Colour is a known profit-eater, but salons across the globe have transformed their colour departments into profit-makers using new technology that slides seamlessly into day-to-day business. Vish chief innovation officer, Timothy Howard, explains how these salons are discovering new revenue and investing in growth.
Hi Tim, what are potential ‘new revenue streams’ for salons?
There tends to be ambiguity when it comes to billing clients for colour. A salon may have a policy of charging for extra bowls of colour, but too often those additional charges never make it to the bill. The stylist may genuinely forget to tell the front desk or perhaps they couldn’t face the awkward conversation with their clients about the cost when only a fraction of colour was used. Those missed services eat away at profits.
The key is to automate the charge through technology, taking the onus away from the stylist. When a colour department has Vish, all additional bowls are captured every time, as are expensive toners and conditioning treatments, protecting profit margins. Some of our partner salons are generating thousands of pounds monthly on the extra colour used, which was previously absorbed.
So, the Vish scale automatically triggers these charges. Does that mean they’re capturing extra services?
Yes. With Vish in place, salons are able to track all colour dispensed and, within the first 30 days, they are seeing up to 15% more services being charged for. These are services that used to go under the radar, were unpaid for– like add-on toners– or when the client decides to go for a full head of highlights rather than the half head booked. The Vish scale and app track all colour used, and send the information automatically to the front desk app, showing all charges. Any ambiguity ends. If salons have a policy of charging for additional colour, then they can do it easily. We’ve seen some salons go from doing 40-plus toners a day and charging for only two to charging for every toner applied.
That’s life-changing for salons. What have salons been doing with that extra revenue?
We continue to see some incredible success stories, but one of my personal favourites is a salon owner in America, Hope White. She’s been with us since the beginning and her savings and extra revenue enabled her to set up retirement benefits for her staff and open a second and third location. We aren’t talking about small amounts; this new revenue has been an absolute game-changer for her salon business. There are more stories just like this that we’re so lucky to have been a part of.
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