Close
Management Practices

PBA’s Business of Beauty Study is a Retail Mythbuster

Stacey Soble | July 10, 2011 | 2:13 PM

Cosmoprof Symposium 2009 kicked off early Sunday morning by digging deep into the research revealed by the landmark Business of Beauty study. To pique the interest of owners, Presenter Neil Stern demonstrated how an overall 3 percent increase in retail sales would mean an additional $30,000 in revenue and $15,000 in incremental profits to a salon.

 
Click the image to play a video interview with PBA member Sara Jones.

"Although consumers like to learn about products when the stylist is using them, 71 percent of your clients were not offered a product introduction," says Stern. "Even though the overall sales of beauty products continues to grow, the proportion purchased in the salon is declining while sales are increasing for supercenters and discount retailers."

Stern then took a closer look at some commonly held beliefs about retail, using the study's data to reveal reality.

Myth: Stylists don't like to retail products.
Reality: Stylists really do like to recommend and sell products, but they want more training on how to do it properly.

Myth: Consumers don't like to be bothered.
Reality: 88 percent of consumers say they don't mind being educated about products, in fact they believe it's part of the salon experience.

Myth: The Internet is stealing sales.
Reality: Only 2 percent of the 43 billion worth of products sold are purchased online.


The majority of consumers in the study also revealed that they like to learn about products when the stylist is using them.

PBA members Cary O'Brien, Sara Jones and Edwin Neill wrapped up the session by outlining an 8-step process for boosting customer loyalty and increasing profits by building a consistent, systematic approach to retail sales:

  • Step 1-Establish a clear commitment to retail that is integrated with the overall salon philosophy and culture.
  • Step 2-Focus on retail education and training.
  • Step 3-Make a recommendation.
  • Step 4-Have strong merchandising of retail products.
  • Step 5-Offer strategic selections.
  • Step 6-Be creative with promotions.
  • Step 7-Align incentives.
  • Step 8-Measure, measure, measure.

To obtain a full copy of the Business of Beauty report, visit probeauty.org.



More from Management Practices

Management Practices
Management Practices

Dos and Don’ts When Communicating with Upset Guests

July 31, 2018

They say the key to every great relationship is communication – and handling a guest complaint is no different. It’s not ideal to have to communicate with an upset guest, yet we’ve all been there and it’s likely we’ll be there again someday. Here are the dos and don’ts to keep in mind to help you successfully communicate with upset guests.

Management Practices @vanessapalstylist cutting a precision bob hairstyle. 
Management Practices

SALON TODAY RECOMMENDS: Strategies for In-Salon Education & Minimizing Stylist Turnover

Lauren Salapatek | May 4, 2018

What kind of continuing education do you have at your salon? Are you inspiring your employees to reach their full potential? This month Aveda Means Business covers topics from in-salon education to minimizing stylist turnover. Learn some ways on how to attract stylists who are passionate about the business and who will fit in with your salon’s culture.

Management Practices Sponsored by L'Oréal Professionnel

OWNER TO OWNER: The David Rios Salons’ Secrets to Providing 5-Star European Service for the Country’s Most Demanding Clients

May 2, 2018

Many of the country’s most brilliant, talented and powerful people live and work in the Georgetown neighborhood of Washington, D.C. They’re politicians, diplomats, attorneys. Also professors and students at the nation’s top universities. So, if you’re servicing these people in your salon, you had better be at the very top of your game.

Load More