Archive for September, 2009

Tiffany Proves Hairdressing is Global

Wednesday, September 30th, 2009

 

Whether someone speaks English or is born in the USA does not determine the talent an individual possesses.

One of the things that makes the USA great as it is is the fact that people from all over the world come to live and share their talents with others.

We see this with Olympic runners. We see this in pro hockey, baseball, soccer, golf and numerous other sports.

We see this in hospitals, doctor offices, emergency rooms. We see this in universities, high schools, special education schools.

We see this in signature restaurants, diners, coneys and pizza joints.

We see this in supermarkets, produce markets, and specialty markets.

And we see this in hairdressing. In the past two years, we have seen what the Italians have done with Kemon both artistically and technologically. We marvel at it but more importantly, we learn from it. It’s no coincidence that the last two of three winners for Hairdresser of the Year have been Kemon Artistic Coaches and the other winner a Kemon hairdresser.

This year, Irina Miasnikova, owner of Pigalle Salon & Med Spa in Southfield, MI took the honors. Irina came to the USA in 1995 and when she was asked by one of the judges what inspired her to create the looks on stage, Irina simply replied, "It came from the heart."

Last year Tomy Lulgjuraj from 6 Salon won. He brought his little girl on stage. The year before Denisa Cita from BonCiDello Salon & Spa won. She was proud as a peacock.

I have always stated that Michigan has the best hairdressers and can compete with any state. The reason is simple, when it comes to hairdressing, Michigan is global.

So yes, it makes the competition more competitive. You think the Red Wings bring in the Swedes to lose games? But what I have witnessed watching the Artistic Team in motion at other salons is this sense of learning, excitement and fascination that I haven’t seen in a long time.

There are those that have something to say about the globalization of hairdressing or that the contest is rigged for Kemon people. The facts speak for themselves and the judges don’t know one finalist from another. It’s purely talent based and like any competitive event, the one with the most talent wins.

The crowd of over 700 loved the event and its cause to support the American Cancer Society. It was a proud moment indeed.

For 2010, changes are in place already to reduce the noise level, shorten the show, and heighten the competitive juices: Hairdressers using any brand will be able to enter the fray.

But for the next few months, it’s Irina’s time to bask in the glory. It is well deserved.

Happy Wednesday!

 

 

If VIA Sells, Anything is Possible

Thursday, September 24th, 2009

 

You got to hand it to Howard Schultz: He will try anything. Proof positive is the launch of his new VIA.

What is VIA you ask? It’s innovative, it’s tasty, it’s expensive and it’s something you shake your head and ask yourself, "Are you kidding me?"

VIA is instant coffee packed in a little tiny package about the size of a green bean. Each package makes one 8-oz. cup of Starbuck’s coffee. Oh, you can buy a 12-pack for about $10, or about 80 cents a piece.

Who is going to spend 80 cents for a cup of coffee that one: You have to have boiling water available and two: You have to have a cup available and three: You have to have something to stir the coffee available?

Schultz thinks millions will. I tried VIA and surprisingly so, it tasted like fresh-brewed coffee.

Coffee pods have become big business and sell for about the same price. However, you need a pod maker to make pod coffee. With VIA, you only need boiling water. So I thought about the instances that I would use VIA instead of my coffee maker or my visit to Starbucks:

Hiking and camping: Perhaps 3 VIA’s in the next 20 years

Airplane: Delta still offers boiling water for free

Stuck in a place with no Starbucks: Impossible

McDonald’s: Just to prove that VIA is better than their fresh brewed coffee

I hope VIA is a success. If consumers are willing to pay 80 cents a pop, then I’m thinking the re-invention of shampoo, conditioner, hand lotion and other packets is a must. Consumers surely want to use the same products when they travel as they do at home. And packets are TSA safe, convenient just like VIA. And at 80 cents each, affordable.

