Tuesday, March 20, 2012

Did You Hear About Massage Envy.....?

Our clients often presume we are the Masters of Mellow. But then, most of them have never seen us get into a conversation with each other about Massage Envy. In case you have somehow missed the buzz, Massage Envy is a national corporation that sells franchises. These franchises offer mostly massage therapy but sometimes they will also offer some spa services.

Massage Envy -- at least in the DC area -- prices their massages at $65 (which is 20-25% below what most individual practitioners charge). They also offer "memberships" through which clients can get even better price breaks, especially if they book massages more often than once a month. They advertise broadly and are active in the massage industry at the regional and national level.

So, what makes your average self-employed MT get so nutty when we talk about them? It comes down to two things, based on my conversations with MTs:

  • Rumors about how they treat their MTs
  • Fears that their size and influence will put the rest of us (solo practitioners) out of business.
I'd heard all the stories and I've had a mostly disdainful view of Massage Envy for years. Then I learned that a massage school classmate, who I respect, was working for a local Massage Envy franchise and was their new massage therapist manager. Well, damn.....

I had two choices: think less of my classmate, Carla Lawson, or learn more about Massage Envy. I called Carla and asked if I could come out to talk to her and get the lowdown on Massage Envy. I warned her that I specifically was hoping to write a blog post based on our conversation.

She agreed. I met with her and the franchise manager for about an hour. I also ran into an MT buddy I haven't seen in a while and she talked to me about her experience working there.
Let me go ahead and lay bare my conclusions before I get to the details:  Massage Envy is not the spawn of Satan. I don't believe they intentionally plan on driving the rest of us out of business but they do have an aggressive corporate plan for growth. They represent a distinct sea change in the business of massage. I am probably not a good candidate to work at a Massage Envy because of some core personality traits but it can be a good deal for the right therapist.
So, let's take a look at some facts about Massage Envy. In fact, let's start with the one that horrifies most of us the most.

Rumor: Massage Envy only pays an MT $15 - $20 per massage!

Fact: True but.....

Let's start with a crucial difference between an MT working at Massage Envy and an MT working for, say, the local group practice -- Massage Envy has employees; the local group practice has independent contractors. You cannot compare the two directly because they are fundamentally different.

As an independent contractor I have to support both myself and my massage practice. In addition to paying my home mortgage and buying groceries and dropping a little something in the offering plate on Sunday, I need to buy sheets and tables and linens and oils, and possibly my own health and disability insurance. I need to pay 100% of my social security contribution and pay for web hosting and business cards, flyers, and brochures, etc. I am supporting two on my massage income: Kelly Bowers and Kelly Bowers' massage practice.

An employee gets to take almost everything they make home for themselves (I don't think Massage Envy picks up the tab for license renewals; a given franchise may offer some assistance with continuing education). Plus, of course, the employee is only paying 50% of their social security contribution.

In my previous life as a tech writer, there was a rule-of-thumb for calculating how much you needed to charge as a contractor to match what you made as an employee:  twice as much. If I made $60,000 as an employee (about $29 / hour), I needed to charge at least $58 / hour as a contractor to come out roughly even.

I did some number-crunching on my own earnings and profits as a massage therapist for about 5 years and I'd say that's still a decent rule of thumb – about half of my businesses income goes to support the business so my “salary” is actually about half what my practice brings in.

If my solo practitioner/independent contractor massage practice makes $45,000 a year, I could make $23,000 a year as an employee and still be in roughly the same financial shape at the end of the day / week / month / year (it's tough to do an actual head-to-head comparison; hence the roughly).

And, of course, an employee doesn't need to spend the time and energy doing the bookkeeping, marketing, quarterly tax filings, scheduling, etc. etc. etc. that eats up so much of our weeks.

Interesting factoid: individual franchise owners have a lot of leeway about how they balance pay and benefits to MTs. Rumor has it the Massage Envy franchise in Bethesda pays up to $40 per massage! I'm curious if they offer the same or fewer benefits than the Herndon franchise.

Interesting factoid: the full-time MT employees (at least in Herndon) are offered medical benefits and paid leave. You have to work 32 hours a week to be considered full-time and eligible for the benefits. According to my classmate, most of the 30 MTs at the Herndon franchise are considered full-time.

Interesting factoid: Massage Envy actively encourages customers to tip. According to my classmate, she receives tips for virtually all of her sessions and they can easily be as much as she makes in wages. MTs keep 100% of their tips. Which makes her actual "per massage" rate more like $30 - $40.

