Why Knowing Your Numbers MATTERS.

Are you tired of feeling like your business is a puzzle with missing pieces? Get ready to learn why knowing your numbers MATTERS.

In this episode, they dive deep into the intricacies of the salon industry, exposing the reality of ‘girl math‘ and shedding light on key numbers like Average Transaction Value (ATV). Brace yourself for a transformative journey through hairstyling business models, pricing strategies, and the art of transparent communication.

Understanding Your Numbers in Business:

The episode kicks off with a crucial discussion on the significance of understanding your numbers in the salon business. Kirsten and Yo go beyond the surface-level ‘girl math’ trend on social media, emphasising the deeper understanding of financials, including the pivotal role of Average Transaction Value (ATV). It’s not just about calculations; it’s about gaining control and clarity over your finances, paving the way for informed decision-making.

“It’s all about knowing your numbers and understanding the real cost behind each service we offer.”

Business Model Shift Impact:

The narrative takes an inspiring turn as Kirsten and Yo recount a tale of transformation within the hairstyling industry. They explore the bold move of a hairstylist who embraced high-ticket hair extension services, navigating the delicate balance between client volume and revenue while setting new boundaries. This isn’t just a shift in business model; it’s a courageous journey towards greater profitability, client satisfaction, and work-life balance.

“The shift to focusing on hair extensions was not just a business decision; it was about redefining our approach to client satisfaction.”

Exploring Hair Extension Business Strategies:

Delving into the nitty-gritty, the hosts explore the intricacies of pricing and product selection in the hair extension industry. They share personal experiences and insights, emphasising data-driven decisions and the delicate balance of maintaining service quality while optimising client throughput. This segment serves as a goldmine of information for salon owners and stylists looking to make informed decisions that align with their business goals.

“It’s not just about doing one client and making two, three thousand; it’s about delivering consistently high-quality service.”

Salon Pricing and KPIs Understanding:

Navigating through challenges, Kirsten and Yo address the importance of salon owners and stylists understanding and communicating about pricing, Key Performance Indicators (KPIs), and the overall financial health of the business. The hosts reflect on personal experiences, including the impact of COVID-19 on the industry, and stress the need for transparent communication to ensure a thriving and sustainable business.

“Understanding and communicating KPIs is not just about numbers; it’s about building a sustainable and thriving business.”

Upselling and Pricing in Salon Industry:

The hosts tackle the evolving landscape of upselling and pricing strategies in the salon industry. They discuss the shift from aggressive sales tactics to a more customer-centric approach, emphasising the influence of psychology in framing sales as a beneficial process for both the client and the business. The conversation also touches on the challenges and techniques of implementing price increases without alienating clients.

“The way we approach pricing in our salon is a direct reflection of our self-worth and confidence in our services.”

The Importance of Pricing Communication:

The final chapter explores the complexities of pricing strategies in the hair and beauty industry. Kirsten shares insights from her two decades of industry experience. The hosts discuss the lack of standard benchmarks and the impact of factors like demographics and competition on pricing. The hosts delve into the delicate art of communicating price increases effectively, highlighting its impact on customer retention and the need for businesses to assert their growth and costs transparently.

“Navigating price increases is about respecting our clients but also respecting the value of our work.”

This episode isn’t just a podcast; it’s a game-changer for salon owners and stylists alike. Kirsten and Yo guide you through the maze of salon economics. They empowering you to make decisions that align with your brand’s value. It’s a journey of courage and innovation. Tune in, get inspired, and let’s transform your business savvy one number at a time!

Ready to listen to the episode? head to The CEO Stylist on Spotify or Apple Podcasts get into the nitty gritty of all things mum guilt with Yovanka and Kirsten.