If you are a salon owner it will come as no surprise to you that retail sales in a salon are struggling. It’s a fact: 7 out of 10 guests leave a salon without ever having a conversation about home hair care. Salon owners who have booth renters often struggle with their retail sales business because unlike an employee, booth renters are not required to sell home care products, and frankly many feel that it’s not worth the effort. Therefore, I think it is time to look at this differently.
If you are a booth renter you are an independent business person who provides services for your clients in a salon. Like all business people you have to be sure to give excellent customer service and make sure your clients are happy and come back. As a business person, you have the responsibility of keeping your place of business open and the bills paid. Or said differently, paying your rent. Clients do leave for one reason or another, and it is often nothing to do with you or the service you offer, it just happens. You have to be sure that you have given them exceptional customer service. . . and that includes home care recommendations.
There are many proponents and opponents of the freedom and restrictions of booth rental but that is not the topic of discussion today. For or against, the fact is that whether you have clients or not, the rent stays the same and has to be paid. You and the salon owner share the same concern in this matter and if we stop for a minute and ask, “How can we help one another pay the rent?” We can see that there is common ground, so let’s look closer.
OK, salon owner. . . . You can make more money from the sale of home care products (retail). What if you gave a rent credit to your booth renter for every product they sold? How much that credit is worth, is between the two of you. Sound interesting? Let’s step it up a notch.
OK booth renter. . . . You may not have the time to spend discussing home care products with your client, because the next client is waiting and you gotta go! What if someone who is specially trained and certified to give home care product recommendations could do it for you and you were compensated on any sale they make?
It’s an idea whose time has come and I welcome your comments . . . . . more to come.
Yes, it ‘tis the season for giving…and with every client who sits in your chair this week and next, you have the perfect opportunity to solve their holiday gift-giving dilemmas. Gift cards! Yes, those trusty little cards you opted to order for the salon are about to pay off big time.
So, are you promoting the heck out of this handy little tool? Probably not! Here are some suggestions to amp up the gift card sales while you have the chance.
1. Send out an e-blast to your clients letting them know that your salon gift cards are available and that they would make a great gift for friends and family.
2. Shout out a similar message on your salon’s social media. Invite them into the salon to pick up one of these handy little stocking stuffers.
3. Display small counter signs or mirror decals at each station. Let admit it, you have a captive audience while they sit in your chair. Take advantage of the time and send clients the idea to solve their gift-giving needs.
4. Have tastefully designed signage at checkout. This is where last minute decisions are made, so make one last pitch. If appropriate, consider having the receptionist ask the client if they’d like to share the gift of beauty this holiday season.
What other sales amplifying ideas have worked for you in the past?
Many salons work with local artists to cross promote their talents with the salon’s clientele receiving services. Bare salon walls are livened up with new works of art that rotate out every few months to give a fresh breath of life to the salon interiors all while offering great exposure to budding artists. And the gallery opening events in your salon are a perfect opportunity involve and grow both sets of clientele.
All in all it can be a win /win for both parties, but beware the pitfalls should something go wrong.
It seems like an easy exchange: They hang their artwork and your salon gets a new look, not to mention a new topic for conversation with clients. But what happens if they damage your walls during installation? What if there is a break in, or color splashes on the artwork, or a client or gallery opening attendee punctures the canvas? Who is liable?
Naturally that would depend on the insurance both you and the artist have purchased and what coverage for which you have each made provisions. In the absence of the artist having specific insurance for the artwork that would cover gallery installations or other showings, the liability in such cases would likely fall upon the salon owner. Gasp!
Before allowing artists to hang (or showcase) their work in your establishment, take a moment to talk with your insurance provider to see what, if anything, would be covered. Consider asking the artists to provide their own insurance and request a certificate of insurance from them that specifically names your business in the coverage.