Interesting factoid: you still get paid the same amount when a client cancels at the last minute or is a no-show.

Rumor: Massage Envy makes you "push product".

Fact: Maybe, depending on the franchise

Here's an important thing to know about Massage Envy -- because they are franchises, the individual franchise/location owner has a lot of leeway in how they run their franchise. Massage-only or massage + spa services?  Big benefits or big pay?  (One thing is always true: Massage Envy does not offer energy work and they are not interested in offering energy work)  If you're in a franchise that also has a significant spa services side, you may or may not be expected to support that side of the house too.

It really does depend on the franchise owner. The Herndon franchise has a great reputation, even among other local Massage Envy franchises, and regularly has MTs leaving other Massage Envy franchises to sign on with Herndon.

While the customer may have a fairly consistent experience from one franchise to another, the working reality is going to depend heavily on the franchise owner (and, of course, the on-site managers).

Rumor: Massage Envy is full of new MTs with little experience (who don't know any better).

Fact: Depends on the franchise

Of the 30 or so MTs at the Herndon franchise, at least 1/3 of them have been in practice 10 years or more, including Carla and the MT buddy I ran into on my way out. Fewer than 10% of their MTs have been practicing 2 years or less.

Rumor: Once an MT gets good, they leave Massage Envy. If you find an MT you like, they won't be there in a year.

Fact: Depends on the franchise.

Carla has been at the Herndon franchise for several years. She started as an MT and moved up into management, which is something you can do if you have such aspirations. "Part of what drew me to the company was that there were places to go beyond practicing massage. Let's fact it, I'm not getting any younger and one day the hands are going to want out."

Some of the other things that attracted Carla to Massage Envy was the stability of the operation and the price of the massages. She was uncomfortable working in places where the price of the massage was so high she, as a massage therapist, wouldn't have been able to afford it! "Somebody like me could afford to come here," she said.

Rumor: You have to do 50-minute sessions and see clients on the hour.
Fact: True
Yes, they do "50 minute" hours and you have 10 minutes between clients. The front office staff takes care of the health history form and answers any initial questions the clients may have but you’ve still only got 50 minutes with them. Carla says that takes some MTs some time to get used to because it's not negotiable.

Frankly, that would drive me nuts but I am the Queen of the Long Intake.

Rumor: You have to work long hours without a break

Fact:  False

Most MTs, at least at Herndon, take a break after 2 or 3 clients. They can also take more or fewer breaks if they want to.

Rumor: MTs are expected to see an absurd number of clients in a day.

Fact: False

Carla says (again, at least at Herndon) they have an on-going challenge with new hires who insist they can "power through" 6, 7, 8, or 9 clients a day. They actively discourage MTs from doing that because they know it won't work. But because the employees have a certain freedom to fill up their schedule as much as they can, management will sometimes say "OK, give it a try" but they usually find the MT themselves backs off for their own health and welfare.

As Carla showed me around the facility after our conversation, I ran into an MT buddy I haven't seen in a few years. She walked out with me and we talked on the sidewalk for another 15 minutes afterwards.

She graduated from PMTI in the early 90s and had a private practice (combo of home, corporate, and a yoga studio) for years. About 5 years ago she decided to step away from massage for a while. She started going to the Herndon Massage Envy to get bodywork for herself and enjoyed it. She found herself on the table one day thinking "Gosh, I miss doing massage..." and at the end of her session talked to the manager about coming to work there. She's been there for 2 years and loves it.

She says she works 3 days a week, which makes her part-time, and makes $32,000 per year, which is the average for a full-time massage therapist in the DC region according to the American Massage Therapy Association.

Best of all, after more than 15 years of self-employment, she is intensely grateful for the chance to do what she loves and still have the time and energy for the rest of her life. She is keenly aware of all the behind-the-scenes work it takes to run a healthy practice (the stuff our clients rarely see) and she's happy to no long have to do that.

I appreciate her viewpoint and I'm envious of her ability to just go in, do her work, and go home. I know, however, that I would be a bad fit for a Massage Envy. First of all, the 50-minute hour would drive me bananas. Then there's my fundamental temperament....

