If you are interested in creating more client appointments, and building loyalty that creates more opportunities to sell, upsell and cross-sell then this is the right post for you.
What is a subscription business for your hair salon?
In a nutshell, a subscription business will offer your hair clients a personalised, and lower-cost way to buy your hairdressing services on a recurring basis. This also helps to turn not-so-frequently visited clients into repeat, frequent, and often lifelong clients. With such predictable recurring income coming in, you can accurately forecast your hair salon business’s future growth and scale.
Here are the top 5 benefits to adding a subscription service to your hair and beauty salon business.
- Predictable revenue streams
- More cash on hand
- Less money is spent on salon advertising to gain new hair clients
- Increased loyalty
- Easier and more effortless ways to upsell and cross sell your services and hair products.
How to choose the right subscription business model for your hair salon business
There are several subscription options you can consider for your business. Here are 3 main ones that might be suitable for your hair salon clients.
- Curation, or in simpler terms subscription boxes
This can work really well within the beauty industry, hence might work well for your hair salon. The idea to creating a subscription box for your customers is to surprise and delight them by providing them with new items and a highly personalised experience.
The Benefits include high-profit potential, as you can charge anywhere from £20 to £100 a month and promote the discovery of new hair products. This model can quickly add up to a profitable business segment within your hair salon services.
The risks though involve a high turnaround of customers, as often such subscription services attract novelty and curiosity which can easily expire. Hence the constant need to seek new subscribers.
2. Replenishment subscriptions will allow your clients to purchase essential items often at a discount. Hair products such as shampoos, razors, and other everyday beauty items, but also hair services are a good fit for this subscription model.
The main benefit inclines higher conversion rates and high retention rates. If you get this right, 65% of customers who consider such a service will subscribe and retain the membership for at least one year.
The risk is thin margins. This type of subscription service competes often on price and offers generous discounts. This means you need to keep the costs very low and operate on the scale.
3. Access business Model (my personal favorite for hair salon businesses)
Access subscribers will pay monthly fees to obtain lower and members-only perks. This type of service will primarily offer exclusivity to your customers.
The main benefit includes greater value to your customers and clients.
Opportunity to bundle up your services and products.
Let your creative imagination grow with exclusive offerings that can be as wide-ranging as you decide to be.
The risk is a greater time investment. This is when you need to be aware of your management skills and the ability to organise your membership offerings. It needs to be robust and maintained regularly.
How to make your subscription services work for your hair salon business, here are 7 tips
- Think about your hair services and product viability
- Be clear about your salon business goal (don’t just start it because you are bored of existing marketing efforts)
- Consider the pricing carefully. Judge it right to start with
- Invest in personalised services and care
- Prioritise client retention strategy
- Diversify your salon marketing tactics and strategy
- Monitor client turnaround
How to build your subscription services for your hair salon, here are 5 tips to follow
- Decide which subscription is the right one for your hair salon business
- Select subscription services and products for your customers
- Price up your subscription options
- Build your subscription beauty salon website or add a subscription section to the existing hair salon website
- Start marketing your new subscription business addition for your hair salon
Check out our free resource articles for more income-generating ideas for your salon business, salon management, and team management.
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Tamara Forrest-Smith from