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A fab Article by Alan Forrest Smith at www.salonpunk.com

5 Reasons why most Hair Salons NEVER rise above the average.

1.   EDUCATION.

  When you open a salon you stop becoming “just” a stylist and become a business person. Now this is a different league for us and like it or not you need advice. Most salon owners I meet refuse advice. They believe their “business” is in their hands. To some extent it is, after all clients “buy” haircuts.

The problem is though it takes more than being able to do a great haircut to balance the books, find out break-even, handle reps, create great teams, and grow your salon and that… is just to start with. 

Most salon owners never go beyond haircuts. They cannot and will never be able to see it and that saddens me.  

In other words, they recognise the value of education in their business. DO YOU. Most salon owners DON’T and never will. How about you and your salon? If you want to see changes it might be that you need to make changes in your approach to you hair salon business. 

Try this…  

  • Read books on business management.
  • Attend courses and seminars about the same.
  • Go on-line and find good resources on running your business properly.

Listen and listen good. I used to pay at least £200.00 for my scissors and never thought a thing about it. My kit was worth around £2-3,000 at one point easily. 

Solution? Get reading and learning, simple.   

2.   STRUCTURE.

Ok, you want you salon to grow, right? You create a plan. You should have a recipe for success. That means as part of your structure you will sit and plan the next month. Over that month you will set goals, targets, one to ones, motivational mornings, takings, colour promotions, staff promo’s and a ton of other stuff that add to your recipe or structure. 

You also need to know who does what. Managers, seniors, juniors, receptionists, accounts. 

Sickness and any other procedure through the salon… IT NEEDS A GOOD STRUCTURE. No structure = failure or average salon performance. 

Want to be above average? Try this…

·        Read more books on management.

·        Attend courses.

·        Speak to others.

I met a salon owner that when I asked him told me he took £18,000 every week. Guess what he wasn’t lying, he really did take that kind of cash. He had no structure at all. He didn’t have a clue as to what was going where. All he knew was that he had a salon that bought him a flash Porsche, large house and paid for private school for the kids. 

That is a one off. It never happens that often. He employs great hairdressers and is in a very wealthy area. The catchment is there for him. He makes big bucks. He felt structure wouldn’t help him.  

Structure would do this for him. Increase his takings from £18,000 to maybe £25,000 a week. That’s what it does. 

Get a structure, raise your salon above the average. Most wont, most don’t, YOU CAN.

  Solution? Find out how to create a structure. Read and apply, dead easy.

3.   STAFF PROBLEMS.

Around 10 years ago I went from 8 Stylists to 1 and myself over a  2-3 week period. Takings dropped. I couldn’t pay my taxes, I only just scraped through to survival. 

The short answer is you cant, sorry. The long answer is easy. 

Here’s is a solution  that has worked for me very, very well. Let me tell you now I keep all my team. Very rarely do we lose seniors. All have been with me for at least 5 years now. 

How do I do it? It’s dead easy, it’s not even a secret. Here it is. 

GIVE THEM WHAT THEY WANT. 

That’s it. Sound too easy? It isn’t. Look you and me, we are both humans (no jokes please I am human ;-)). We all have needs that have to be filled. 

Desires, wants, wishes they need to be filled. Here is an example for you. I set  goal for my team. It was all done. The prize was one week in Europe fully paid by me. They could even take a partner and I would pay. 

Here is what we do now in our salon.

·        Speak with my team, face to face, one to one.

·        Ask them what THEY want.

·        Create a job around their desires and needs.

·        Bend over backwards to help them get there.

If you want to rise above the average salon you really have to start to put your team first and give them what they want. Fill those desires, let them reach their personal goals and you will create a great loyal team that will stick with you forever. 

Solution? Re-read the above and just do it. Pay peanuts… get monkeys. Give them what they want. Easy. 

4.      PLANNING.

Fail to plan… plan to fail. It’s that easy to understand why most salons never rise above average. They don’t plan anything. They don’t understand planning, most really don’t care. If you don’t plan, you are going no-where fast. 

Let’s make this clear. Planning and Structure we mentioned earlier are connected but not the same. You can have structure but if you don’t plan with it and use it the salon wont do a tap, not a bean to rise above the average. 

Question is… will I ever get there? Doubt it. That’s the crux of planning. If you want your salon to take £5,000 and you are only doing £2,500 you will never take more if it isn’t planned properly. 

Your salon is a journey. I have never been on a journey that isn’t planned. Plan it and you are laughing. 

So…

  • Read books on the subject.
  • Search the web for help.
  • Find free advice on it, accountants and banks can help.
  • Copy others.
  • Write a plan.

Look, don’t expect a miracle. Be happy if you can start a plan today and get it going. Just make a start and you will progress. After six months you will be a planning expert but you need to stick at it. Most salon owners never rise above average. They hate planning, they don’t plan and that is why they are average. Not you, just get it done.

Solution? Get planning. If you want to get somewhere you need to know where and how. Plans are for the successful thinkers. Do it. 

5.   OWNER IS A STYLIST.

Actually the truth is it has taken me since 1989 to get off the floor. But my systems are in place. I have a good structure. Good planning. A good stylist plan. I have re-educated myself and guess what… our salon has had an overall increase of nearly 30% since last may. 

What a happy guy I am.

  Now what about you. See the average salon that never rises above average never moves on. But… they could easily, they just don’t. Not us. 

Get off the floor and here is what you have. A business that creates wealth for you and your team. A salon that stands alone without you. Time to spend on other things (I am at home in my office now and the salon is packed ;-). Time for my family and kids. No late nights and no mad, crazy Saturdays killing myself with a busy column. 

You can do it.

  • Create the four things above we mentioned earlier.
  • Get a superb manager.
  • Set down the rules.
  • Set standards.
  • Increase standards.
  • Improve team.

What can I say. I felt disappointed when my long term clients didn’t miss me, I really did. They asked where I was going, no they didn’t. They asked if I would be back, they soon forgot, takings went up and I had too much time on my hands. 

It will be the same for you as long as you feel that you have everything in place.

 Salon is running great now. We attract the best hairdressers in our area. We charge the highest prices. We do everything right and it pays well. It just takes a decent system and good planning and a lot of support. 

Solution? If you have done the above and all the other points take a deep breath and let go. Keep a close eye on the whole thing and monitor it all until its on auto-pilot. Not simple, easy or a dodle. Hard work but can be done.

  My very personal advice to you and all salon owners is this…

“if you really, no I mean really want to rise above all those Joe average salons, read and learn, apply what you learn, copy other success stories and try it. I did and it’s worked. If I can do that, you can, Alan”

Alan Forrest Smith. Salon Owner and M.D SalonPunk.Com.

Disclaimer. 

Everything you read here is based on my own experience. If you try it and it doesn’t work I cannot be held responsible as I am only sharing my experiences with you. It’s all based on my experiences and they have worked for me. You need to apply ideas to your situation, set your goals in life and just do it. 

 
 

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