Recouping Color Profits
In partnership with: Vish
As salons, spas and barbershops reopen, the early forecast is that guests are excited to come in and demand is high. Safety and sanitation protocols firmly in place, professionals will stay busy helping guests repair DIY cuts and color, and covering extensive regrowth.
But is your organization ready to respond to profit-wrecking challenges and restrictions? One issue ISBN members can control is right-sizing hair color pricing. According to a new industry White Paper, it’s possible to offset increased product costs that come with those first wave of hair color services, then manage service pricing intentionally and objectively moving forward.
To explain the business threat and the solution, Vish CEO Josh Howard and team have put together a series of Back to Business resources, including the “Are You Prepared?” analysis of hair color product usage, costs and pricing strategies for the top three services in the salon:
- Color Retouch
“Adding a customized and customer-specific product charge is an easy story to tell now,” Howard says. “It’s an excellent time for ISBN members to make the transition to the Vish system and to an objective pricing strategy. You simply charge for the normal service and the actual incremental cost of the products. You weigh and they pay. It is not gouging, it is transparent.”
Protect Your Investment with Vish
To back up the strategy, Howard says Vish ran projections on actual product costs for the top three hair color services, scaled to reflect what extending the normal time in between visits by one, two or three additional months does to a salon’s out of pocket product costs per service.
For example, the typical cost for a Color Retouch service within the Vish salon network averages $11.20. Adding an additional month of regrowth increases the average cost to $15.68, and after three extra months, product costs to get the desired coverage and result balloons to $30.73.
“Using your pre-crisis pricing structure in a post-crisis environment is going to cost you,” is a key takeaway of the White Paper analysis.
To see the complete cost analysis and a forecast of extra color revenue with Vish, ISBN members can download the White Paper now and also take advantage of a limited time reopening offer of 50% savings on all hardware and setup fees. The hardware package includes the state-of-the-art, top performing and easy-to-clean and sanitize Vish Bluetooth scales.