BSG Previews Loxa Beauty E-Commerce Site

By Anne Moratto | 02/27/2014 6:18:00 PM

 

Consumers will soon have a new, diversion-free option to buy professional salon products online, and stylists and salon owners are only a few clicks away from getting credit for the transactions.

Loxa Beauty, the e-commerce website and mobile app that specializes in selling salon products to consumers while supporting salon professionals through an online sales commission, has launched a preview version of LoxaBeauty.com to beauty professionals.

Beauty Systems Group, the professional distribution division of Sally Beauty Holdings, acquired Loxa Beauty in 2013 and formally unveiled the platform to executives of leading salon brand partners at a vendor and media day at BSG headquarters in Denton, Texas, on February 20. A launch of the site to consumers will take place mid-March.

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 John Golliher, President, Beauty Systems Group, said Loxa Beauty will offer over 3,000 authentic salon products authorized by manufacturers (including Paul Mitchell, Joico, CHI, American Crew and more), commissions to stylists and salons on 100 percent of the sales and complete transparency on every sale. He emphasized that the target market for Loxa is the consumer who prefers to shop online and is already buying there instead of in the salon.

 “Loxa Beauty was created to extend the salon shopping experience beyond the stylists’ chair,” says Janell Shaffer, Managing Director of Loxa Beauty. “This revolutionary platform bridges the gap between the salons/stylists, clients and professional beauty products. By awarding a commission on every sale, we are able to keep the stylist at the center of the shopping experience.”

Loxa Beauty also features a tool for stylists to recommend products to their clients, called HairScription. It sends an email to the client with product recommendations and a “buy now” link. When the client responds, they are sent to Loxa Beauty to check out and their stylist receives the compensation via a 12.5 percent commission paid via a PayPal account.

 Another tool, LoxaLocal, ensures a salon or stylist is financially rewarded on every purchase, regardless if the consumer does or does not choose a salon/stylist at checkout. If a consumer buys product from Loxa Beauty without selecting a stylist to receive the compensation, Loxa Local selects a stylist or salon by using a complex algorithm designed to fairly distribute the commission.

 “I would explain Loxa Beauty to other stylists as a partner, someone you can use to help your clients get the best service possible,” says Will Turpin, a Loxa Beauty stylist member. “Loxa Beauty provides a virtual retail shop and gives me the opportunity to recommend the products I want to my clients.”

 Response and support from manufacturers has also been positive.

 “Finally there’s a website that offers everything for the “beauty obsessed” consumer, said Sara Jones, Sr. V.P. and General Manager of Joico and ISO Brands. “Consumers will love the high quality information Loxa will provide, along with the convenience of online shopping. We feel this will be a great opportunity for to deepen our connection with our customers. “

 To preview the site, visit LoxaBeauty.com and request access, and visit the site’s YouTube page for informational videos (see links below).

 Loxa Beauty membership requires no investment or contract commitments from salons or stylists. Features include customizable salon and stylist profile pages and support from manufacturers. For more information, visit LoxaBeauty.com.

 

 

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ABOUT THE AUTHOR: Anne Moratto

Anne Moratto’s well-rounded beauty career includes years in beauty public relations, beauty marketing, beauty manufacturing, and now, with MODERN SALON, in beauty publishing. The through-line has been an intense interest in all things beauty and a sincere appreciation for the skilled artists and entrepreneurs who make the industry so vital, compelling and creative. Anne, a native of Wisconsin, lives with her family in Los Angeles, CA, and is MODERN SALON’s West Coast Beauty and Special Markets Editor. She can be reached at amoratto@vancepublishing.com

 


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Alan    
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Northfield, IL  |  February, 27, 2014 at 10:08 PM

