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3 Simple Steps to Improve Your Nail Salon’s Profitability

3 Simple Steps to Improve Your Nail Salon’s Profitability

How do you distinguish yourself from your competition? Who do you even consider your competition? More often than not unnecessary changes to pricing strategies are made by nail salons in order to get ahead of their competitors.

In this article I will write about when it is necessary to pick up a fight and how to distinguish yourself in order to thrive in the nail salon industry.

1. Keep Your Costs Low

As a nail salon owner myself, I recognise that most customers are unwilling to pay a hefty amount for a good manicure unless it is gel. And even with gel nails, the most they would be willing to pay is slightly above $50. How do we work around this problem without making significant losses for our business?

Well, the answer is in keeping costs extremely low by keeping initial investments and daily expenses at a bare minimum. Make sure that your payroll system is not a commission-only system or hourly rate.
Although this method saves you more money, it also disincentives your staff and decreases productivity and ends up being extremely counterproductive. Instead introduce commission rates with hourly pay and this will indirectly help minimise your costs by increasing productivity!
The lower prices for your services will certainly set yourself apart from your competitors. 

2. Surpass Sanitary Standards [restrict]

Most salons keep their costs so low by ignoring sanitary standards. These are the salons that you should not feel the need to compete with in terms of prices but sanitary standards instead.

No matter how cheap customers want their nail salon experience to be, they also want it to be sanitary and safe. Presenting your salon as abiding by sanitary standards set by the government in exchange for services that are on the pricier side is the way to go.

Some practices that you can employ in your own salon is autoclaving, which is a sterilisation method that uses high-pressure steam to clean equipment. This may cost more money in the short-term but your reputation as a sanitary nail salon will gain you more customers in the long-term.

3. Seize Those Opportunities

Jumping on trends by making your business strategy flexible is the ultimate way to increase your profits.

One trend I want to talk about is businesses that are becoming socially conscious. The Nail Social in Singapore is a good example of this social strategy where staff are taken care of and customers can enjoy their pedicures in non-toxic and cruelty-free environments.
This does not only increase your profits with an influx of socially conscious customers but also helps your business contribute back to society by hiring the less advantage and carrying out your services in a way that does not hurt anyone or anything in the process. 
Actionable Takeaway:
You do not need to compromise your ethics or harm others in order to increase your profits. Employing the above 3 methods can mutually benefit your business as well as your staff, customers and the larger community as a whole. 
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