In fact, I am envisioning a whole slew of packet ideas. We already love them for ketchup, mustard, wet naps, sweeteners, and make-up removers. I’m sure Hershey will offer chocolate packets (better tasting than GOO). And how about Charmin packets? I have a lot of work to do because I can see modern civilization turning into a packet society. China, India, Vietnam will demand packets.

OK, I got to go and write all this stuff down. In the meantime, let me know how VIA sells Howard.

Happy Thursday!

More Pain in Losing or Fun in Winning?

Wednesday, September 23rd, 2009

 

We love winning yet we despise losing. The U-M vs MSU game is October 3. We are going out with another couple that night. The BUB says to me "Are you sure you want to go out in case your team loses?"

She’s right. Driving back from East Lansing with a victory, we want to listen to the game wrap up, what the coaches have to say, what the players have to say, and what the heck, what the advertisers have to say. We are happy and have bragging rights.

But driving back from East Lansing with a loss, the radio is not only turned off, but barely functioning. Silence permeates the car like a funeral home. Knowing that conversations will be going on about the loss for the next few days is intolerable. Worse, the thought of the loss lasts much longer than the thought of a win.

David Adler in his latest book, Snap Judgment, has finally answered the question for us and why and what we can do about it. According to Adler, losing is at least twice as painful as the feeling of winning. When it comes to MSU, I think it’s more like four times as painful.

Adler lists several examples that we can relate to. For instance, gamblers expect to win but when they lose, they get much more upset than if they won. More so, they tend to bet higher stakes to get back to break even and since that seldom occurs, they get even more upset.

Same thing goes for stock picking. We buy a stock expecting it to go up. When it goes down, we tend to buy more to get back to even. Again, this seldom works and once again, we are much more upset losing money on the stock versus making the profit we planned on.

The best example I enjoyed was the one credit card companies use based on the fear of losing. They cleverly include a minimum balance that needs to be paid each month. The minimum balance is a tiny percentage of the amount due. However, virtually all credit card payments made are the minimum balance. Why? Because credit card holders don’t want to risk losing the card but they see not enough upside to pay more. Hence, if you owe $10,000 on a credit card and pay the minimum balance, at a 15% interest rate, it will take 27 years to pay it off. Adler’s solution to this is to simply manage your finances and not use credit cards if you can’t pay them off or beat them at their own game by taking their miles and paying them zero interest.

There is one thing I know for sure after all this: MSU best whip Wisconsin’s butt this Saturday because I really want to enjoy Kemon Nights later on.

Happy Wednesday!

 

The State of the Indoor Tanning Industry

Tuesday, September 22nd, 2009

 

People ask me all the time how indoor tanning salons stay in business. And I give them the same answer: the same way Las Vegas stays in business.

We have been doing business with indoor tanning salons since 1990. While the industry continues to shrink, there are still some 15,000 salons in the U.S.

The manufacturer of Designer Skin, Australian Gold, Swedish Beauty, and California Tan among other brands is the dominant leader with more than a 80% market share. And they want more.

With the "E" word on everyone’s minds, business has been slower than usual. Chains have the capital to ride out the storm but 1-3 store operations are facing a difficult decision: Put more money into the business and ride out the storm or toss the keys to the landlord and walk away.

As in every industry, smart entrepreneurs are stepping in, taking risks, and making it happen. But for those that have seen their annual revenues drop more than expected, what’s the right decision for them to make?

Once again, I will use my social network to get some answers. I know many that tan regularly and I’m most interested in hearing from tanners, ex-tanners or those thinking about tanning.

We have our annual Beach Party coming up November 21 so this will be good conversation for the hundreds of tanning salon owners that show up. Anything that can help is worthwhile.

And in case you are wondering about 2010 new products, look no further than Designer Skin’s new price buster at $117.00 a pop. If you would like to pre-order a dozen or two, let me know!

Happy Tuesday!

 

Are You Ready For Fall?

