Theft of services. When a client doesn’t want to pay

Have you ever had a walk-in who right after the service became a literal walk-out and just left your salon without paying? Or a client refusing to pay for the visit, claiming that something wasn’t done properly and therefore no payment is due? If so, you have fallen victim to a very peculiar theft, called the theft of services. You may have never heard that name before, but it’s real, common and very, very harmful. Thefts of services don’t seem as serious as there are no physical goods being stolen. But that’s a horrific misconception. With every case as such, you are being robbed off of the money you should have received, your time, products used, but also your own comfort and well-being. However, reacting to the theft of services can be tricky, as you have to withdraw your emotional reaction and act reasonably. How to prevent this kind of theft from happening and what can you do when one occurs?

Prevention. How to secure your salon?

There is no way to fully prevent service theft from happening, but you can secure yourself and make sure you will have evidence if one actually occurs.

‍Require identifying information

‍Most clients book their appointments beforehand, so that getting their personal data (full name, phone number and/or email address) goes on naturally. However, some people (especially men looking for a simple trim) just walk into your salon hoping there will be a free slot. If there is, you immediately invite them to sit in the chair… but you should invite them to register at the desk instead. Just think about it. If that customer refuses to pay, you basically have no way to contact him later on or report the theft. Instruct your beauty salon receptionist to request information from every walk-in and immediately input them to your Booksy customer records. Don’t even try to play with notebooks and sticky notes, these pieces of information are too crucial to risk losing them. And if they don’t want to give you their data? Well, too bad - they won’t receive their service, then. A client reluctant to give you their information is a high-hanging red flag right off the bat.

‍Do in-depth consultations

‍Now, some clients don’t try to run away, but rather refuse to pay for one reason or another. No matter if they are genuine with their complaints or not, they are in the right to reject the bill and if you decide to take the case to court, they will have to prove that your services were either falsely advertised, or just generally poor in quality. To prevent this from happening, always do in-depth consultations and make sure you and your customer are both on the same wavelength. Booksy online forms will help you collect the data before the client even comes for a service. Perform trials, such as a strand or allergy tests and get as much information about the client’s hair, skin or nails history as possible. Also, inform the customer of the potential consequences of them not telling you the whole truth. Save every piece of information that may be relevant in your Booksy customer records - create yourself a secure database about every client’s condition. What’s most important - be honest with the client. Don’t promise effects you are not sure will occur - the higher the expectations, the bigger the disappointment. And if you don’t feel comfortable providing a particular service on someone as you are not sure about the outcome - simply refuse it. Be honest with your customer, even if it may feel rough.

‍Write and display your refund policy

‍Make sure clients understand your approach towards refunds. Your policy should state that all service sales are final and thus have to be paid for and any theft of services will be prosecuted. It’s important to display your policy in a visible place, both at your salon and on your online pages (website, online booking profile, Facebook, Instagram). Invest in security cameras Last, but not least - you may want to purchase monitoring, so that every case of theft can be recorded. You can buy a decent one for as little as £200, so it may be worth taking into consideration.

Reaction. What to do when a theft happens?

For the clients who refused to pay as they demand a refund, all the steps below are relevant. For straight-on thefts skip the first one.

• Begin with a conversation I know that the situation is deeply upsetting, but try to remain calm. Ask the customer what exactly they don’t like about the effect of the service. Go through your refund policy, explaining what you can do about the situation. Clients like having a choice because it makes them feel in control - so if possible, you should offer them a couple of alternative options. It may happen that the customer will propose a fitting solution themselves, and if you find it reasonable, you can settle on it - however, be strict about the necessity to pay.
• If the client refuses, let them leave the salon and contact them by phone, delivering the final warning If the customer doesn’t want to settle on any solution, let them go. They will only get louder and more upset, making an unnecessary scene. After a few days, contact them - and it’s important that it’s you, the salon owner, who makes the call, not your receptionists or any of the stylists. Let the client know that payment needs to be made, otherwise you will file a report with the police.
• If there is still no payment received, report the theft. Enough of going back and forth. Simply call the police and let them solve the problem. You can expect nasty messages, angry calls and outbursts of negative comments online (here you can read how to handle them), but you should keep your attitude classy. Don’t reply to messages nor answer the calls - however, keep doing screenshots and documenting everything the offender sends you. These pieces of evidence may be helpful in the further process of proving the guilt.

What to avoid when dealing with the theft of services?

You have to remember, that your actions have to be assertive, yet very rational and well thought-through at the same time. Emotional reactions are a definitive no-no. You should also avoid:

• Getting into long conversations and numerous meetings. Give the client a chance, especially if they have a reason to complain about the service, but remember that you are in the right to expect payment anyway.
• Getting loud. Shouting and screaming won’t help and will only make a scene, influencing customer experience of other clients in the salon.
• Getting physical. Don’t even try to touch the client, even if it is just a shoulder grab. You can be sued for assault.
• Trying to record what happens with your phone. It upsets people a lot. If you want to have this kind of evidence, it’s better to invest in security cameras.
• Trying to trap the client. It’s against the law as an “unlawful or false imprisonment” - you can get sued.
• Trying to chase the client. Yes, it is our intuitive reaction to try to stop the thief - but what will you do when you catch them anyway? Once again, it won’t work and you can get sued for harassment and intimidation.

Being robbed of your time, products used and heart you put into providing a service is a horrible experience. However, you have to be prepared that sooner or later you will have to face such a situation in your salon. To handle it, you will need a lot of calmness, professionalism, self-confidence… and good salon software. Be confident about your rights and you will be able to deal with any type of service theft.