Should people be able to afford our services?

[Anna from Toronto]

It's 6am, I can't sleep, I've been up since 4 am thinking.......

I'm playing a devil's advocate here but the posts I was replying to on US forum and posts was reading here earlier made me wonder...

Should an average person really "afford" our services and to what extend...?

I had a client the other day that decided to get a Shellac Manicure while waiting for her 17 year old daughter's haircut.
The client had a haircut and a color and highlites done at our salon a week ago or so (for which she must have paid about $180-$200 BTW). Her daughter haircut was $80 I believe.

So.... she saw one of my clients leaving with beautifully Shellacked nails, I had an hour window so I was more then happy to Shellac her
She was amazed, she never heard about Shellac.
While paying for the service she was thinking out loud "...OK, so that's $35... it should last 2 weeks... then it's $70 a month... hm... I hope I can afford it" she said with a smile.

I hope she can too but I'm thinking at the same time... why do people don't say the same thing to a waitress at a restaurant:
"oh, this meal is $20.. it's gonna last me few hours...so thats like $40-60 a day... and $1200 a month"

People think of the restaurants as a treat, go out once a week, still spend about $80 a month... And somehow restaurants still exist...
How much do we spend on coffee? 30 x $2- $80/month?
Can majority of people we know afford that? I think so....

Is it because people see more value in going out or having a $2 coffee that actually costs pennies then getting a manicure at a local salon?

I bet you've read comments like that from DIY's "why would I get a manicure if I can do it at home?"
Well, you can make your own coffee at home too... or cook your own burger... yet.... we do go out. Why is that?
Is it because in our culture manicures/pedicures are not that popular?
Is it because average salon service is not that much better then an average DIY job?

Are we that concerned about people being able to afford our services that we try to make our services cheaper and faster.. and we lose the value?
I constantly hear from techs working at salons that for example they only have 6 Shellac colors because the boss is "too cheap". They don't use the Shellac lamp.. because "the boss wont buy it".
The boss tells them to learn and do gel nails in 1 month. They won't be ready and there is no money for additional training... BUT they have to keep the prices "affordable". I'm not blaming the boss... after you pay the rent, the basic supplies, the cleaning supplies, the towels, the lightbulbs, the toilet paper, and you pay the staff.... there is not that much left

Are we too "cheap" to be excellent?
And by that I mean "Are our services too cheap for us to be excellent"

 

[VHunter]

I understand what you're saying...

My thoughts are this.
Nail enhancements/treatments are a luxury. Period. Not a necessity.
If the 18yr old working part time can't afford them, too bad.
Just because someone wants something, doesn't mean that they should have it.
We can't be responsible for other people's budgets, and the order in which they prioritize things (they could reduce their budget on movies or Tim Hortons or cable channels etc to include the cost of nails).
While I like to be 'affordable', I don't believe in going 'cheap' and undercutting myself just to serve someone else's budget.
Do you see the distributors lowering prices for us? NOPE, I haven't seen any big sales. I've seen product-prices rise, but not lower.

Just like everyone else, I want a yearly raise AND I have to cover the costs of inflation and shipping costs that have risen etc.
I'm in the process of updating my price list with some prices raised.
I KNOW that I'll lose a couple of clients.
And the first complaints I'll get, they'll expect me to lower my prices for them.
NOPE. It's not going to happen.

If we keep setting our prices similar to the NSS, catering to the 'budget-challenged' public OR 'price-shopping' public; other than our actual services & quality, what will set us apart?
Sorry, I don't do McNails and I'm not selling myself at McNails prices.

 

[geeg]

Should an average person really "afford" our services and to what extent?

I had a client the other day that decided to get a Shellac Manicure while waiting for her 17 year old daughter's haircut.

While paying for the service she was thinking out loud "...OK, so that's $35... it should last 2 weeks... then it's $70 a month... hm... I hope I can afford it" she said with a smile.

I hope she can too but I'm thinking at the same time... why don't people say the same thing to a waitress at a restaurant?
"Oh, this meal is $20.. it's gonna last me few hours...so thats like $40-60 a day... and $1200 a month"

People think of the restaurants as a treat, go out once a week, still spend about $80 a month... And somehow restaurants still exist...
How much do we spend on coffee? 30 x $2- $80/month?
Can majority of people we know afford that? I think so....

