Learn why operating within an established franchise (in an industry that is not only recession-resistant, but experiencing growth) is a recipe for success and much more!

1. The Top
5 Reasons
to Invest in a
Hair Salon
Franchise

2. D
The Top 5 Reasons to Invest in a
Hair Salon Franchise
TOP 5 REASONS TO INVEST IN A HAIR SALON FRANCHISE
FANTASTIC SAMS
etermining exactly what type of business to invest in is a problem entrepreneurs face on a
daily basis. In a world with an attention span that tops out at 140 characters, there are few
business options with more longevity than the hair care industry, and even fewer that can be
assured of ongoing demand for their services. Investors who choose to enter the hair care industry
have the chance not only to fulfill the need for an essential service in the lives of the vast majority of
consumers, but also to offer those consumers a host of luxuries.
Whether a customer enters a salon for their usual cut and style, in preparation for a job interview,
to treat themselves, or to change up their image and try something new, the motivation is the same.
They want to leave that salon looking and feeling good about themselves. Choosing to give their
business to any beauty establishment requires a level of implicit trust. Franchise salons carry with
them brand recognition and reputations that encourage a level of trust in potential customers. If
their trust is rewarded with a great outcome, that customer is not only satisfied and more likely to
generate repeat business, but is also a living, breathing billboard of endorsement for that salon.
Many franchise salons boast an increased level of service typical of higher priced salons and this,
coupled with proven business models as well as training and support, can be the foundation of a very
successful brand platform. Longstanding hallmarks of the industry, such as recession resistance, and
current and projected growth trends have created an ideal environment for new investors to enter
this thriving and dynamic industry.
Beauty is a Growth
Industry
Hair care is a $75 billion
industry that continues to
grow with the population. In an
American Salon 2011 study, the
majority of salon professionals
stated they were either holding
steady, getting better, or
experiencing great business
success and that was during a
time of economic uncertainty.
A 2012 market research report
from IBISWorld projects
revenue growth at a rate of
3.3% a year through 2017 citing
an “expected increase in per
capita disposable income.” It
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3. TOP 5 REASONS TO INVEST IN A HAIR SALON FRANCHISE
FANTASTIC SAMS
“
is likewise reasonable to expect that customers finding themselves with more disposable income
may opt to spend a little extra on high-end services that dynamic franchise salon owners can offer,
including coloring, highlights and styling. The same report projects gains in industry profit from
5.5% in 2012 to an estimated 5.9% by 2017.
Meanwhile, an economic snapshot published by the Professional Beauty Association calls for
job growth across the board in personal appearance positions, including an estimated 31% job
growth for hairstylists, hairdressers and cosmetologists in
the decade between 2008 and 2018. Projected job growth is a
Entrepreneurs who
strong endorsement of revenue and profit growth projections.
Entrepreneurs who invest in strong franchise salons are
invest in strong franchise
provided with ongoing tools to help their businesses grow and
salons are provided with
expand—a decided advantage with so much growth potential.
ongoing tools to help
their businesses grow
and expand—a decided
advantage with so much
growth potential.”
Recession Resistant
Lean times in any economy can lead consumers to cut back
on certain expenditures, but personal care services, such as
hair cuts, colors and styles impact customers’ everyday lives
and remain a consistent need. A June 2011 economic snapshot
of the salon and spa industry from the Professional Beauty
Association pointed to steady growth over the preceding decade, the latter years of which were
periods of extreme decline for many other industries.
In fact, that same report states that the salon and spa industry outperformed the overall private
sector during the recession. Between the fourth quarters of 2008 and 2009, the national economy
experienced a one percent decline in total private-sector business establishments. By contrast, the
salon and spa industry lost only .1% during that same time, before rebounding to positive growth
well ahead of the total private sector.
Franchise salons are able to offer exceptional value and service
allowing them the potential to not only maintain, but thrive,
even during periods of economic downturn.
No Prior Industry Experience? No Problem!
Entrepreneurs looking to break into the hair care industry
need not have prior experience if they opt to invest in a
franchise salon. More than 85% of Fantastic Sams current
owners had no previous industry experience prior to opening
their franchise salons. Opening a salon means owners have
access to extensive, ongoing training for themselves and their
employees. Often, owners can master their new business
even while maintaining another career. Ongoing training and
support in business management, operations, and marketing
help new salon owners reach long-term financial goals and
give owners the knowledge and flexibility they need to make
the business work, no matter what.
