly common.

Be clear: Make sure you have a clear deposit policy displayed where customers will see it as well.

Implement a Clear Appointment Cancellation Policy

How it helps: This is your guideline for clients and your protection. In other words, it clearly defines expectations for cancellations and ensures fairness for both you and your clients.

What to include:

• The required notice period for cancellations.

• The fee for late cancellations or no-shows (e.g., forfeiture of deposit, a flat fee, or a percentage of the service).

• How clients should cancel (e.g., by phone call, through your online portal).

Moreover, visibility is key: Your policy should be prominently displayed on your website, booking platform, and within appointment confirmation and/or reminder messages. In particular, appointment reminders are crucial, since they help ensure your customers know your policy before it’s too late.

Utilize a Card-on-File Policy

How it helps: For recurring clients or those booking higher-value services, having a secure credit card on file allows you to enforce your cancellation policy seamlessly. That way, if a client no-shows or cancels late, you can charge the agreed-upon fee without chasing them for payment.

Security matters: Always ensure that any card-on-file system you use is PCI compliant and securely encrypts customer data.

Transparency counts: Inform clients upfront that a card will be kept on file and explain its purpose (e.g., for cancellation fees).

Important Considerations: Local Laws and Consumer Protections

Before implementing any new policies, especially those involving deposits or charges for no-shows, it is crucial to review your local consumer protection laws and regulations. In some cases, jurisdictions may set specific requirements regarding notice periods, fee limitations, or how deposits are handled.

Transparency is paramount: Always be upfront and clear with your clients about all policies, fees, and how their payment information will be used.

Be reasonable: While protecting your business is vital, overly strict or punitive policies can deter customers. Therefore, it’s best to find a balance that works for both you and your clientele.

GroomSoft Payments: Your Partner in Reducing No-Shows and Cancellations

This is where your pet grooming software becomes an invaluable asset. Specifically, GroomSoft is designed to help you implement and enforce these policies effortlessly, reducing your administrative burden while protecting your revenue.

Here’s how GroomSoft supports your efforts:

• Seamless Deposit Management: You can request or accept deposits for future appointment services directly within the GroomSoft system. Additionally, deposit requests can be sent via email or text messaging.

• Enforce Policy Agreement: With GroomSoft, while accepting online payments for deposits, your customers are required to check off that they agree to your cancellation policy.

• Automated Policy Linking in Communications: GroomSoft automatically includes a link to your full cancellation policy in appointment confirmation and reminder emails / text messages, digital receipts, and when collecting a deposit online. This constant visibility reinforces your terms and gives clients easy access to the information.

• Secure Card-on-File Storage: GroomSoft offers secure and PCI-compliant credit card storage through our payment integration with Fortis, making it safe and easy to apply cancellation fees when necessary, in accordance with your policies.

• Collecting Cancellation Fees: When setting an appointment’s status to canceled or no-show, you have the option to collect a cancellation fee. Whether your customer left a deposit or they have a credit card on file, you can process that cancellation fee right then and there.

By leveraging GroomSoft’s powerful features, you can set clear expectations, reduce the financial impact of no-shows, and spend more time focusing on what you do best: providing fantastic grooming services. Protect your time, protect your profits, and give your business the stability it deserves.