Also, come up with an agreement in advance as to how installation is done, who covers expenses for gallery openings (parties) in the salon and how sales of any artwork would be handled. Discuss and agree (in writing) upon what percentage, if any, the salon will receive for such sales and who is responsible for what for all aspects of the arrangement. Being prepared will eliminate the surprises down the line and allow you and the artists to benefit from the alliance.
Many salons have branched out in the retail arena and have included much more than just hair care or even beauty products. Wander into some establishments and find a full array of everything from candles to jewelry, scarves, clothing and even handbags.
Some salon owners swear by the merchandizing tactics and have dedicated a fair amount of retail space for salon clients to browse. Many have found great success with offering other wares and some have even branched out and added onto the salon or even eliminated a few stations to make room for merchandise.
Other salon owners claim that it’s a waste of time, space and selling opportunity for hair care or even hair services. They feel the real opportunity is with more busy stations and simple shelving packed with hair products and tools to support the craft.
What’s your take? Would your clients like to see a wider range of products beyond just hair, skin and nail care or would additional offerings simply gather dust?
The National Retail Federation reports that although 141 million Americans took advantage of retailers’ holiday deals over Thanksgiving weekend. According to a survey conducted by Prosper Insights & Analytics, more than 131 million (54.8%) shoppers plan to go online for Cyber Monday, up from the 129 million who participated last year.
I was talking to a beauty school owner today who told me they sold thousands of dollars of gift cards on Black Friday. Yes, I did say beauty school, and I know that you are thinking, “Who would want to go to a beauty school for a service?” Well obviously a lot of people, and kudos to the school because they had thought this through beforehand and planned out several service and product bundles to offer their clients.
How did they do it? They used their database of client emails, they notified them in advance of their Black Friday deals. The deals were good and the response was even better. I know that many of you probably joined the thousands of others who battled the crowds on Black Friday to cash in on the big discounts the department stores offered on your favorite gift items.
So how were your Black Friday gift card sales? Did you put up specials on your website for Cyber Monday?
If you missed it, there is always next year, and you have lots of time to plan. Take a look at the websites that attracted you to consider buying from them and print a copy of their Black Friday promo page; it will help your web designer. Here is a checklist of things to consider for next year.
1. Talk to your supplier about holiday promotions at least 3 months in advance of the holidays. Ask them about 2013 best sellers and why?
2. Make sure you have every email address of every client.
3. Set a target of how many promotions you want to sell.
4. Talk to your web designer and prepare a Black Friday promotion page.
5. Print up gift certificates and create in salon signage to draw attention to them.
6. Write a script for your staff to use to sell gift certificates.
7. Email every client two or three times prior to the promotion.
For some people, the holidays are not filled with joy, as they struggle to buy food for the traditional Thanksgiving Day feast, and presents for the young children who are expecting Santa to leave gifts under the Christmas tree. My wife and I have adopted a family this Christmas to provide food and gifts for their loved ones, and maybe you have too, which lead me to wonder how many of your clients would want to buy a “Gift Certificate” for a family in need this Holiday? What a terrific gift from the heart it would be.
More to come. . . . . .
Ahhh. The holidays. . . . . . some can’t wait and the rest of us shriek I’M NOT READY!! Or something a bit more colorful.
The facts are that gift buying is front and center for most people over the next few months and yet we in the salon industry generally let it pass by without capitalizing on the frenzy. Why? Because we are too busy to think about it and by the time we do, it’s too late to do anything. I’d like to suggest we not do that this year and make a plan to jump on the gravy train. But first here are some statistics to motivate you about gift certificates.
• American households have an average of $300 in unused gift certificates.
• Men will spend about $30 more on gift certificates than women this holiday season
Gift Certificates are so easy to sell during the holidays especially if you feature “no risk” services like scalp treatments, or shampoo and blow dry. Services with home care products in a bundled package for guests to buy are also popular. Consider the holidays as a shoe in to new retail categories such as skin care, hair tools or bath and body products.
