Industry Analysis & Industry Trends
After several years of solid industry expansion, hair and beauty salons' revenue and profits have lost their lustre. The recession has taken its toll on the industry, causing consumers to cut back discretionary spending on hair and beauty treatments, which has lowered sales and profit margins for salon owners. Revenue fell 6.3% in 2009-10 and has yet to recover to former levels.
Revenue this year is expected to fall a minor 0.5%, similar to the five year average. Revenue will total £3.64 billion in 2012-13, after falling an average 0.6% per annum over the last five years. The industry covers hair and beauty salons and self-employed hair professionals and beauticians. Altogether, there are about 136,700 people employed in providing hair and beauty services... purchase to read more
Industry Report - Starting a New Business Chapter
There are relatively low barriers to entry for the industry, as indicated by the high number of small businesses. Capital requirements are relatively low, and self-employed hairdressers and beauticians are able to rent space in existing salons, thus avoiding many of the costs of starting up a salon themselves. Independent operators may also operate from their own homes, or run a mobile business, each involving minimal capital costs.
The industry is not regulated beyond the usual requirements of employment and health and safety laws. Operators do experience a strong level of competition from other salons though, which may deter some from entering the industry... purchase to read more