So, you've decided it's time to go out on your own and set up a lash salon. Whether you're creating a cozy corner in your home or securing a fabulous rented or purchased space, we understand that this journey can feel a bit overwhelming. But fear not because we're here to guide you through one of the most crucial aspects of your lash business: creating an irresistible service menu with the perfect pricing strategy.
In this article, we'll delve into the essential factors to consider when crafting your lash salon's menu. From organizing your eyelash extension services into enticing categories to ensuring your profitability, we'll cover it all. We'll also explore how to analyze your competition, pinpoint your ideal target clients, and more.
One common mistake we've noticed is lash artists allowing their current confidence level or limited experience to dictate their pricing strategy. We're here to remind you not to fall into that trap! When setting your salon's prices, remember that it's the key element in shaping how your clients perceive the value and quality of your services. So, let's kick off this exciting journey and get your pricing strategy on point!
3 Steps to Establishing Your Lash Prices
1. Categorize Your Lash Services Offering
Determining the name of your services is a unique and individual challenge, so this is where you can use your creative side to establish service names that capture the style, thickness, and length of the lash sets you're offering to your clients. There's no right or wrong way to do this. The names you choose are totally unique to you and your lash salon.
You might want to limit the categories you create so as not to confuse your clients but choose names that are descriptive of the services offered, like Classic, Natural, Hybrid, Doll Eye, Cats Eye, Fluffy, Wispy, Dramatic, Volume Lash set, the list is endless so you can go ahead and be creative with your choices.
2. Determine your Lash Salon Pricing Strategy and Profitability
Once you've identified your service categories, you can determine how much effort or time it takes to apply each set of lashes. Calculate your services from when the client arrives until they leave your salon, decide on your hourly rate then price each service accordingly. Consider your effort, target market, and brand positioning when setting a fair and competitive hourly rate for your lash services.
Refrain from devaluing yourself because that will impact your client's perception of quality and could lead to difficulties in sustaining a profitable business for the long term. If you're just starting on your entrepreneurial lash boss journey, think about where you'll be in 12-month time once your confidence has grown, your reputation is excellent, your clients are referring friends, and you are super busy handling the influx of new and existing clients. If you have underpriced yourself at the start, you'll encounter a price increase dilemma at that time.
Adopt a marketing mindset from the beginning of "start where you want to finish." In other words, set your lash prices based on your anticipated future success. That way, you will avoid the drama of hiking up your menu prices in the first 12-18 months of business.
Suppose you're nervous about balancing your lack of confidence as a new Lash Artist and your pricing strategy. In that case, you can run campaigns like introductory offers or other specials at a discounted rate. Discount strategies can create a sense of urgency with your client base and help you build trust in your client relationships. It gives you time to develop and demonstrate the quality of your work and the lash services you offer; this approach allows you to transition to the pricing model you've created and then limit your discount offers to special events when the time is right for you.
Consider incorporating your lash aftercare kits into your service pricing. Instead of charging $200 for a set of lashes, you can charge $220, which includes their lash aftercare kit. Adopting this approach will positively impact your client's perceived "value for money" of your service offering because they are receiving a free cleanser with their lash set. This strategy also encourages your clients to look after their eyelash extensions leading to longer-lasting lashes. As a result, their perceived value of your service increases, allowing you to charge higher prices for a complete lash set.
Implementing this approach also has the potential to enhance your brand's strength. By including your salon-branded lash shampoo kits, and using Prolong Lash Cleanser Concentrate to make your kits, you are introducing your clients to a premium aftercare cleanser. This reinforces your brand's image and helps establish a sense of trust with your clients.
3. Assess and Monitor Your Competitors
It's essential to know your competition to determine your competitive edge. Do your research, check out your competitors, and find out what attracts clients to their lash salon. Understanding who you're competing with is critical to determining your strategy to attract new clients.
Asking questions like:
- Whether they are operating alone, or do they have a team?
- What type and styles of eyelash extensions are they providing?
- How much are they charging for each lash set?
- What marketing avenues do they use, and how effective do they appear to be?
- What is the level of experience and expertise of them and their team?
- Are they home or salon based?
- What type of clients do they attract?
While the answers to some of these questions may be difficult to ascertain, this research will help you determine how best to present your lash salon, aka yourself, to the local market and the client demographic you are seeking to serve.
You can now identify your critical differentiators compared to your competitors, like; the range of your service offering, exceptional customer service, personalized pre-service consultation, the skills and knowledge you and your staff offer, and the ambiance and presentation of your salon.
An effective way to make you stand out and increase your revenue earning potential is to choose a quality brand of lash aftercare like Prolong Lash, which allows you to create your own lash shampoo rebranded with your salon name; not only does this add a touch of class to your retail display but it also enhances your salon's reputation, by doing so you've created a product that is unique to you and gives your clients a compelling reason to come to you over your competitors.
Competitors and services evolve constantly, as does pricing, so monitor your competition, keep up with industry trends, and keep an eye on your monthly performance to ensure that your business is profitable and that your pricing strategy is sustainable long-term as you continue to meet client expectations.
While starting out on your own can be daunting, categorizing and pricing your services is critical to your long-term success; formalizing and tracking your expenses, revenue, and profit will take the guesswork out of the ongoing financial health of your business. Remember that your pricing plays a vital role in shaping how your clients view the value and quality of your services.
Let your creativity shine through by creating a list of unique and descriptive names for your lash extension services that resonate with the style, thickness, and length of your lash sets. The names you choose could help set you apart from your competition. Stay on top of your competition by offering unique solutions to servicing client needs, think strategically and out of the box when developing your services menu, check in with your clients regularly to get their feedback on your progress, and evolve with the times.
By considering all these factors and taking a strategic approach to evolving your business, you'll be well on the way to building a thriving lash salon that continually challenges your competitors.
Good luck on your entrepreneurial journey! For more lash business tips, make sure to check out our blog.