5 Innovative Ideas to Start a Hair Salon Business in 2020
Today the global beauty industry is a $532 billion business. The U.S. currently is the world’s largest beauty market, with about 20% share, followed by China (13%) and Japan (8%). While projections for growth vary, most agree it will continue to advance at a 5% to 7% annual growth rate to reach $800 billion by 2025.
With demand for beauty therapy treatments and services remaining high all around the world, this market is a lucrative one to get started in. But what’s key to a salon or spa’s success is that, alongside giving flawless treatments, you also provide a relaxing and enjoyable experience.
So... why not opening your own hair salon business?
How to Open a Successful Hair Salon Business?
|HOW TO DO:|
|1. Create a Business Plan|
|2. Determine Your Target Customers|
|3. Find a Location and local permits|
|4. Buy the necessary furniture, equipment, and products|
|5. Hire your team|
|6. Develop your marketing plan|
|7. Take care of the technical things|
There is much to consider before starting a hair salon business or any other kind of business related with beauty. And it can all get very confusing, especially if it is your first go at any kind of business.
How to open a salon?
Where do you even start?
How much does it cost to start a salon?
How do you prioritize?
It can be hard to figure out your course of actions, so we have prepared a shortlist of things to keep in mind when opening a salon.
1. Create a Business Plan
To start your own hair salon business, you need to have a business plan in place for how you’re going to earn money, how you’ll manage your finances, and day-to-day operations. There are plenty of resources available to help you make these important decisions that will shape your business. For example the Professional Beauty Association offers their members access to business blueprints that can be customized.
2. Determine Your Target Customers
Many of our business decisions will depend on what type of customers you plan on serving. It’s not enough to say that you want a general hair salon.
3. Find a Location and local permits
What do you need to open a beauty salon aside from a good location? Think about the interior. In terms of the plan and design of your salon, it should be comfortable for the clients as much as for your employees. Also, don’t forget about the documents you need to prepare before start your salon business.
4. Buy the necessary furniture, equipment, and products
Professional equipment costs a lot and they can significantly spike up the average cost of the budget you will need to open a hair salon business. For example, new equipment for a full hair salon might cost you around $27,000.
5. Hire your team
Many salons have more than one stylist on hand to serve a variety of customers. This is often helpful to improve profitability, especially if you have a dedicated retail space. Keep your target customers in mind through the hiring practices. Your stylists should not only have the talent to offer your desired hair services, but they should also be personable and friendly so they can converse with your clientele throughout the experience.
6. Develop your marketing plan
You should start marketing your new salon even before opening, so you can build some buzz for your initial launch. You should start a website, invest in some local online ads or alert your local media outlets about your new business. A launch event or some type of special promotion could help you make the opening more newsworthy. However, you should also create an ongoing marketing strategy for once your salon is already up and running.
7. Take care of the technical things
Computers, software, and the Internet make our lives easier, and it can certainly improve any business outcomes. You can automate practically any business process, improve advertising, and customer care.
“Failure is not to be feared. It is from failure that most growth comes.” - Dee Hock
All of us know that starting a business it's no so easy, so here you have a:
List of 5 hair salon business ideas:
1. Hair and lash Studio as Amazing Lash Studio
The Amazing Lash Studio brand started with just a few locations and heard quickly that guests like you love the glamorous look and feel of our eyelash extensions and hair services. As word of the brand spread, they set to work to bring their affordable, patented services and products to as many talented and qualified stylists as possible — so they could bring them to you!
- The initial investment is about: $224,659.
2. Massage and beauty studio as Massage Envy
Got its start in 2002 with the aim of making massage services more affordable with a membership-based business model. In 2009, the company expanded its services to offer facials and other spa services in many of its locations as well.
- The initial franchise fee is: $45,000.
3. Kids hair salon as Sharkey's Cuts For Kids
At Sharkey’s Cuts for Kids, they know that kids and parents want something different with their haircut experience. So they provide it all: a superior haircut with warm, experienced stylists in a meticulously clean place filled with fun!
- Initial investment from: 144.000$
4. Barbershop franchise as V's Barbershop Franchise LLC
- Initial investment from: $192,500
5. Hair boutique salon as Beauty Jeff
- Initial investment from: US$ 38,000
You may be interested in:
- Hair and Beauty Salon Business Plan | Download PDF
- What business can I start with $30k? - 2020 Guide