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Today's Salon Landscape

Stacey Soble | March 4, 2012 | 6:18 PM

In a quiet conference room removed from the action, noise and excitement of the show floor of America’s Beauty Show, salon owners got down to business examining the current business landscape with Pete Castellanos, vice president of sales for P&G Salon Professional.

“In the landscape of our current economy with a record number of foreclosures, government bailouts and a decline in consumer confidence, there’s been a significant impact on the salon industry,” says Castellanos. “The number of salons has declined, the number of people going to salons has declined, the amount a client spends per visit has declined, and the average number of salon visits a client makes annually has declined.”

In fact, according to Castellanos, only 55 percent of women—down from 65 percent—are going to the salon for services, while 30 percent have a family member or friend without a license do their hair, and 26 percent do it themselves.

Despite the gloomy landscape, there is opportunity, especially when owners and stylist understand what today’s clients want, he says. For example, today’s clients:

  • Have the ability to immediately share their salon experience—the good and the bad— with friends and family through social media.
  • Want to go to salons with a distinct culture, where they feel special and are consistently provided an experience.
  • Value service more than ever before.
  • Want to be connected.
  • Want to try products before they purchase them.

 

Some other interesting stats revealed by Castellanos:

  • 70% of clients say their stylist hasn’t recommended a product in the last six months.
  • 78% of men and women are concerned with thinning hair, while stylists perceive that only 2-5 percent of their clientele are concerned.
  • Men trust their stylist significantly more than women do, and they will purchase retail based on a recommendation.
  • Most salons don’t have a strong social media presence, even though women users are in the majority when it comes to this new communication system.

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