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Better Business
August 1, 2007 By: American Salon Staff American SalonSpencer Malay, owner of Spencer Malay Hair in Atlanta, GA, is the first salon to use WeatherBill to protect its bottom line. The salon depends on the overflow foot traffic it receives, especially on weekends, from the adjacent shops, restaurants and cinema. But Malay receives about five to 10 fewer walk-in clients on sunny days when people tend to spend the day outdoors rather than inside at the movies or shopping. "Those clients could have resulted in several thousand dollars for the salon over time, so I knew I had to find a solution in order to keep growing the business," Malay says. WeatherBill was just the right fix because he could buy coverage weekend by weekend, depending on the forecast, at a price point suitable for his small business.
Malay worked with the company to put together a customized contract that matched his weather risk. His first contract was for a hot, sunny weekend in April, and Malay received $10,000 from WeatherBill. He now plans to buy contracts for a couple of weekends each month. "It makes my revenue, growth and client base more predictable because I'm no longer at the mercy of the weather," he says. "If it's a nice day and I don't get any walk-ins, I'm not losing money by having employees on staff." weatherbill.com —C.W.
SIGNATURE SERVICE
Clients at Adolf Biecker Spa/Salon's two locations in Philadelphia can add a luxurious and sanitary paraffin service to their manicures, pedicures, massages and facials for a small charge. Clients slide their hands and feet into disposable, steam-heated plastic gloves and booties by Spa Revolutions covered in terry cloth and filled with warm paraffin and essential oils. sparevolutions.com —C.W.
Secrets of Success
Ever wonder what makes successful people tick? Award-winning interviewer Bill Boggs decided to find out. For Got What it Takes? Successful People Reveal How They Made It to the Top (HarperCollins, 2007), he spoke to 44 individuals who are at the top of their game, including beauty industry high-achievers Frédéric Fekkai and Bobbi Brown. They speak frankly about their careers and offer practical advice for how you can succeed in your professional life. —C.W.
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FIGHTING STAFF TURNOVER
One of the leading reasons salons struggle or fail is staff turnover. Turnover makes it difficult to retain clients, maintain business growth and foster a professional and positive salon environment. But by implementing the following simple preventive measures, salon owners can successfully combat the problem.
1 Develop a comprehensive staff development program. Seek applicants who share your vision and make employee training a high priority. When you help your hairdressers gain confidence and increase their skills so they can charge more for their services, you'll earn their loyalty and long-term service.
2 Develop an employee handbook that outlines expectations and defines how performance will be measured.
3 Consider implementing work and noncompete agreements to protect your business' interests. Include a customer confidentiality agreement that states that all customers' contact information is the property of your salon. Be sure to have a labor law attorney review your agreement.
4 Build customer loyalty to your salon. Make customer service a priority and be sure that your promotional efforts reinforce the reputation of your salon, not of individual hairdressers.
5 Develop strong leadership skills. Promote honesty and a strong code of ethics; provide praise, incentives and bonuses; and regularly raise your prices to reward stylists for their hard work.
6 Create a fun, positive and professional environment so stylists won't be easily lured away by a new salon.
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