The Spring 2012 issue of the AMTA Journal carried an article by Jean Bailey, "The Separate Selves". In this article Jean explored the 3 aspects of our personalities that we need to run a massage practice:
  • Entrepreneur (the part of us with ideas! and visions! and a desire to build something! and create things!)
  • Technician (the part of ourselves who wants to be better and better at what we do and wishes we could just ignore the rest of it)
  • Manager (the part of ourselves that deals with all the behind-the-scenes stuff and enjoys organizing, scheduling, analyzing, etc.)
We are usually strongest in one area but it's important, if we're self-employed, to be at least competent in all three.

It strikes me that the Technician could really thrive in a well-run Massage Envy franchise. They can expend their energy on honing their craft and ignore the rest of it. Me, I'm all Entrepreneur and that wouldn’t be a good fit for a Massage Envy.

In fact, Carla says that the ideal MT for them is someone who cares deeply about clients, has a strong sense of professional identity, and isn't in it just for the money (the Technician). Their biggest challenge is MTs who have trouble being on time and sticking to the schedule (weak as Manager).

I'll say it again:  Massage Envy isn't for everyone. It's not for me. But for some MTs, it could be a good thing.

16 comments:

  1. Well....thanks Kelly. I think this does a good service for us who thought as you did.
    Nicely done.

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  2. Thank you Bruce. When I heard about Carla, it really became important to me to quit operating from rumors and find the facts.

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  3. Thanks Kelly for doing the research. I too had an opinion and now I have an informed one. You presented a very honest assessment. May have to get on the table at ME sometime to see for myself. Love your blog and will check back more often. Shawn D.(Resort to Health)

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  4. I was going to do a blog similar to this, then I saw yours. =) Around the Chicagoland area, a massage from ME without a contract is $78 for one hour appointment. Massage therapists don't seem to know that price, they tend to only look at the monthly price, which is still $59 a month for a 50 minute massage. I never saw that as cutting our rates low at all. But thank you for bringing some other ideas to light.

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  5. is the $32,000 a gross or net figure for the D.C. area?

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  6. Bill, the AMTA just says it's what an MT "makes". Knowing the AMTA, I'd say that's "gross".

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  7. Thanks Kelly for this very complete overview of the working environment at Massage Envy. I have been with ME for 7 years now, at the corporate office in Arizona. I love this company and I love knowing we are making a difference in millions of American's lives through touch. I also love that we have created 17,000 massage therapist jobs in the last 10 years. I truly appreciate you taking the time to separate the fact from fiction!

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  8. CG: You're welcome. I was curious whether this post was making its way through ME as well. Sounds like it is! :)

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  9. CG: by the way, you need to be giving major kudos to the management in Herndon VA. They seem to be doing a superb job.

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  10. One thing you did point out is “Massage Envy is a FRANCHISE”, each one is run different, some good most not. I work at one, there are 28 in the state I work in, the one I work at now (this is the sixth one) is the best one. As they start out paying you the most, $15 an hour. Some start the therapist off at $10. Some top off at $18, so at $25. Tips avg $10 to $20. The bad is we can only get massage at certain times, most in the morning hours, me have to pay the member rate. Not a one of the 28 offer health insurance, sick days or vacations. Some clinics offer bonuses most don’t. Most here that offer bonuses, only give it if you get between 20 to 30% of “new people” to join up. So they do make you do sales, or at least part of it.
    Your right with the push products some do some don’t. The bad thing, back to the bonuses, if you don’t make a set % of product sales you doesn’t get your bonuses.
    Full of new MTs, some are. As one of the regional meetings, owners were told they could be more profitable if they used MTs that were right out of school. Most don’t but some have 50 to 80% MTs that are right out of school.
    Turnover at Massage Envy. In the region I work on the turnover is about 30 to 40%.
    50 min of hands on is true, but the rest of your statement is not. The front office has them fill out the intake and health history, but after the 50 min massage, the MTs have to do the soap notes, talk to the client about the massage and try to talk them into coming back. Take them to the front and then go and change out the room. You are lucky if you have 1 or 3 min between clients, I would LOVE to have 10 min between clients. This also levees you with very little or no time to do assessments on the clients. The “line” that is given here to new clients is: “you have a 60 min session, with 50 min of hands on with 5 min before to talk to your MT and have them give you a assessment and get undressed and 5 min after to get dresses and talk to your therapist”. So you see we don’t JUST have them for 50 min.
    Long hours without a break: in Herndon they might get a break after 2 or 3 clients. In the SE regain you work 4 hours, 5 hours or 6 hours strait (back to back massages), or you work 4/7 (that’s 4 hours in a row then a break and no more than 7 hours of hand on work a day) or 5/8 or 6/9.
    All in all everything you have is true. But as they are franchises so all of that varies a LOT from clinic to clinic and region to region. Also if you see some of the ads, in print and on line the corporate office offers a lot more then the clinics actually do. As all the benefits that the corporate office offers is left up to the clinic owners if they want to offer or not. Most MTs feel that is misleading.

