If you’re a practicing hairdresser, beauty therapist, or masseuse, or simply
want to join the industry as a business owner, then opening a salon can be a great idea. However, like with any new venture, it is important to think carefully about how to launch a business that will have a competitive edge, and be run efficiently and profitably. To help you on your way, read on for some tips you can follow today to start a salon that achieves your goals.
Find a Point of Difference
One of the first things to do is make sure your business will have a point of difference. After all, most suburbs and cities typically have many different services on offer for customers, so you need to find a way to stand out. This can be through things such as the services you offer or the way they are provided, your salon set up, the people you target, your opening hours, or another factor.
To divine a unique selling proposition (USP), it is wise to research competitors to see what others are doing. Get clear on how many competitors you will have, what they do and don’t offer their clients, the prices they charge, who uses their services, and the level of service provided. Once you’re clear on your USP, you can use it to market more effectively to prospective leads, build your brand, convert more customers, and increase referrals and repeat business.
Create a Detailed Business Plan
Next, put together a detailed business plan so that you know exactly what it is you want to create, and how you will go about executing it. Not only will this keep you on track as you develop, launch, and build your venture, but it will also help you to more easily attract investors or get a loan.
Your plan should cover multiple areas. For instance, on top of the competitor research mentioned above, you are advised to research the industry and the specific target market you want to reach. This will help you to find out about any particular niche areas which are booming or contracting, or demographics which are not currently being served or catered to properly.
A comprehensive business plan should also indicate your business model. For example, think about whether you will operate using a chair-rental model, where your team of stylists or beauticians are independent contractors; or instead will hire staff and pay them an annual salary or on commission. You need to also plan out the services you will provide to start with, as this affects your marketing, the equipment you need to buy, the way your salon needs to be laid out, who you need to bring on to work with you, and more.
As you create your business plan, also include things such as the pricing you will charge; your projected overall costs, sales and profits (remember to add up rent, equipment, tech, supplies, wages/commissions, marketing costs, insurance, and more); and any particular legal requirements you need to adhere to. Add a SWOT analysis that covers the strengths, weaknesses, opportunities, and threats of your business, plus a breakdown of how you plan to finance operations.
Choose an Appropriate Location and Opening Hours
Choosing an appropriate location for your salon is another very important factor. You need to find a spot that is easily accessible for consumers, whether they are on foot or driving. Parking must also be readily available, and the surrounding area should be safe, well-lit, attractive, and with plenty of other retail businesses nearby. This will enable you to cater to walk-ins who discover your business as they go past, as well as those people who specifically make their way to your salon.
Consider your opening hours carefully too. In order to maximize revenue, you need to accommodate the largest number of clients possible every day. Remember that in this era of long work days and ever-busy consumers, it is typically necessary to be open outside the standard 9-to-5 hours. Many of your clients will want to use your services of an evening or on the weekends.
You might also want to think about having other times available by appointment to suit particular people. For instance, if you want to target the wedding market, you must typically open earlier on a Saturday morning so that brides and bridesmaids can have their hair or beauty services taken care of.
Find the Right Equipment, Supplies, and Tech
Lastly, don’t leave it until the last minute to source the equipment, supplies, and technological aids that you will need for your salon. Often the products or equipment you choose will determine how interested potential customers are in using your services, or how happy they are with your work. As well, having the right tech, such as salon appointment software, point-of-sale machines, and the like, can make a huge difference to your workload and productivity levels, and needs to be seriously considered.