Monday, September 21st, 2009

 

Today is officially the last day of summer 2009. As most of us know, the day after Labor Day is typically the last day of summer in Michigan. Magically the air changes, warm days don’t feel as warm as the days shorten.

Coming off one of the worst winters and coldest summers (the experts state summer was 2 degrees cooler than normal and not one 90 degree or higher day in July), are you ready for Fall and the dreaded season that follows?

For TNG, Fall is the busy season. This weekend alone we have our Annual Supplier’s Summit, Tiffany featuring Kemon Nights and our Manicure/Pedicure Summit.

It’s also the time of the year that we finalize new products and begin production of thebeautybook. We also strategize for the upcoming year and finalize budgets, trade shows, events, and marketing campaigns.

Salons are typically busier this time of the year as well. Routines kick back into gear as school is back in session and women pay a more attention to themselves instead of their kids or gardens.

Short of visiting cider mills and watching the leaves change color, are you ready for Fall? Are you ready for shorter days and longer nights? Are you ready for DST change November 1? Are you ready for more snow and ice if you live in cold weather climates?

Are you ready for Halloween, Thanksgiving and then zooming into Winter with Christmas and New Years? Are you ready for 2010 as long as we are talking about being ready?

Seriously, I thought the Spartans were ready for Fall. The Lions are thinking about Fall 2015 or when Ford finally sells the team to a winner. One thing is for sure, the NFL knows Fall better than anyone else. You got to love their marketing strategy, letting fans knowing what week they are watching. Amazing.

Fall is a great time of year. And I’m ready for it. It’s just that blasted season that follows that ruins it for most.

Happy Monday!

What Ever Happened to Etiquette?

Friday, September 18th, 2009

 

Way back when, etiquette meant something. When I was 15 years old working in the hardware store, I addressed male customers "may I help you sir" and female customers "may I help you ma’am." After the sale, I would say "thank you for shopping with us."

Way back when, sitting at the dining room table and you wanted a plate passed, you said, "can you please pass the plate?" And when the plate was passed, you said "thank you."

Way back when, a birthday gift came from Grandma in another state, the recipient wrote a thank you card and mailed it to Grandma. Or at the very least, gave Grandma a call.

The advent of email, e-cards and texting has virtually killed the etiquette industry. The advent of social networks such as Facebook and Twitter has virtually killed the etiquette industry.

Most of us live in a "take it for granted" world where everything they get is "deserved" and proper etiquette is not required. The only thing I can relate to is that nothing is deserved.

Point. We give away Disney and Vegas trips to talent who have been with us 10 years. Four days, air, hotel and entertainment all expenses paid is quite the incentive. However, most barely send a thank you card. That is why when I received not only a thank you card from a talent in California and two Disney pens (one for me and one for the BUB), I was elated. They had the trip of their life and even sent over Disney photos for us to look at.

Point. We give away MSU tickets. Last week two talent went to the game after winning a contest. Did I hear from either talent after the game how their seats were, how they spent the spending money or how their experience was? No.

Point is, most of us are ignorant of etiquette and see nothing in its value. How sad for them. Because in the end, it is more fun to give than receive. And for those that give, they only give once to those that don’t express their thanks.

With the recent outbursts from the likes of politician Joe Wilson, tennis players, Grammy losers and such, we are at a new low. When this trend turns around is anyone’s guess. Until then, expect less.

Happy Friday!

Al Gore, SAP & the North Pole Ice Cap

Thursday, September 17th, 2009

 

I just returned from the SAP World Tour held in Chicago at the Marriott. The event was sold out and it appeared that everyone came to listen to Al Gore and eat a free lunch (they ran out of the boxed lunches).

SAP’s USA President spoke before Gore and I arrived 15 minutes after the session started. I was told the ballroom was full and they pointed me to another "viewing" room where they had a projector set up so you can see the same thing as if you were in the ballroom.

After five minutes, I decided as a guest panelist at the event, I should see the event live. The "guard" let me in after I told her I came from Alaska. And what did I see? Five huge screens and the SAP President.

