The Cosmetology Industry has exploded with new product, new technique and new designer names highlighted in the finest salons and spas across the country yet, the individual beauty professional is still struggling to make ends meet. What has created this wealth gap?

Its a very interesting problem. There are several reasons beginning with the Beauty School system where technique is taught but business skills are deferred to the “on the job training” approach.  That is a subject for another article. Today I would like to discuss the second reason which is rooted deeply in the commission or salary model of most major aps and salons.  The Salon pays commission or salary to the beauty professionals therefore the professional takes all direction from the salon owner or manager and is not accountable for their own financial growth and development as a business professional. In most cases the salon will then manage the working relationship with the client rather than create a client – beauty professional relationship. In that case, the salon owners don’t disclose the fact that they “own” the client, truly own them, and the beauty professional doesn’t realize how this impacts their long term career. Today, they work in a nice place on a good commission.  The difficulty occurs when the beauty professional matures their skill and business sense. The better you get at your craft, the less you want to be “Owned”.

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The industry is going to have to change as the majority of the country’s beauty professionals realize that the beauty professional will  need to manage his or her clients personally for a profitable financial future. 

Those working in NYC and LA for Tony & Guy and Paul Mitchell, they’re into prestege and the atmosphere is completely different than the rest of the country.  For the rest of the country client time and revenue management will be the waive of the future for the individual beauty professional who wants to take any business and marketing knowledge and talent they have and convert that into additional profit from their unique technical talents.  

Currently, a beauty professional can certainly ask each client they see for their business card and maintain that data in an automated fashion, creating a client profile in their own personalized software.  This will allow then to reach out to the clients for many things such as sending some small gifts and information on any special products/pricing in order to entice additional appointments or a newsletter to inform of new trends or even personal profile type issues which you would generally want the clients to be aware of.  These items create a bond between client and professional and will enhance personal loyalty as well as create additional revenue long term.  

The salon and spa owner today may not be in favor of this style of effort.  In reality, this is a great positive for the salon and spa owner.  The more mature a business professional they have working in their salon or spa, the more business in created in their environment, the happier the team will be.  Happy professionals+ happy clients = successful salons and spas.  The economics do not lie.  Sharing the wealth of a $60 Billion industry with all involved can only enhance the results.