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Vish Helps Salons Recover Lost Revenue Post-Lockdown
As clients return with longer regrowth than ever before, salons are using 175% more hair color than normal. Are you accurately recovering that product cost with each and every client?
by Staff
August 20, 2020
3 min to read
As they reopen across the country, salons will be using us to 175% more color on each retouch, according to Vish, a leading color management system. Without the help of Vish, salons may be absorbing these costs, cutting into their already thin margins.
With the help of Vish Front Desk, salons now have an easier and more efficient way to pass extra product charges on to their guests. Vish breaks down salon pricing structures into parts: product costs and service costs, creating a fair and profitable pricing strategy so salons can charge for extra product used, without changing service prices.
“Before Vish, some salons were seeing costs per service of 24%, and it’s much higher post-lockdown. This pricing strategy allows salons costs per service to stay below a targeted 6%, guaranteeing profits on every service," says Joshua Howard, CEO of Vish.
Vish enables salons to fairly pass extra product costs to their guests, ensuring the 175% increase in product used post-lockdown is being captured, guaranteeing a profit on all service. By charging for product and service separately, and only charging precisely the amount of product used during the service, salons provide transparency to customers in how they are being charged.
“Initially we thought we’d see pushback from clients, but once they understand that they are being charged only for product used on their head, and not what the average person uses, they were happy to pay the difference,” said Bruce Brothers from Goldie X Bob Hair Salon in Denver, Colorado.
By separating product and service costs, Neal Loucka, owner of Sound Salon Spa, saw an increase of 161% in product charges compared to what they would have charged. It’s estimated that the average six chair salon will see between $6,000 and $12, 000 in additional product used to service clients after the lock down period. Vish can ensure this is captured as profit rather than absorbed as a cost.
“Passing extra product costs to their guests, rather than absorbing it themselves, increases profitability in a time that every gram counts,” Howard says. “Preserving this revenue will help salons bounce back from hard times and continue to build a strong color business”.
To learn more about the trend analysis, visit http://backtobusiness.getvish.com. To learn more about Vish and how their color management system can help you achieve greater profitability, visit http://getvish.com
About Vish: Vish Ltd. is a leading color management software, which includes a suite of systems that effortlessly revolutionizes how salons and stylists run their color business. Based in Toronto, Ontario, Canada and available for use worldwide, Vish was created to help salon owners and colorists solve the universal problems facing the hair color industry - color waste, ambiguous pricing, and profit margins. Data driven and intelligently automated, Vish is integrated with multiple point of sale systems giving complete ease to the entire team.
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