Salon Supply Purchasing at or Below Wholesale and other ways to increase Profits

Purchasing discounted salon supplies like salon equipment, salon counters, hair care products, nail finishing products, and wholesale tanning supplies can dramatically impact salon profitability.

While sticking with one salon supplier may be the easiest way to run a business it is often not the most cost effective.

Salon suppliers and their representatives are out to make a profit. Just like selling cars or anything else they want to charge the highest price possible while making the buyer believe they are getting a great price.

Salon sales representatives are paid on commission. As a result, they are incentivized to maximize the price a salon pays for every item they need.

If that is not BAD enough they are also incentivized to sell you HIGHER COMMISSIONED product INSTEAD of the best product. This means the sales associate DOES NOT HAVE YOUR BEST INTERESTS IN MIND !

ALL THE WHILE, salon owners will often build a relationship with their sales representative DEFEATING the ability to save money.

To truly maximize your profits your need to go line item by line item on your Profit and Loss statement and evaluate each spend. Find ways to pay less for all the products and equipment your salon needs to operate. Spend less on your orders; buying them at the most aggressive discount possible.

In 2005 Tanning Buyers Group (TBG) launched with a priciple that will soon be applied to hair and nail salons as well as day spas. What TBG has done is aggregated many salons across the country into a group purchasing membership based association. TBG members have seen, over the past few years, dramatic cost reductions on the range of supplies tanning salons need to operate.

"I don't believe I have had anyone come to me with a price that couldn't be beaten soundly." says David Kenney - TBG Founder "Just the other day, we sourced an entire salons re-lamp. Took them from a budget brand lamp to the premiere brand at a dramatically lower price compared to their long standing supplier prices. Most salons can find some fat in places there should not be any fat."

Wholesale Salon supplies represent a large line item that can really add up each year for the retailer and supplies are most often a mis-understood part of the salon business.

Salon owners need to take control of the salon supply purchase and decision making process and apply the same methods you would to other business decisions. Members are able to use a range of suppliers without the old-school phone calls and negotiating. Tanning Buyers Group negotiates pricing for you and the result is very aggressive pricing from the wholesale tanning suppliers you already know and trust. Membership pays for itself.
 

Salon Business Consulting for tanning, hair, and nail salons

If you are considering entering the health and Beauty sector you will need to have the tools to survive in a highly competitve marketplace.

With over 30 years of retail experience we can help you eliminate some of the roadblocks to a successful launch and/or acquisition. If you have an existing business and want ideas or strategies that will enable you to grow your business you should consider hiring a professional consultant to advise you on your new or expanding venture.

Our services are not a crazy expense. You could get a basic business analysis done for a couple hundred dollars. For a more expansive consultation it may cost more. But we are an impartial consultancy. We are not paid by suppliers to steer you a specific direction, and yet we have large scale purchasing power that may save you more than any consulting fees you would incur.

It is difficult to keep a fresh eye on your business and understand the cold reality of your current or planned business model. Bouncing your plans off skilled professionals can easily pay for itself.

For more information please contact us HERE

   

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