Is it because people see more value in going out or having a $2 coffee that actually costs pennies then getting a manicure at a local salon?

I bet you've read comments like that from DIY's "why would I get a manicure if I can do it at home?"
Well, you can make your own coffee at home too... or cook your own burger... yet.... we do go out. Why is that?
Is it because in our culture manicures/pedicures are not that popular?
Is it because average salon service is not that much better then an average DIY job?

Are we that concerned about people being able to afford our services that we try to make our services cheaper and faster.. and we lose the value?
I constantly hear from techs working at salons that for example they only have 6 Shellac colors because the boss is "too cheap". They don't use the Shellac lamp.. because "the boss wont buy it".
The boss tells them to learn and do gel nails in 1 month. They won't be ready and there is no money for additional training... BUT they have to keep the prices "affordable". I'm not blaming the boss... after you pay the rent, the basic supplies, the cleaning supplies, the towels, the lightbulbs, the toilet paper, and you pay the staff.... there is not that much left

Are we too "cheap" to be excellent?
And by that I mean "Are our services too cheap for us to be excellent"

Well there are allot of questions there and I wish I knew all the answers.

You are right though, people think nothing of getting an outrageously priced coffee every day (and sometimes more than once a day).
Same with cigarettes and wine, food and alcohol too. Maybe people just enjoy these indulgences and the whole experience of them more than having their nails done? Even though the enjoyment of looking at their perfect nails for 2-3 weeks is allot longer lasting than the physical enjoyment of food, a cig or wine!! Perhaps they take their nails for granted and are too used to them to give them the same value ... but I know they'd hate to be without them!

I've never been forced into going cheaper by anything in actual fact and clients crabbing about price have the choice to go elsewhere. Some do and the majority don't thank God.

I think we are affordable (to our clients anyway) because they do see value in our service. We use the best products, we do the best treatments for nails, we are artists and our nails are beautiful, our nails, manis and pedis last the longest of any salon around by far (and our reputation for all these things is very big). I think we're excellent but we are not cheap. We are affordable to the clients we attract. There is certainly enough left over after the bills have been paid ... and the business is certainly keeping a family of 3 in a very decent life style. They will never be millionaires just running a salon, but they will have enough to do the things they want to do and live a very comfortable life, which is what they want. If a salon owner cannot do those things then there is no point in having a business at all.

The owners do invest in new things like Shellac and they have bought everything .. all colours and all equipment etc .. and it has paid us back extremely quickly and brought many more clients to the point where we often have a waiting list! We are even thinking of bringing someone in just to do Shellac and nothing else! Shellac has been a 'home run' for us, and so has Minx.

Those are my immediate thoughts on your thread. Thanks for writing it. I wish I knew all the answers of why people do and say the things they say ... The owners just smile sweetly and let them get on with saying whatever they have to and book their next appointment or say tata! ... They usually see them again.

 

[Anna from Toronto]

Thanks for your replies guys!
I posted this kind of to make a discussion and make people think, I know there are no easy answers.

What also made me think about all this is yesterdays situation.

I rent space with a hairdresser. By the way, he used to work in Yorkville (very posh part of Toronto) and he was charging $250 for a haircut!! I swear to god! hich brings up another question.... why hairdressers (some, very few, I know) can charge triple the "regular" price and yes, people raise eyebrows... but he was very busy while working there so some people pay.
Sure, the rent was also astronomical but $250 haicuts exist.
I have never heard of a salon or a tech (doesn't matter how posh) charging $150 for a pedicure.
Anyway... back to the topic:
So yesterday I was doing a gel for a girl who is an esthetician and I've known her for a while (from another salon I used to teach at)
I'm kind of looking for a manicurist/pedicurist because there is a space in a salon we can modify for pedicures (which we are not right now because I can't clone myself).
So my buddy there (the hairdresser) says to her "OMG, you should work with Anna, we have amazing clients, this is a good area and Anna needs someone".... then he went on to say "you can make an amazing money over here"