This is not the answer...BSG should have launched this to salons first, offering salon owners the opportunity to join the Loxa network and have an e-commerce site. If BSG called me and said we can help you with your online sales and continue to support your business by properly sharing the revenue generated from our online store,mi would be all in! But,thats not what Loxa Beauty is about. Greed over need? Now BSG gets to sell products direct to the open marketplace and give salon owners an 8% commission (if our clients select to give us credit) and 4% to the commissioned stylist. Average gross profits from retail sales avg. 35-50% for salons, that revenue stream is essential to the success of the salons profitability. Loxa and BSG have dismissed this and are moving swiftly to sell the idea of Loxa to the chair/booth- renter, for which they won't have to worry about carrying inventory and will be able to earn a 12% commission on sales made on Loxa...And let's talk about the social networking aspect of Loxa. If you are not on the site, BSG says it will find someone to give the commission to, ok, so now it does not matter if you are an independent or commission stylist, Loxa has just introduced your client to someone else! This is just the beginning. Shame on BSG, I welcome you to explain how this will help our salons and stylists prosper.

Greg Fields    
Chicago, IL  |  February, 28, 2014 at 10:56 AM

Alan, how much are you earning from your clients purchasing off of Amazon or other online sites? I don't know about you, but we're not looking at Loxa has any change us or the way that we do business. Everything is available online already anyways. We will continue selling products to our clients the exact same way as we did before. The key to success is in-salon sales. The only difference is that now we have an opportunity to make money on online sales as opposed to nothing. The only reason that you should be scared about the social aspect is if you didn't have a good relationship with your clients. I am encouraging all the stylists at my salon to sign up and get their clients to sign up as well. This is a good opportunity for us to actually get new clients through this referral system.

vernon werge    
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Orlando Fl  |  March, 02, 2014 at 08:05 PM

Greg , you really think this is an opportunity to get new clients? That's a carrot being dangled, the reality is what are the odds of you catching clients in your area? It's like a fisherman beach casting hoping to compete with a fleet of trawlers with drift nets . The "winners" of the referral system are likely to be the stylists who aren't very busy with guests in their chairs. Or even don't have chairs at all , what's to stop someone with a license but whose not actually used it for years to have stock answers to the 5/6 regular challenges and just sitting waiting to answer questions. If my understanding is correct the commission will be decided on an algorithm part of which is whose most active on Loxa's website. Where are the checks and balances to make sure the person giving advice even has a license? The difference with Amazon and non "legitimate" on line points of sale is I am not reliant on them to play nice with my orders. It is a potential conflict of interest, in the corporate world if there is a decision to be made do we supply our on-line service where we make 40-50% profit or do we supply independent salons where we make 10%? There is the risk of the " Walmart model" where Sallys/BSG can use their leverage to get better deals/on-line specials that the salons don't get. It's a foolish business owner that leaves themselves exposed and reliant on a competing business. IMHO Sallys/BSG will play nice until they've exploited all of the stylists goodwill , they'll leverage the stylist industries relationship with their salon clients to legitimize their business model , until the website has built up enough of it's own momentum at which time they'll cut the commissions back and sever their links with stylists

Tyler Turner    
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Los Angeles  |  March, 05, 2014 at 01:32 PM

This article is only giving one very slanted side of the story. What Loxa/BSG is doing is manipulative, predatory, and unethical. Once you hand your client over to a marketplace of other stylists, and thousands of products that you don't support, good luck ever getting that client back. It's YOUR client, you built the relationship, you provide the personal service! Giving them to Loxa for 4-12% is absolutely ludicrous. The online distribution concept is something I personally have been interested in and working with over the last year, so this is a topic I am very versed on from the perspective of the salon, stylist, manufacture, sales rep, and distribution company. Of the ways this could be done, Loxa/BSG has chosen the easiest to implement but the clearly most one-sided approach. There is a massive abandonment of salon and stylist support with this model they are pursuing. I believe that I have a better way and we are getting a lot of local support here in Los Angeles. I would very much welcome the opportunity to have conversations with anyone interested in joining us. The commissions are 35% and the client stays on your own website. Here is our site with more info: http://www.beautyfoxpro.com/Loxa My name is Tyler, I'm the Founder and can be reached at Tyler@beautyfox.com. Thanks.

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