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  11. What I didn't go into -- because it seemed a little outside the scope of this post -- is that it's critical to interview the franchise management very carefully. Ask very specific questions about the protocols and operations. Ask questions about the demographics of the MT pool -- how long have most of them been there, how long have they been in practice, how many are full-time vs. part-time, etc.

    Too many MTs interview like sad puppies hoping for a treat. They don't come in like they are valuable, that the franchise owner is going to WANT them and needs to sell them on working there as much as the MT has to sell them on their own suitability. We often interview like beggars at the gate.

    My information is accurate for the DC area, particularly Herndon VA. But, as with any franchise, the actual working conditions can vary widely. I hope, in time, more of them become like Herndon.

    Thank you VERY MUCH for taking the time to document the reality you see as an actual employee. You have greatly expanded the truth-telling that was my objective with this post.

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  12. Thank you Kelly for your wonderful post! I've been a massage therapist for several years, both in the business and education aspects of the industry. I have to admit that I was anticipating that your post would be a negative view of Massage Envy but was pleasantly surprised to find an objective view that I think both massage therapists and clients can value.

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  13. Here is a fact you may not know. Seasoned LMTs are literally being forced to work at these places (franchises) because they are unable to get the amount of clients at establishments that pay their employees a decent rate of pay $40/hr plus 100 percent tips. Clients were going to these franchises and why because the massage was cheaper. As a result the employer paying a higher rate has had a very high turn over rate and many of the LMTs had no choice but to go work for a franchise and make less because these franchises have lowered the rate for a massage so low.

    Also want to say that not every LMT hired as an IC has to provide their own lotions, supplies and sheets.

    I don't know where you got your $60,000 figure. Are these therapist working 8 hour days 4 times a week?? Not healthy at all for a therapist in the long run. Therapists are blowing their thumbs out at these establishments.

    At the end of the day, these franchises are bringing our industry to its knees and I am sorry to tell you that your article doesn't have a leg to stand on and only feeds into the myth that these franchises bring anything good to our industry.

    I only wonder if you too are being paid off by ME just like the AMTA, the educational institutions and the FSMTB.

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  14. And the fact that you are stating that ME gives their therapists "100% of their tips" as something that is so incredible umm I don't think so, it is 100% common anywhere in the industry that a therapist receives all of their tips.

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  15. "Too many MTs interview like sad puppies hoping for a treat. They don't come in like they are valuable, that the franchise owner is going to WANT them and needs to sell them on working there as much as the MT has to sell them on their own suitability. We often interview like beggars at the gate."

    I have to laugh at this quote. With teachers and schools backing these places and little appropriate guidance for new students, what does one expect? You are writing about having self worth and expecting more, yet defending an establishment that is not charging the client the worth of the massage and not paying the therapist what we are worth. It is such a grotesque contradiction. The fact that you are an instructor is upsetting as well.

    I was blessed to have a great mentor and instructor who taught us not to settle for wages that are less than we are worth as LMTs. It is by choosing employment that reflects our worth that sets the standards for our industry and the future long term of our profession.

    I don't think that your article serves to reflect the PROFOUND negative overall and long term effect that these franchises have had on our industry. It's time for therapists to form a union and take this issue on. I have created a group on FB. You can find it here for anyone who is interested and who agrees that franchises are the death and destruction of our industry. https://www.facebook.com/groups/102196099918495/

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  16. NYCLMT: I am not a liar. I am a trained journalist in addition to being a massage therapist. I don't go on rumor. I go out and do the research.

    No one paid me a f*****g dime for this blog or this entry. No one ever has. I am motivated by a curiosity for the truth.

    As I said -- repeatedly -- every franchise is different and a responsible massage therapist does her/his own research.

    I teach business practices. I STRONGLY encourage students to take themselves seriously as massage therapists and as business owners (which most of us are). I can't tell you how many students (and MTs, sadly) have cringed at the idea of interviewing with authority. "But I need a jooooooooob!" they whine. It's an uphill battle.

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