I smiled. Sure, I'm not complaining but after doing my numbers I sadly realized that I can't pay someone "amazing money". We as techs can only service 1 person at a time and if they can bring in $35/hr max after paying for the product, the rent, all of the other supplies (lets not forget the tea/coffee/water/cookies at the salon), advertising, accounting fees, taxes... how much can I actually pay them?
Lets also consider the fact that the employee is not always booked 100%. If they are booked 75% (which is wishful thinking sometimes)... that means that they are only bringing $26/hr.
Where do I find the money to invest in more equipment, product etc?
It's also strange how employees do the math. They feel that they are "making" $35/hr and I'm paying them $15... somehow they see that I'm "making" $20. In reality I'm pretty much breaking even. Is it worth it?
I know in this industry many people get paid minimum wage and they make a living from tips or percentage from the retail. I hate to pay a hard working professional minimum wage so they can relay on client's "generosity". I actually have "no tipping policy" in my salon (don't roll your eyes please but I don't know any other "professional" getting tips).. one of new client's (very happy, rebooked right away, very nice and very well to do woman) tried tipping me $1 on $35 service
How can I pay someone what they are worth when I'm breaking even?
What am I missing?

My buddy hairdresser (he doesn't know anything about our industry- bless his heart) said... well, just pay them 30%. He really doesn't know how this works. Maybe hairdressers can do that split. He can pull $300 from 2 clients within 1.5 hr easy (he can do 2 people at the same time).
Please don't think that I'm bitter, I'm not at all... just doing the math and trying to figure out what works and what doesn't...

My clients are not complaining about the prices but the prices would have to be higher if I had to hire someone just so I had a chance to grow my business....

How is it that other industries have the money (again, not all but some) to wine and dine their executives? To fly them business class for meetings? To pay for their employees' cars and offer nice perks?
The industry or the company as a whole must have the budget for it.
Again, I'm not complaining but even as educators (I know this forum has many), doing trade shows... we all know how much we get paid.
Considering that we lose 2 days on travel I actually make more money in the salon Sure, trade shows are a great experience... but still.

I hope this doesn't come across as a complaining. I love what I do and I wake up every day thanking God that I can actually do what I do.

Well there are allot of questions there and I wish I knew all the answers.

You are right though, people think nothing of getting an outrageously priced coffee every day (and sometimes more than once a day).
Same with cigarettes and wine, food and alcohol too. Maybe people just enjoy these indulgences and the whole experience of them more than having their nails done? Even though the enjoyment of looking at their perfect nails for 2-3 weeks is allot longer lasting than the physical enjoyment of food, a cig or wine!! Perhaps they take their nails for granted and are too used to them to give them the same value ... but I know they'd hate to be without them!I've never been forced into going cheaper by anything in actual fact and clients crabbing about price have the choice to go elsewhere. Some do and the majority don't thank God.

I think we are affordable (to our clients anyway) because they do see value in our service. We use the best products, we do the best treatments for nails, we are artists and our nails are beautiful, our nails, manis and pedis last the longest of any salon around by far (and our reputation for all these things is very big). I think we're excellent but we are not cheap. We are affordable to the clients we attract. There is certainly enough left over after the bills have been paid ... and the business is certainly keeping a family of 3 in a very decent life style. They will never be millionaires just running a salon, but they will have enough to do the things they want to do and live a very comfortable life, which is what they want. If a salon owner cannot do those things then there is no point in having a business at all.

The owners do invest in new things like Shellac and they have bought everything .. all colours and all equipment etc .. and it has paid us back extremely quickly and brought many more clients to the point where we often have a waiting list! We are even thinking of bringing someone in just to do Shellac and nothing else! Shellac has been a 'home run' for us, and so has Minx.

Those are my immediate thoughts on your thread. Thanks for writing it. I wish I knew all the answers of why people do and say the things they say ... The owners just smile sweetly and let them get on with saying whatever they have to and book their next appointment or say tata! ... They usually see them again.

 

[Anna from Toronto]

What makes me wonder is why pretty much all industries have high-end sector, yet ours kind of does not. Others do charge mega dollars for things that only few can afford and yet, they do exist.

Shoes- you can pay up to $500 and more for a nice pair of sandals in the boutique a block away from my salon. I can't afford that but the place exists.

Restaurant next door- fine dining. You can pay $200 for a dinner. They are busy.