Additional assistance with site selection, lease negotiations,
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4. TOP 5 REASONS TO INVEST IN A HAIR SALON FRANCHISE
FANTASTIC SAMS
management training and human resource issues allows new owners to quickly learn the nuances of
their business and navigate both start-up and ongoing business challenges. These unique advantages
allow new franchise salon owners to jumpstart their business success by following proven business
models and taking advantage
of the expertise of those with
whom they choose to partner
with on a franchise model.
Easy to Operate
Business Model
Hair care franchises and
beauty salon businesses are
considered a sound investment
because they require relatively
modest start-up funds and
are based on a proven, easy to
operate business model. This
proves especially true for those
who invest in franchise salons.
Established franchises will
offer investors a long-standing,
proven business model that
they have optimized and
refined over time. New owners
benefit from the combined
experience of those with whom they choose to go into business.
Likewise, expanding upon a recognizable and respected brand name means potential customers
will recognize and expect the level of quality and services offered even before stepping into a newly
opened salon. After they enter the salon they will be treated to the same level of service and product
offerings they have come to expect from a familiar brand. From there, each owner can further build
loyalty in customers by maintaining those standards in a warm and comforting environment
Popular Culture Breeds Beauty Trends
As the old adage says, imitation is the highest form of flattery. Indeed, for as long as there have been
trends, there have been trendsetters. From “Farrah” hair to the Rachel and Audrey Hepburn’s French
pleat bun to Victoria Beckham’s pixie bob, popular culture never fails to provide a hot new look.
Trends in hair care and style range well beyond the everyday cut. In recent years, hombre coloring
has made a splash, while previously perms and any number of high-and-lowlight styles have been a
must.
In fact, the demand for hair coloring and other advanced hair treatments have increased in recent
years, particularly among baby boomers and younger people who follow fashion trends.
Being a part of an established brand with proven methods means franchise salon investors are well
positioned to put their energy and that of their employees into staying on the cutting edge of what is
trending, so they can keep their customers en vogue.
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5. Why Franchise with Fantastic Sams?
TOP 5 REASONS TO INVEST IN A HAIR SALON FRANCHISE
FANTASTIC SAMS
Entrepreneurs have many options to consider when it comes to finding the right franchise to invest
in. While certain advantages of investing in an established franchise apply across the board, each
brings its own philosophy and benefits to the table.
Fantastic Sams has been one of the world’s most reputable hair salon franchises for nearly 40 years.
As a full-service brand with nearly 1200 salons spread across North America and a proven, industryleading business model, Fantastic Sams has established a reputation of quality, style and service.
As Fantastic Sams franchisees, investors can count on profitable, exclusive and innovative brand
products; extensive, ongoing owner, manager and stylist training, provided by a certified and
dedicated training staff; in-depth support for site selection, lease negotiations, human resource
management and marketing; all providing the foundation of an exceptional guest experience…not to
mention the inviting and relaxing environment with an expanded service menu. Fantastic Sams also
offers special programs that can help new owners lower
their start up costs by as much as $15,000.
After so many years of operating a successful business,
the minds behind Fantastic Sams have perfected the art
of bringing new owners into the fold and setting them
up to achieve their long-term professional and financial
goals.
5 Reasons, One Great Business
Opportunity
Wherever new owners decide to invest and pursue their
new business venture, it’s hard to argue with the benefits
of being a salon owner. Operating within an established
franchise in an industry that is not only recession
resistant, but experiencing growth is a recipe for success.
New owners of franchise salons are provided with
training and support from proven industry leaders,
meaning they can focus on growing their new business
even while maintaining another career. Likewise, the
continuing support franchisees receive positions new owners to react quickly to industry trends,
innovate and ensure their employees are equipped to provide outstanding service, even in a rapidly
growing and changing industry.
Take into account the easy to operate business models, relatively modest start-up funds and the
ability for new owners to the field to jump in and find success in a familiar brand, and the question is
no longer why invest in a franchise salon, but rather, why not invest in a franchise salon
References:
Professional Beauty Association, “Economic Snapshot of the Salon Industry”, http://www.nysbsa.org/pdf/News_2011EconomicSnapshotofthe
SalonIndustry.pdf
IBISWorld, Beauty Salon market research report summary, http://www.sbdcnet.org/small-business-research-reports/beauty-salon-2012
Fantastic Sams Franchises, “Why Sams?” http://www.fantasticsamsfranchises.com/why-sams-quality-service-style.php
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