The new Gina Khan salon in Walnut Creek, California.

When San Francisco salon owner Gina Khan (ginakhan.com) and her husband Vijai Manilal (CEO of Gina Khan Salon, Inc.) decided to open a second location in nearby Walnut Creek, California, they did it by the books. They started training a team of solid, talented professionals and launched a print advertising campaign, making a real investment in newspapers and upscale advertising.

But the investment didn't pay off as expected and Manilal decided it was time to go an unconventional route.

"We started hosting parties in our salon," he says. "We told a client who was a realtor that we would pay for everything if she brought in 12 people one night."   

The client complied and the staff at Gina Khan gave complimentary blow drys and treatments while serving champagne and sushi. All 12 made appointments.

"It was such a hit, we started doing it twice a month," Manilal says. "People got a gift bag from us with Logics product, a $50 gift card and another complimentary treatment and blow dry.

"People need to know we're here and come in," he adds. "Once they experience us, we have them. It's really got the word out for us. Now everyone's clamoring for the parties."

In fact, the salon now auctions off the parties for school charities and other philanthropic events. The parties, which cost about $2,800 for 12 to 15 people are selling at auction for about $4,000.

"We hosted from 6 p.m. to 8 p.m. on Thursdays," says Manilal. "We had to kick people out at 9:30 p.m.!"