Hotels- an average hotel room in NYC (that doesnt have bed bugs lol) is $400/day

Cars- a nice BMW goes for what... $70.000?

Sure, they are all luxuries... but our services are luxuries as well. Why do we feel that people should be able to afford it on a regular bases?
By doing so are we maybe clipping our own wings?

I'm not saying that we all should be super expensive but if our services were a little more expensive we could do better job, pay employees and invest in our businesses.
Also our profession would be maybe more respected and more desirable because overall people would know that as a nail professional in a good salon you can make a living actually.

Am I dreaming?

I know that our industry is changing. There is much more emphasis on nails recently (thanks to people like Jan Arnold, Tom Bachik). Nails are now being mentioned in magazines (and I'm not talking trade magazine)... maybe I'm not dreaming!

 

[SJK]

All the things you mention - salon treatments, hair services, getting coffee, eating out, lovely shoes, going away for the weekend, super cars - are all luxuries. They make life nice. The more you have, supposedly the nicer life is, but that's another debate.

The points is that you have to prioritise to decide what luxuries you can have. Say you have £300 available each month for luxuries. You could get a cup of coffee each working day, and then probably only have enough left over for a wonderful hair appointment. Alternatively, you could go to a decent high street hairdresser and get your nails Shellacked twice, and a nice pair of shoes, but not designer, that would look good when you get the bus home.

It's just about how you prioritise your money. Maybe the woman trying to figure out if £70 a month was too much for her nails, doesn't really care about her appearance but really loves her top end Merc. It takes all sorts.

 

[persianista]

All this debate illustrates how I despair at the cheapest is best mentality that I read on here on a regular basis. If you attract clients on price alone, you will easily lose them when someone else is cheaper.

Somehow the nail industry has driven itself into a spiral of lower and lower prices. I have never offered nail enhancements in my salons because of this exact problem.

As for clients affording nail services,I sell shampoo and conditioner that is way more money than a set of nails, yet women buy them without quibble.

Nail techs need to stop apologising for charging for their work, and start learning about how to create demand and buzz for their services. It cannot be JUST down to CND to get a bit of excitement going.

As for people not being able to afford 30 quid, puleeze, they spend more than that on a dress. There is really nothing a salon sells that is expensive.

 

[geeg]

All this debate illustrates how I despair at the cheapest is best mentality that I read on here on a regular basis. If you attract clients on price alone, you will easily lose them when someone else is cheaper.

Somehow the nail industry has driven itself into a spiral of lower and lower prices. I have never offered nail enhancements in my salons because of this exact problem.

As for clients affording nail services,I sell shampoo and conditioner that is way more money than a set of nails, yet women buy them without quibble.

Nail techs need to stop apologising for charging for their work, and start learning about how to create demand and buzz for their services. It cannot be JUST down to CND to get a bit of excitement going.

As for people not being able to afford 30 quid, puleeze, they spend more than that on a dress. There is really nothing a salon sells that is expensive.

These are great points from our friend Dawn and I believe there is truth here. I don't think it is the nail industry that has driven itself into a spiral of lower and lower prices, I think otherwise -- more about that in a moment.

My feelings go along with your 2nd point, Dawn, about technicians apòlogising for their prices.

OK kill me for this but ... CND creates a buzz for 2 reasons .. new and innovative products and because they tend to attract the more serious person (businesswise).

Undortunately 'nails' in general attract people who have a cheap mentality and who are not business people. They want a little hobby for ´friends and family' (how I hate that phrase)!! They have nil idea of how to run a business, think it is all easy and are the 'messers' I spoke about in another thread recently. I believe it is these ones who have discredited and in the most part spoiled some nail technician's chances and forced them to lower prices etc. I don't blame the cheap discount salons as they have their place and we serious business people have ours .. but there is this large middle ground who are doing nails as a hobby because they CAN and it takes business from the serious technicians and lowers the perception of what we do.

PHAB could put an end to that if we get off our asses and get behind it. Yes it will cost us something but the big picture looks good. JOIN you technicinas who are serious about your businesses. It is the best thing we have been offered ever. If I were in the UK I would not hesitate an instant.