These categories are very lucrative and help build a deeper business relationship with guests. The great thing about the holidays is you can assess the potential of the category and either continue it or make it seasonal.
Your clients are using these items and probably purchasing more of them during the holidays than any other time of the year and they may as well buy from you.
It’s also a good time now to sit down with your sales representative and plan out holiday promotions. Travel packs and other mini sizes make great stocking stuffers and the more you have, the more your clients will buy.
Talk to your sales representative about showcasing (displaying) holiday promotions for maximum impact.
If you have salon management software, now is a good time to take a look at the categories of products that are trending upwards. Pay special attention to “best sellers” and be sure to promote those items heavily. Traditionally Thanksgiving is the start of the BIG buying season as tinsel and treats leap out as us from every media. It’s also time for you to send out an email blast to all of your clients letting them know about your holiday specials and new items too.
Finally, don’t forget that the biggest reason retail sales fall short of expectations is not preparing the team with enough information on the holiday promotions. Be sure to review each promo with features and benefits of the products and a short sales script for the staff to use. It is worth mentioning that the front desk team are invaluable during the holiday season, often picking up when their salon colleagues don’t have time to talk about home care products. If you are an owner it may be a good time to train your front desk staff, assistants and junior stylists as Home Care Specialists (HCS) or ask your sales representative if you can join in on a course. Visit
www.benchmarksandblueprints.com for further training information and inspiration.
What is the first thing you want your customers to see when they walk into your salon?
Top merchandising specialist agree that a front desk featured in the entrance of a salon is outdated and prevents retail sales. Think about it, do you bump into a cash register right away when you walk into your favorite department store? Probably not. You have to wander through strategically placed retail shelves and display tables enticing you to pick up merchandise and give it a try. Next time you go to the mall, take note of what makes you walk into one store and not another. What catches your eye and ultimately the magic content of your wallet? I guarantee it’s not a big, cold desk with a woman standing behind it like a gate keeper.
Now, take a look at your reception area and try to reimagine an attractive shopping area with products and accessories your clients can’t live without. Or better yet, imagine the countless number of walk-in’s you could generate if passers-by saw an opportunity to find something they love and can’t live without. Then imagine how much your service dollars could increase if you capture those walk-ins and transform them into clients.
OK, so you’re ready to think about a RECEPTION RE-DO. Here are 10 quick tips to keep in mind.
1. Make sure you set up shelves and displays that are easy to walk through and don’t stop traffic flow.
2. Display items wisely. Your shelves should be immaculately clean and properly stocked. Use the rule “eye level is buy level.” Place big sellers at eye level so that they’re easy to find and accessible to touch.
3. Display items on shelves in the order they are used. Shampoo & Conditioner, Treatment Intensifier, Texture & Control, Shine & Protect, Finishing Spray.
4. Keep adequate inventory of your retail items. No one wants to buy the last bottle on a shelf – it makes them feel guilty.
5. Place one or two “featured items” on pedestals or small tables in the center of your retail area. This is where you can promote sale items or seasonal treats.
6. Be sure to have a sample area for customers to touch and smell products. Beauty products are very emotional and consumers want to play with them to see how they make them feel.
7. Keep your retail area decorated with a consistent theme, too many ideas gets overwhelming. Remember, the idea is to sell retail, not create pretty displays. Clean and simple is a good rule to follow.
8. Place one or two small POP (Point Of Purchase) displays at the front desk. Purse size travel items are ideal and can create a nice little impulse sale when your client is checking out after their service.
9. Train your stylists and front desk staff to be retail specialists. Knowing how and why to use each product will give your customers confidence that they are buying the perfect home care items.
10. Keep seating at a minimum in the front of the salon – if your customers are sitting…they’re not shopping.
Once you’ve decided to make a change, stay consistent and be sure to keep track of the buying trends of your customers. Your regular clients will love the new make-over of your reception area, and you’ll be thrilled with the increased retail sales and new clients generated from a well-designed retail center at the entrance of your salon.
