Going Up?

Business today is tough, as it’s always been. We used to think we were in a recession-proof business, but after the past recession we realized we might be recession-resistant but we are not recession-proof. The reality for us as hairdressers is, there are only a few things we can do to grow our business. Yet, when we try to figure out the right way to grow our business, sometime we miss the opportunity to grow because we are trying to be right, instead of trying to figure out the best way to grow our business. Why not try all the ways?!  

 

More Guests

The first way to grow business is to establish prices and start to build clientele. But at a certain point, if we are lucky, talented and work really hard, we get "booked" and sometimes booked out weeks in advance with a waiting list! And that is not the time to slow down or even take our foot off the gas, because if we are not going up, we are starting to go down. The reality is, we all lose some guests every year. The industry standard for lost guests, through no fault of our own, is 10% (moved, died, had a family, lives changed, etc.), so each year I look to make sure I have new guests.

 

More Often

It's amazing what "1 more" can do for you. Trainers are often heard at gyms saying, "Give me 1 more," and when they do the trainer often repeats, "Give me 1 more."  Why? Because 1 more doesn't seem like a lot to the person, but 1 more over time can really add up. Think about it this way, the average guest visits our salon on an average of every 6 weeks or 8 to 9 times a year.  So, if you want to give yourself an 11-12% raise to your annual income, all you need to do is have your guest give you 1 more appointment a year. This is where days matter, so if you want to raise your income more than 10% annually without raising your prices shoot for 4 or 5 days less between each of your guest’s appointments instead of stretching a couple extra. It’s only 1 more appointment for them yet adds up for you. 

 

Upgrades

Today we live in an age of upgrades.  From airlines that offer upgrades on food, seating and even boarding, to super sizing it at eateries, people like to be able to customize their purchases and it’s a great way to raise the average ticket. Like the idea that 1 more adds up from above, giving the guest the option to have choices can give you the option to give yourself a raise of 5% or more per year. So let your guests choose a $10.00 express glaze for an upgrade, or let them upgrade to a premium lightener and serum that reduces damage and breakage to already fragile or compromised hair. The great thing about upgrades today is, if you make the offer, your guests will request the upgrade that makes their experience with you even better for them.

 

Raise Your Prices

This can be the toughest choice of all, because for many hairdressers the thought of raising prices scares them more than living in poverty. Why? I understand that we have unique relationships with our customers, but we have to understand that it doesn't say “charity” on our doors either.  The reality is, if you haven't raised your prices in 10 years you are making less money because everything else is costing you more.  Every year things cost more, and if you haven't adjusted your prices yet, the only thing holding you back is you. 

 

I had a powerful realization years ago: more money gives me more choices and that includes choices that can be better for my guests too. Things going up means that we can invest more in our training and education to be better at our craft, we can invest in better tools to service our guests and we can even invest in the little things that make a big difference, like better towels, capes, gowns and even magazines. When things are going up, it's easy to make things better, and when things are going well, it's easier to keep going up.