PHAB: Performance in Hair and Beauty

 

[Lynne Baker]

I don't think people want to be seen as not being able to afford something, especially we British.
I make no apology for the prices of my goods; I merely highlight the benefits of them.

 

[sukic]

I agree, my prices are middle of the road, in line with local salons (although I'm mobile!). When clients ask for a discount I always, always refuse. I tell them to keep an eye on my monthly promotions or that there are many other therapists out there they can use. I use great products, my customer service is good, but I'm not working for free, I'm trying to run a business!

 

[Deena]

Just a thought, but nails do require very regular maintenance to look their best. Once you've bought a pair of shoes or a dress, you don't have to run back to the shop for repairs once a fortnight! Nails are very much an ongoing dent in your budget and certainly more often than a cut and colour for hair.

I do agree that a lot of people simply don't want to pay what their nail services are actually worth, creating problems for the truly professional and gifted techs who can do fantastic work but can't reap the financial rewards they are so deserving of.

I also think it's possibly 'Stunting' options/skill in the salon as, although a lot of techs <at least on here> love to get seriously creative with their colour/glitter kits/3d work etc, they can't charge what it's worth in terms of additional time and products and so don't get the chance to do it too often. People 'Ooooh and Arrrrrr' over it, but still want it for £25 a new set and goodness knows how much less for a rebalance. Either that ... or the general public actually don't like them as much as a lot of us do!! :lol::hug:

 

[deanosnana]

I haven't had a raise in my 'regular job in a few years. I am grateful to have a job I love, though!

A few years ago, homes in my neighborhood were going for $125G+, now you can get one for $16G.

The economy in Michigan is in the toilet... There are MANY businesses that have closed, many homes in foreclosure.

Beauty services are one of those things that folks will forgo when money is tight. I'm not getting my haircut as often as I used to. I also no longer get my nails done.

I think our services can be affordable to consumers, without selling ourselves short.

 

[persianista]

There are clearly areas very much in recession, but also areas which are still affluent.

Just an idea, would it pay to develop l&p systems which are difficult to use, so it cuts out the hobby and youtube brigade? Bit like we have with pro colours in hair?

 

[pablowest]

Hello persianista, I think that it would. Try it. I think that there are no harm in trying.

 

[Anna from Toronto]

Just an idea, would it pay to develop l&p systems which are difficult to use, so it cuts out the hobby and youtube brigade? Bit like we have with pro colours in hair?

Show me a system that is "easy" to use.
I mean maybe it's "easy" to use but definately not easy to perfect it. I'm saying this because but somehow I don't see many perfect DIY nails... so I don't think this is the issue..

 

[persianista]

Show me a system that is "easy" to use.
I mean maybe it's "easy" to use but definately not easy to perfect it. I'm saying this because but somehow I don't see many perfect DIY nails... so I don't think this is the issue..

What happened in the pro hair industry is that the colour companies stopped writing simple names on the front of colour tubes, and moved to a more technical system. eg, rather than call it palest coppergold blonde, they numbered it 12GO and called it blonde gold orange. As a colour tech, I know exactly what that means, but Jane public wouldnt. Plus Redken only put the mixing info in their stylist guides.
Majirel changed their system too a few years ago too.
Whilst its not impossible for messers to fathom, it is definately more tricky.

Messers can buy L&P and gel in a wholesalers and watch a youtube vid. Either you need licensing or you gotta make it MORE difficult to do, so that only people with training can do it.

 

[sarahpoppy24]

I agree, I think that there should be more regulations on who can get nail products. They are too easily available to people. I am not a regulations specialist though so would have no idea what could possible be done about that. Liquid and powder is extremely hard to master in my book, I found it realy hard and am rarealy happy with nails I do, well im happy but I pick holes lol. If people could not get hold of stuff with out insurance documents that would make it so much better. I buy from aston and fincher and they are strict about it. Also sweetsquared, strict too. But many brands and wholesalers let any old person buy stuff. I dont mean the crap you get off ebay (ive never tried it and dont know anyone that has to be honest) I mean the proper products that real salons use. It cant be hard for wholesalers etc to get you to send a scanned copy of your insurance over through an email. I think this mess that the messers are making needs to be cleared up! That would solve alot of problems I think. But hey ho what can we do? Also PHAB seems great.. im going to look into it xx