103 Lets talk about the pricing of salon services.
The 3 P\u2019s \u2018Pricing, Productivity and Pay\u2019 are always interlinked and hot topics of interest no matter what size salon or where you live. Last month I hosted a room on Clubhouse with my guest Michael Cole, and the topic of conversation centred around the \u2018pricing of salon services\u2019. I think that it\u2019s an interesting episode that salon owners everywhere will enjoy. In this Episode: [0:00:43] An introduction to today\u2019s topic, pricing, and guest, Michael Cole. [0:02:18] A quote from Michael which sums up the business side of hairdressing.\xa0 [0:03:04] Extremes on both ends of the salon pricing scale.\xa0 [0:05:05] Debunking the misconception that hairdressers who charge the most generate the most revenue.\xa0 [0:07:29] The model that Michael has developed to help hairdressers deal with the awkward issue of pricing. [0:09:08] Where you can access the chart that Michael created which will help you with your pricing issues.\xa0 [0:11:28] How hairdressing pricing systems have changed over the years. [0:12:30] Michael explains how his pricing chart works.\xa0\xa0\xa0 [0:15:00] The ease at which you can figure out average household income, and the algorithm that will tell you what hairdressers should charge in that area.\xa0 [0:16:35] Metrics that Michael looks at to determine if a salon is using the right pricing structure.\xa0 [0:18:38] Elements, other than the dollar value of your time, that are vital to take into account when structuring your prices. [0:20:22] The rapidly emerging salon trends being driven by Generation Z.\xa0\xa0\xa0 [0:22:41] Examples of the amounts of money that Gen Z hairdressers are bringing in.\xa0 [0:23:52] Why Michael loves Gen Z\u2019s.\xa0\xa0 [0:26:44] A recap of the metrics that Michael thinks are most important for salons to track. [0:30:25] A phenomenon that Michael has noticed amongst Gen Z\u2019s.\xa0 [0:32:42] Two of the major issues that older, more traditional salon owners are experiencing.\xa0 [0:32:20] How Gen Z\u2019s interview their potential employers.\xa0\xa0\xa0 [0:35:07] Michael\u2019s desire to help salon owners, and some of the feedback that he has received.\xa0 [0:36:44] Michael\u2019s opinion of a peak demand system for salons.\xa0\xa0\xa0 [0:37:55] Why the internet is the most relevant business element in today\u2019s world.\xa0 [0:40:36] What Michael feels about hairdressers separating the cost of the product and the cost of the labour. [0:42:53] One of the biggest challenges that hairdressers face when working out what to charge clients.\xa0\xa0 [0:45:51] Charging for time versus charging for service; Michael weighs in.\xa0 [0:48:32] Why hairdressers need to let go of the traditional ways of running a salon.\xa0\xa0 [0:49:08] Where you can hear more about the charging-for-time model.\xa0 [0:50:19] The shared opinion that Michael and I have on the best way to let clients know about price adjustments. [0:55:12] What Michael has learned from interviewing young salon owners.\xa0 [0:57:36] New consciousness that exists in the hairdressing industry.\xa0 [01:02:10] Final thoughts from Michael and I about the importance of keeping an open mind. \xa0 Links and Resources: \xa0 Grow My Salon Business Club House @antonywhitaker\xa0 Instagram | Facebook \xa0 Michael Cole Instagram | Facebook