The average SALON TODAY 200 is:
ESTABLISHED—the majority (61%) opened their doors in 2000 or earlier with only two in five opening since 2005.
FOCUSED—most of the honorees (73%) have one location. Of those companies who have more than one location, on average they operate four.
LARGE—the average ST200 salon boasts 5,200 square-feet of space, with salons in the Midwest being significantly larger than the West. In addition, at 79%, the majority of honorees lease their space.
DIVERSIFIED—an overwhelming 98 percent of this year’s honorees consider themselves to be both a salon and spa.
INVOLVED—Seventy-five percent of honorees belong to one or more professional associations, and more than half of the honorees have hired a professional salon coach or consultant in the past three years.
PRODUCTIVE—racking up a total of 26,000 client transactions in the past fiscal year. Transactions for the ST2000 increased 3% over last year’s honorees. The average ticket came in at $70.45.
COMPETITIVELY-PRICED—charging an average of $49 for a shampoo, cut and style and $67 for a single-process color. On average, salons in the Midwest ($45) and West ($47)charge significantly less for shampoo, cut and style compared to salons in the South ($51) and Northeast ($56).
FUELS THE ECONOMY—employing an average of 37 employees. Interesting to note: the average number of employees has decreased by two employees each year for the past two years.
FULLY ROOTED IN HAIR-RELATED SERVICES—the average ST200 salon receives the largest portion of its gross revenues from hair color service sales and hair cutting service sales, which at 34% and 31% respectively, each representing about a third of gross revenues. Interesting to note: for salons in the West, retail captures a higher percentage of the gross revenues than elsewhere in the country, and for salons in the South, hair color captures a significantly higher percentage of overall sales.
The Habits of SALON TODAY 200 Owners
Among the SALON TODAY 200, 66 percent of salon owners still perform client services. Of the owners who do, they report spending an average of 25 hours a week performing services. Not surprisingly, owners of salons and spas grossing less than $2 million per year are more likely to perform client services than business grossing more than $2 million.
At this point, only two in five (44%) of the SALON TODAY 200 have put non-compete/non-solicitation agreements in place.