We recently explored many different ways to increase our salon income by increasing the things that we retail on our "Why are You Leaving Money on the Table?" Club SuperStar Monthly Mentoring Call. Most of the call was focused on things outside of traditional 'hair care' items. Shampoos, conditioners and styling products are what you usually think of when you hear about 'retailing'. While there's nothing wrong with retailing those items, as we discussed, especially within the Black community, we don't shampoo or take care of our hair at home as much as other nationalities (it gives us a higher client visit ratio). But we do LOVE to buy lots of things!
What my Grandmother called "play-pretty's" - shiny, sparkly, dangly jewelry is universally exciting to women across the country and around the world. And guess what!?! While the average mark-up on hair care products is 100%, meaning if you buy a shampoo for $6.00 the retail price you would sell it for would be $12.00. You would make an additional $6.00 in gross profit, before deducting any other expenses such as commissions paid to others, shrinkage (covering one's that disappear:), shipping, discounts or any other costs associated with selling it. Not bad!
When you compare that with the mark-up on jewelry (and make-up and other high profit items) it's a no-brainer. The mark-up on jewelry may be 300% and up! Example: You buy a necklace at a wholesale price of $10.00, the retail price may be $30, $40 or more. Of course with this kind of mark-up, you have a little more flexibility to put them on sale, if they don't move quickly enough.
But if your clients are anything like ours at Fabulous Finishes, we could barely get in the door before just about everything we bought was SOLD OUT! Clients would place orders in advance, some would want to be notified in advance when things would arrive, so that they could get first pick! It's something that you don't have to 'sell', so if you're a little uneasy with your 'sales skills' this may be the perfect way to get started 'taking some of that money off the table' and starting to put it into your pocket!
There's a well documented trend, that when times 'get tough', people tend to focus on 'small luxuries' - those things that make them feel special, indulged, 'tickled', even! So, why not bring in a little 'bling' help your clients feel better!
Next time we’ll take a look at the many faces of the 'FEAR Monster' and how it keeps us from selling!
Keep reaching for the 'Stars,
Miki Wright, Salon Business Coach
http://www.beautysuperstars.com/
"When Beauty is your Business...
"Join me on my www.Facebook.com/MikiWright profile and fan page and if you www.Twitter.com/MikiWright, follow me, so I can follow you!
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