Store Tells Customers To Pay What They Want
SPOKANE — A Spokane business is trying to help out those who are suffering during these tough economic times, by letting people pay what they want to.
David Madvin owns a tanning salon along Cheney-Spokane Rd. and over the past few months, he noticed that his clientele was shrinking as the economy got worse. To combat this problem, Madvin decided not to raise prices, but instead ask people what they you want to pay.
Madvin says he has lost a lot of money due to this sluggish economy, and he is trying to figure out what to do about it.
“The economy was doing better at the time, obviously, than it is now,” Madvin said.
Madvin opened up the state-of-the-art Elite Fitness Center a couple of years ago. Soon after that, he expanded his business by opening an Elite Full-Service Salon, and the Elite Tanning Salon.
“As of right now we are breaking even, which I’m very happy to say,” Madvin said.
However, he is seeing a decline in customers and much of his business has dropped, which forced him to get creative.
“The idea came when a lot of customers were losing their jobs,” Madvin said.
He decided not to have set prices, but instead ask people what they can pay. Customers can then make an offer and if Madvin agrees to it, you pay what you want to.
“Come in and if you make us an offer of any kind. If it’s reasonable at all, or you explain the situation, we’re gonna let you tan. We’re gonna accept your offer,” Madvin said.
An average tan cost about $8.00 per half hour, and under the new deal, people are paying $4.00 for a tan.
However, there are some people who are paying a lot less than $4.00 for a tan.
“I had one person pay a quarter,” Madvin said.
Madvin says he does not mind taking the hit to his bottom line, as long ad the business is coming in.
“And I mean, I will take a quarter if that’s all you got,” Madvin said.
Since Madvin started the pay what you want program, his business is up by about 10%.