Welcome to the January edition of my Business Tips!
Read on to find out why it’s important to focus on profit not just income, why you should embrace change, some of my new online education offerings, celebrating 20 years and much more!
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Focus on profit not just income
Setting salon goals and individual goals for each person each week, should always be a key business focus. If you don’t have a clear focus and expectations, I guarantee your results will be below what should be achieving.
There is a great saying focus =20% If you want a better result, you won’t get it by “just hoping”. You need to plan and communicate with the team. Each team member needs to understand their own goal and the importance of a positive contribution to the team.
Equally as important is control and awareness of costs. As a coach, this is an area that I see many business owners do not have a clear understanding of and as such the profit after all costs have been paid out, is well below what they expect.
The beginning of a new year is a great time to focus on looking at this and gaining (with some guidance and help from me) a better understanding of this critical part of your business.
A salon that has a monthly turnover of $60,000 and is making a 20% net profit = $12,000. This is much better situated than a salon that is turning over $160,000 and making a net profit of 2% = $3,200. It is very easy to get distracted by good turnover, but the reality is control of your costs is critical. Make a commitment during 2023 to take control of your profit and ask me for help, so you have a clear understanding.
As part of each coaching session, I review the current month and YTD profit and loss to help keep you on track. It is important that you email these to me prior to your coaching.
Your business won’t change if you don’t change
Imagine you have just bought your salon. You paid a lot of money for your new salon. You are determined it is going to be a great success. Make a list of all the things as the new owner you want and need to change to make your new business the great success you want it to be.
Most people when they buy a new salon, look at the visual and decorative changes they can make. A good clean up from top to bottom is always on the list.
Some ideas:
- Paint the reception area a happy colour
- Change the posters (they are old and tired)
- Two of the staff have poor appearance, below your expectations. Time to address
- Retail is just not happening. Are you the salon owner focused on this
- Team morale is low. Be honest and look at what changes you can make. If you were a new owner, you would make changes and get a different vibe in the salon.
If you bought a business, you would look very objectively at what you need to change to be a success and you would very determinedly get on with it and make changes.
Now do the same exercise with the salon that you currently own. You should still want the same success. The danger is that when you work in comfortable surroundings you get comfortable. You often accept things that you know deep down are not right and not good enough. Step outside your business and look at what is tired or is not working well. Look at each of your team.
Then the big step…do something about it. Make the changes. Your business won’t change if you don’t change!
Love this question
“If the client does not know the product exists, how can they need it?”
One of my favourite messages to salon owners. How true is this?
I recently was in a salon and a client told me about this great new product that had just come in that would be fabulous for my hair (I was there for a coaching not to have my hair done) it was new it was different and if he had not told me I would not have known about it. Of course, I bought it.
Online Education
I am excited to have added 6 new subjects to my zoom team education program for 2023. I love working with teams to develop and grow the areas that are most important for your education and motivation.
These are personalised for hair or beauty and a workbook is given for each session.
Please contact me if you would like to see how this can help to grow your team this year.
The new subjects are:
- Learn To Help Not Sell
- Creating A Great Team Culture
- Inspiring Your Team To Work Together
- Consultation Touch Points
- Your Service Is Amazing
- Words That Work
20 years of shaping salon success
This year I am excited to celebrate 20 years of coaching. I have the best job in the “whole world” and every day is a joy for me. I never feel like it is work. I have mentored and coached many salon businesses over this time and am proud to say have helped them grow and to be successful in many ways.
I am going to celebrate my 20 years, for the whole year in a number of different ways. So, watch this space.
Each month I will include some words from clients or industry friends who have shared my wonderful journey.
JENNY GIBSON – ELLA BACHE
I remember coming to you when I had been in my salon for just a few months. I felt like I knew nothing and I had made the biggest mistake of my life by opening a salon! That was 2016 and I am still here and thriving thanks to the years of coaching you’ve provided.
You have a way of coaching that makes me feel like the ideas were all within me to begin with and you have just teased them out of my head, which means I feel so much more a part of the strategies we implement.
Most of all, you help me stay on the right track, be grateful, to look at things critically and to appreciate the wins when they happen. Now we are heading into 2023 and I have 3 salons and have just been named Franchisee of the Year.
MIKEY FORSTER – THE DISCO
I have been working with Faye for over 6 years now and I couldn’t be happier with the relationship we have formed, as a mentor and as a loving friend. I owe so much of The Disco’s success to Faye.
Thank you, Faye. For all your wisdom, knowledge and insight into the hair and beauty industry. What I love most about our sessions is our fun little giggles we have; it makes my time with you so much more fabulous. Congratulations on your 20 years of coaching .
Paula Hibbard Education
So many of my clients are wanting long hair and special occasion education in 2023. I highly recommend Paula Hibbard for this.
She offers customised training for your team, in your salon or what has also become popular for smaller salons, is to join another salon or two in your area for your training.
This creative training always also includes a good dose of motivation!
Visit her website for more information – paulahibbard.com or contact her on 0410 693 663.
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Look forward to touching base with you in February.