After listening for nearly 30 minutes, it was clear that SAP is the global leader in business software and I was happy we made the decision to be part of the SAP family.

Al Gore came on next and after writing a book, doing a movie and speaking a thousand times since he left the White House, this Al Gore was nothing like the one we remember. This one is pocketing $100K for an hour, has polished hair more so than my nails and is more confident that Obama talking about health care.

But alas, Gore is and always will be a politician. After an hour of listening to him, you are ready to run for the hills and find a nice secluded cave. This way you can avoid all the fires, floods, draughts and other things mother nature has in store for us due to global warming.

Gore told us he was going to only spend a couple minutes on the subject. HA! His key point was that the North Pole Ice Cap has lasted 300 million years (nearly as long as politicians) but at the recent pace, will be gone in the next five. That will produce tremendous issues for the planet.

In his effort to tie his message into SAP, he stated that business leaders are the ones that are going to have to forego short term profits for long term results. He mentioned Frito-Lay as a company on the leading edge of "green." (I am confident his previous speech was to church leaders and he told them that church officials are going to have to lead the way).

In the end, Vice President Gore got applause, but not a standing ovation. He’s having way too much fun and making way too much money to care.

Happy Thursday!

Life in the Hampton’s: Food Rules

Monday, September 14th, 2009

 

Everything you thought about when it comes to the Hampton’s is true. And then some.

Yes, there are huge estates. If you can believe, there is even one estate that stands at 100,000 sq. ft. There are many estates but you can’t see them because the overgrown trees hide them well.

Yes, there is the beach. The Atlantic is alive and well and offers miles and miles of beachfront for those that can afford it.

Yes, there are the farms. More farms that you can imagine each providing amazing produce and scenery.

Yes, there are the quaint towns. Little shops, big shops, little restaurants, big restaurants with plenty of outdoor relaxation.

But more than anything, there are the markets. Not markets like we know them such as Kroger, Whole Foods, or Meijer (yes, there is one really big store called King Kullen that has more inventory than 3 Kroger’s combined).

The markets range in size from a two car garage and upwards. Based on my best calculations, here are the types of markets available:

1. Cheese

2. Wine

3. Fish and meat

4. Prepared meals

5. Appetizer

6. Dessert

7. Bread

8. Produce (farm stands in season)

Now mind you, most markets sell more than a single category. But if you demand the absolute best, you can actually visit 8 different types of markets to complete your shopping list. And more amazing is the fact that these markets are all within a few miles of each other AND that there are multiple markets for each category.

Needless to say, competition is fierce. So you may ask, what makes one market better than another? The best thoughts I can come up with include: environment, quality, freshness, taste, uniqueness, relationship, variety, consistency.

One thought was not included in the list: Price. If the market excels in the other categories, price doesn’t matter. Sure you can’t charge $10 for a loaf of bread but if you charge $5, $6 or $7, it doesn’t make a difference.

What do you think the markets would look like if price was #1 or #2?

There wouldn’t be any markets. You would have Kroger, Meijer and other chains.

Personally, I love the markets. They are owned by people like you and me, not corporate America. They care about their business and their customers. They provide a service that people want.

In a way, independent salons are not that different than independent markets. Competition is still fierce, but when you factor out price, passion blooms.

Now how about a slice of warm homemade blueberry pie with a scoop of homemade vanilla bean ice cream with a homemade chocolate brownie on the side? Yum!

Happy Monday!

Spectators Don’t Succumb to Economy

Wednesday, September 9th, 2009

 

East Lansing was a sea of green last Saturday. Ann Arbor was a sea of red (oops, I meant blue) last Saturday. Last Saturday kicked off the start of the college football season.

For the first time since 1990, Spartan Stadium sold out. 75,000 screaming fans and students. The "Big House" held more than 110,000 screaming fans and students eager to finally see their team win a game.

