One of the most challenging conversations we have with our Salon & Spa Owners is coaching them about Pricing. The reason this is such a difficult topic is because most owners have based their pricing on what other salons/spas in the area are charging and their personal perception about their pricing rather than factual information.

The common fear within the Salon & Spa industry is that raising prices will scare away clients This is why it is very important that you do research and make pricing decisions based on facts rather than on perception.

Changing price is not something to approach casually. It is important that you have Correct industry information that will support your decision.

Two of the main things to consider about Pricing:

How full your appointment book or service provider is vs. capacity (Supply and Demand)
What is your breakeven? What prices do you HAVE to charge to reach profit?
Salon/Spa Capacity: When we coach a client that is already at 70%- 80% or higher capacity (Booked Ratio) we always suggest they review their pricing and consider an increase. When you are at that booked ratio you are losing money by not raising prices.

(We recommend that you have a level system in place, this way you have a SYSTEM for continued growth for your team members and a SYSTEM for promotion(when you promote you raise prices (we recommend $5.00 across the board increase)

Before they make any change we have them complete a competitive pricing analysis. Below is a link to a free tool called: Salon Spa Pricing Analysis Tool that you can use to complete your Pricing Research.

**We want to be clear, calling other salons/spas to decide your pricing is not our recommendation, you can call to see where pricing is in your area (BUT) you are calling a business that “looks” like it is doing well. Many times, you are asking someone who called around, set prices based on that and has been struggling with profitability for years.

You know that other salons have called YOU and got your pricing


Column A is a list of questions

Column C where you enter the $ related to the question, You can use this to price every service you have, Remember the answer is only as good as the information you enter.

Yes it takes time to complete this process, but it is the only way that you can have factual information to support your decisions on when to make pricing changes and how much to change them.

We suggest you Implement a tiered pricing structure and make sure you are GROWING a team and increasing prices based on supply & demand as well as 2-3 other criteria you feel an advanced service provider should have (we normally utility retail sales and pre-booking as criteria for advancement

OK so now you know you need to increase your prices but are concerned about the best way to inform your customers of the increase. Whether you are increasing for 1 staff member or the entire company you want to have a clear script for the FD team to follow.


If you have concerns about your pricing, when to change, how to change, how to keep client loyalty during the change, just give us a call. We offer a Free Coaching Session to support you in this process, just give us a Call (760) 536-9012 or use our Sign Up Form > to schedule yours today!