Services Up, Retail Down
I love detailing with one of our Beauty Experts visiting salons. Each salon is unique in its own way, yet the underlying concept remains the same: take care of the client so when they leave the salon, they are beautiful with a smile on their face.
In my recent travels, I have noticed "A" salons still busy as ever and "B" salons hanging in. Although the unemployment rate in Michigan recently hit 8.5%, people still need their hair, nails and feet taken care of (even massage treatments are going well).
But when I asked owners how their retail business is doing, many complain (diversion, don’t need, too expensive, not interested). However, Target is putting in huge "Professional Only" sections in their stores. ULTA keeps opening more stores and even Macy’s is putting in a Professional Only section in all its stores.
So what’s a salon to do to build their retail business? One of my associates told me that a very busy salon in Ohio (35 hairdressers, 15 nail techs) complained about retail business although the salon was hopping.
The owner came up with an idea to focus on the front desk staff and for them to ask their clients upon check-out one single question, "Did you enjoy the shampoo and conditioning treatment you received at the back bar?" The obvious answer was "yes." Then the front desk person showed the client the products that were used (no redirect to the retail section) and asked the client "these are the products we used on you today, is it OK to add them to your charges?"
The point is this: people don’t like saying "no" and would rather say "yes." That is why when you go into McDonald’s, the clerk asks you if you want fries and a soft drink with your cheeseburger–the chances are better that you will say yes than no.
The owner said his retail business tripled since the implementation. What ideas do you have to increase retail business at the salon level?
Happy Tuesday!
June 24th, 2008 at 2:39 pm
Another idea to increase retail in salons, is to place the product being used on the client’s hair in the client’s hands. While their hair is being cut and styled they are holding the product and reading the labels. This can create more interest and entice the client’s to make a purchase.
June 24th, 2008 at 2:43 pm
I know that suggestive selling works, but as a customer, I hate it! How often are people loyal to an impulse buy, anyway? I would rather you educate me as to why your expensive “professional” product is better than what I bought at the grocery store for 99 cents. If you take the time to explain the benefits of something and I like it, I’m more likely to keep buying it again and again.
June 24th, 2008 at 3:17 pm
I agree with Melissa, I hate it when products are forced on you. I have been in salons where they bag everything up and add it to your bill. Are they kidding? It is true, if a stylist or spa professional can educate you as to what they are using and the benifits of you taking it home with you then that should create sales and trust.
June 25th, 2008 at 8:58 am
I don’t like when stylists push products on me. A few months ago when I got my hair highlighted, the stylist was trying to upsell some biolage products on me. I asked how much they were selling for. She said $14.95. I said to her “honestly, I can get them for half that at my work” she said “oh really? Where do you work?” I said “The Industry Source!” Then she was just like…”oh…ok, well make sure you get some!!” LOL! I thought that was kind of funny, I know she really wasn’t expecting me to say that. Because they get there products from us!
June 25th, 2008 at 9:15 am
Dear Industry Source President,
I read your blog this morning and much of what you write has been written over and over by other people in the industry. Bring solutions to the table instead of describing a situation that is so deep part of our industry.
Please keep writing , but at least bring suggestions for solutions.
All the best.
Ariana Ana Goldstein
June 25th, 2008 at 12:12 pm
Innovation (solutions) needs to be either instigated and/or provoked and possibly inspired. Through describing situations, people are compelled by the challenge, therefore solutions are created. As an example, a story and there solution is stated. We find other readers inspired to produce more solutions. And the result a provoked and undeniable solution to the situation. It is in the challenge that we find our solution to success!
Retail 101—Here at the industry source, we are teachers of our products. I know for me, I used to not want to buy the retail products, especially TIGI, because I did not know how it worked. Better yet, I had no idea how to apply it. Solution— Maybe if the stylist was teaching as they applied the product to their client, and was showing the client what they were doing throughout the process, it would make more sense to want to recreate the look. Or even allowing the client to apply the product themselves and style, with the stylist available for help. Maybe this would provoke the client to want to purchase the product. Especially now that they know how to use it!
June 25th, 2008 at 12:24 pm
Dear Ariana,
We recently came up with an innovative program called Kemon TO GO.
We are testing it now and if it works, we will launch it.
The premise is based on consumers lack of information on why they should buy products at a salon/spa.
When I operated a discount retail store, I will never forget the customer who came in wanting a bottle of L’Oreal polish. I went and got the bottle requested. She asked how much it was and I told her $2.39. She then stated that Kmart across the street sold it for $1.99.
I asked her why she didn’t buy it at Kmart. She replied they were out of stock and then insinuated we should match the price. At the end I told the customer we weren’t in business to price match but provide value and service.
The moral of the story is this: A couple years later the store closed so I could focus on Nailco. I cannot tell you how many customers were upset that the store closed because they loved it so much; the same customers who bought polish for $1.99 at Kmart.
If they love your salon and want it to stay in business, the customer needs to know that retail is part of the program. Send me your email address and I will contact you once the program is launched.
June 25th, 2008 at 12:52 pm
Lory I just read what you wrote..lol We must have had similar experiances.. I’m with you on the idea. What a difference it would make.
June 25th, 2008 at 1:13 pm
The salon I used to work at had a great idea. Customers not wanting to pay the extra for the style at the end of their visit could style it themselves at a more private station in the back of the salon. The stylist reccomends what products to use and how to use them and more times than not, the clients would love what they used and want to buy it. Having it in their hands, knowing how to use it and using it themselves really helps sell the products!