Solo Artist

Business Building: The Beauty of Benchmarking

Lauren Salapatek | November 15, 2015 | 1:20 AM
Author, stylist and business expert Chris Sulimay recently joined Keune, as the company’s academy and technical director.
Photo 1 of 3
Tips for using this chart: Count up your monthly totals for each item you want to track. For instance, say you want to track the percent of your clients who represent return visits each month. If you saw 85 clients and 61 were making a return visit, divide 61 by 85. The result is 72%. Are you close to the above suggested benchmarks, based on the number of years you’ve been renting? For home haircare/retail sales, simply divide your monthly total sales by the number of clients you saw in the same time period.
Photo 2 of 3
Copy or Save this Image of a tracking sheet, or use it as the basis for creating one of your own.
Photo 3 of 3

Do you track performance standards or benchmarks? Chris Sulimay, author of Shop Talk, which details proven ways for industry professionals to grow their incomes, says setting and tracking goals are key making more money. Coming from a multi-generational hairdressing family, Sulimay would know. He has 20-plus years of beauty industry experience as a hairdresser, salon owner, educator, session stylist, artistic director and salon business expert. Here, he shares his tips for rental business success, what to track and just what real-life benchmarks are reasonable, across the country.

“Commit to mastering business basics,” says Sulimay. “When you set benchmarks, you’ll begin to move in the right direction. Numbers that you should track monthly, or ideally, weekly, include:

  • The number of clients you need in order to achieve your financial goals
  • The percent of your clients who pre-book before leaving the salon. Shoot for 75% .
  • Your referrals. What percent of your new clients each month are referrals? To keep a healthy, lifelong clientele, aim for 10%. If just 10% of your overall clients are coming to you based on a referral, you will never struggle to get more clients.
  • The percentage of your clients who get upgraded services. Are you offering an upgrade-service to every client or just doing the service they booked? Top earning stylists upgrade 60% of their clients to a new service, which adds up to thousands of dollars over a single year.
  • How much are clients buying in retail or home haircare? Think of professional hair care sales as money you earn without having to do any physical work. A great goal to shoot for is $18- $20 per client.

Above, are visuals of known, reasonable standards that will help you set basic business goals. You can use the chart as a reality-check to see how healthy your business is, and where you have opportunity for growth.

Click Here to download the blank tracking sheet image.

Facebook Comments

More from Solo Artist

7 Benefits of Working in a Salon Studio

May 25, 2017

Opening a salon is a dream for many. While there’s a plethora of expected pros when going into business for yourself – like controlling your atmosphere, choosing your own retail and back bar, creating a flexible schedule, and branding yourself and your business - there is also a wealth of unexpected benefits that Sola stylists have discovered for themselves. With so much opportunity and support, these stylists have moved their careers in a direction they could once only dream of. It’s evident that going solo was the right move for them…read on to decide if it’s the right move for you, too!

The Art of Staying Educated as an Independent Stylist

May 5, 2017

Keeping up with education isn’t as daunting as it might sound at first for a stylist just stepping out on their own. With apps, social media and plenty of networking opportunities, see how these five independent stylists from Sola Salon Studios are thriving thanks to their flexible schedules and new-found education resources.

Solo Artist
Solo Artist

Ideas for Encouraging Client Referrals

Jim Bower | April 10, 2017

Whether you are the owner of a single chair salon, an independent contractor in a booth rental facility or flying solo in a salon or spa suite, one way to ensure better financial stability is to be sure that your schedule is filled with a good balance of clients.

Is 2017 Your Year to Go Independent?

January 10, 2017

All across the nation, thousands of salon professionals are taking control of their entrepreneurial goals by moving to a salon studio. We connected with four rock stars at Sola Salon Studios who are killing it, showing us that going independent is working for them.

Load More