2 mins
HJ VOICENOTES
Salon business owner Benjamin Shipman believes now is the time to make sure your business is working at full tilt
BENJAMIN SHIPMAN
"COULD THE GOVERNMENT DO MORE? OF COURSE, BUT I LIKE TO FOCUS ON THINGS WE CAN CONTROL LIKE NEW GUESTS, LOYALTY AND MAKING SURE OUR STAFF ARE FIRING ON ALL CYLINDERS”
As a business owner, I found the Autumn Budget completely off-balance and personally I can’t see how it will stimulate the economy. The 1.2% increase in employers’ National Insurance and changes to the threshold just add more hoops for salons to jump through when trying to bring new talent on board.
There are consumer knock-on effects to take into account too. The £40 billion tax hike will impact consumer confidence, just as many salons were finally seeing clients return to a 6–8-week appointment cycle. Now, I wouldn’t be surprised if we go back to a more cautious 8–12 weeks – or, in some cases, lose clients over the next year. Salons will need to step up their game to attract new guests.
Have you been resting on your laurels and banking on footfall? Or have you been proactive in attracting new clients? If you don’t get them, another salon will. At The Hair Movement, each of our salons has a different demographic of clientele. I’ll often look at all the heads of hair walking past and think “why aren’t they coming in here?” I ask myself: Are we using all the platforms and technology to get our name out there? Is our website updated regularly, are we using Google ads? The vast majority of salons focus on creative shots on Instagram. But when it comes to driving local business I still believe in Google, because it’s capturing someone who is actively searching, not browsing. Are my reviews up to date? Am I using salon software that is really helping me maximise on every single guest interaction and turning that positive experience into an opportunity for a guest referral? Covid-19 brought one positive in our industry, we became more engaged with salon software. Now we need to use the tools wisely.
The other area we have control over is pricing. Most stylists undervalue their work, and they raise prices apologetically. If you’ve got a fully booked column, it’s time to raise your prices. I had an electrician come to do some work, he was here for 30 minutes and he charged £100. I had no reason to argue. He came, I told him the issue and he’d fixed it within 30 minutes. He didn’t justify his price, I was paying for his years of training. Education will be key in 2025. We have to learn new skills, that’s what will set you apart. When we see our work as a craft, then we don't need to justify our prices.
It’s a fallacy that in times of financial difficulty, consumers sacrifice luxuries. If loyalty is there, clients will make it work whether that’s by stretching appointments or choosing a different service. On the flipside if you have been correctly raising your prices annually, but Ms Jones decides to come in less regularly, you now have slots available for new clients who might spend more…
Could the government do more? Of course, but I like to focus on things that we can control like new guests, loyalty and making sure our staff are firing on all cylinders. The economy goes in cycles. The 2008 financial crash hurt salons, but the businesses that got through it became stronger.