Beauty Store Business magazine - December, 2019

New Study Details Chair & Suite Rentals

New Study Details Chair & Suite Rentals

By 2015, nearly 50% of all U.S. salons will offer some form of the booth rental/leasing model. In the long run, there’s little doubt that the better managed, private and corporate chains and booth rental salons combined will satisfy nearly 75% of all U.S. salon consumer market needs. That’s according to the new “Professional Salon Industry—2013, Chair and Suite Rental Study” from Professional Consultants & Resources, a strategic consultancy and salon-industry data source in the United States.

The new study also features a special section on strategies for marketing and selling to chair and suite rentals.

“The chair and suite rental tsunami has hit the U.S. salon market,” said Cyrus Bulsara, president of Professional Consultants & Resources. “While independent artistic salons catering to high-end clients will always play an important role in the professional salon industry marketplace, this business model will continue to lose market share to booth/chair rentals and chain salons. The most likely outcome will be the evolution of new hybrids that combine the best client- and stylist-centric practices from all business models.”

The study also includes an historical look at the models, booth rental definitions and an incisive analysis of current models: traditional multiservice rental salons, including shared chair rental and luxury salon chair rental; salon suites (private rooms within a salon for each provider), including independents, chain and franchisees; and the growing niche of blended rental/commission salons.

Major study highlights include:

  • Sola Salon Studios with 240 suite rental salons in 36 states offers luxurious suites, business-management support and education to support independent stylists. Salon suite franchise organizations are transforming the salon landscape with the fastest growth.
  • Consumers perceive little difference/value between salon types that provide consistent stylist skills, ambiance and service.
  • Manufacturers and distributors need a sales/marketing strategy for each group of rental salons/stylists targeted. Strategies and tactics for rethinking packaging, promotional and pricing strategies are suggested. Tech tools/ecommerce needs are addressed.
  • Affordable business-management tools are easily accessible to independent stylists, who are using their mobile devices to manage their businesses with new technological productivity tools, management apps and referral platforms.

For purchasing information or questions, contact Bulsara, cbulsara@augustmail.com, or visit proconsultants.us.

[Image: www.gettyimages.com, iStock/360]