While I was sitting in the stands, I asked myself, "Are we in Michigan or Kansas?" After all, nearly 200,000 fans paying upwards of $200 a ticket plus in an economy that is the worst in the country.

DTE Music Theater is still the #1 outdoor concert venue in the USA. Kid Rock sold out both his shows at Comerica Park. Fact is, forget the economy, spectators love their tickets.

So I was thinking about this and how we can take advantage of this phenomenon. One idea was to offer a discount for any ticket brought into the salon. The salon can then create a "ticket wall" to show off all the tickets collected.

Another idea came up after reading the article in the WSJ about home barbering. As silly as this might sound, what about salons offering the public "spectator" tickets to watch another stylist in action? Or what about charging a fee and teaching the public how to cut hair at home? It reminds me of restaurants handing out recipes to cook the same stuff at home. The more exposure, the more business.

Yet another idea was to create an in-salon special for game day widows. The staff can wear collegiate shirts and add a few posters and pom-poms, and you’re ready to go.

While in the stands, the Michigan State bookstore advertised their logo goods and the one fact that stood out from the ad was that they carried more than 900 different Spartan items. Can you imagine?

Football is big. It’s time to huddle and score.

Happy Wednesday!

WSJ: Home Barbering Grows in Recession, With Hairy Results

Tuesday, September 8th, 2009

 

The following article was published by the Wall Street Journal August 31, 2009. You will note sales of Wahl clippers up 11% this year. Since our sales are flat to salons, take a guess where consumers are buying them? If you guessed Sally Beauty and ULTA, you are probably right. And Sally Beauty who also owns BSG and Cosmoprof stores are laughing all the way to the bank. I wonder how many professional stylists buy at Sally, BSG and ULTA?

By MARY PILON

Jane Angelich used to joke about her husband, Mark, going bald. Then with one faulty flick of the wrist, she made it happen.

Mr. Angelich had begun cutting his own hair to save money. His wife offered to trim a spot in the back he couldn’t reach. So she picked up an electric razor, "put a little too much oomph into it," and carved out a "giant chunk" of hair. The fix: She shaved his entire head.

The downturn has created a nation of cost, and hair- cutters. To help pare their budgets, more Americans are bypassing the salon and opting to lop off their own locks. The results, can be shear disaster — clogged drains, fresh cowlicks and crooked trims.

video

Flowbee Gone Wild

1:41

Watch excerpts from Micah Wojnowski’s YouTube demonstration of a flowbee home haircut gone bad.

"It may look easy, but it’s not," says Gordon Miller, executive director for the National Cosmetology Association, which represents more than 10,000 U.S. salons. He says that middle- and high-end shops are feeling the pinch, as consumers come in less frequently or go to lower-priced salons. In a January poll of 600 salons, about 72% said they have seen a dropoff in customer spending.

Regis Corp. just reported its first negative annual same-store sales in the company’s 87-year history. Regis, which operates big salon brands such as Vidal Sassoon and Supercuts, expects to see more shrinkage in the next year, as opposed to the usual 2% growth. "We generally do okay during recessions," says Chairman and CEO Paul Finkelstein. The drop in business this time around is "different than anything I’ve ever experienced." (Please see related article).

The aptly named George Trimm, a 22-year-old graphic designer in Dana Point, Calif., has scissored his hair more than 20 times in the past year. He started a "I Cut My Own Hair" Facebook group shortly after his first trim, and it is now 145 members strong. "Hair is a work of art," he says. "No one has mastered cutting it but me."

One commenter offers her secret for cutting long hair. "Make sure your hair is straight," reads her post. "Then use a striped sweater, match all the hair to one of the stripes in the front and cut. It will layer very nicely in the back."

Saving time and money are the chief benefits of the do-it-yourself ‘do, says Mr. Trimm. His "multimillion-dollar secret" is placing a towel over the sink to catch hair clippings, thus ensuring an easy clean up and preventing drain clogs.

[Home Barbering Grows in Recession] Pat Wilson

Owen Watson, 4, receives what his parents call a recession haircut this summer in St. Paul, Minn. Nicole Watson purchased electric clippers and set up shop on the family’s back porch.

Heather Barmore of Albany, N.Y., who used to spend $200 a month on hair cuts and various hair treatments, takes a different approach when shearing her curly locks: "I keep the Drano around."

Sales of electric hair clippers expanded as the U.S. economy contracted. Wahl Clipper Corp., which claims over half the consumer market, said sales of hair clippers rose 10% in 2008 and are projected to rise 11% in 2009. Normally, the clipper category moves only a percentage point or two, up or down each year, says Pat Anello, Wahl’s director of marketing.

Last month, Nicole and Pat Watson gave their two four-year-old twins "recession haircuts." Mrs. Watson purchased electric clippers and set up shop on the back porch, saving the St. Paul, Minn. couple the $25 they would normally drop every couple of weeks for the twins’ trims.

Friends and neighbors watched as Owen and William took turns wiggling through their cuts. At one point, Mrs. Watson, who works at an art gallery, says one of the twins asked, "Are you sure you know what you’re doing?" She said she did.

Other self-styled stylists are turning to devices like the RoboCut and the Flowbee, which combine vacuum suction and electric scissors. The RoboCut, priced at $44.99, has seen an uptick in sales since the recession began, according to RoboCut founder Alfred Natrasevschi, but he wouldn’t say how much.

[ Hair Clippers]

The Flowbee System goes for between $69.99 and $99.99. Micah Wojnowski started using one to save money two summers ago while between jobs. After two successful self-cuts, he made a "tic-tac-toe" board in the back of a friend’s head after an attachment to the clipper kept slipping. Flowbee declined to comment.

Mr. Wojnowski posted the videotaped mishap on YouTube and overnight received over 25,000 views and hundreds of comments from angry Flowbee fans, he says. Most of them criticized the angle at which he approached his friend’s head. Mr. Wojnowski now spends $50 a month at a San Diego salon.

Meanwhile, a mini-industry has sprouted up in salons: fixing botched at-home cuts.

John Barrett has had many clients who take matters into their own hands, achieve miserable results — then quickly return for some tress relief.

"I’ve seen women come in, crying hysterically," over things like too-shorn bangs, he says. "It’s a big deal." Sometimes, the scene at his eponymous salon, located on the penthouse level at Bergdorf Goodman on New York City’s Fifth Avenue, can resemble an emergency room: Clients with hair-dye hazards, wrecked layers, and visible signs of emotional distress. "It’s a psychological disaster," says Mr. Barrett, who caters to socialites and "America’s Next Top Model" contestants.

A few blocks away, at the Minardi Salon, co-owner Carmine Minardi warns against the "at-home" method. "We get a lot of people who screw up their hair," he says. He estimates that roughly a third of all business now consists of "corrective" styling. There is no mercy reflected in the bill, which dings clients as much as 50% more for a corrective color than a regular dye job.

In Idaho Falls, Idaho, Melodie McBride’s salon handles three or four repair jobs a week. One client "looked like his head had been through a thrasher," she says. Another man came in with an eyebrow that had been mistakenly shaved off.

The salon, called Lifes Balance, recently slashed eight inches of hair off a teary-eyed 18-year-old client’s head after the teen’s own creative attempts backfired. Huge chunks were missing, Ms. McBride says.

Some areas, such as the back of the head, can be particularly treacherous for amateurs to navigate, notes "Haircutting For Dummies" author Jeryl Spear. "If you could just take your head off and put it in your lap, you’d be OK cutting the back on your own," she says.

As for Mark Angelich, he has kept his head shaved since his wife’s slip-up. "He’s still got a mustache," Mrs. Angelich says. "But he’s not letting me anywhere near it."

Happy Tuesday!


CND Shellac Summer Splash Collection