Passion to Profit Growing a Salon in 2025

Running a salon isn’t enough—you’re building a business. And for it to thrive, several key components must work together: strategy, systems, leadership, culture, marketing, and profit awareness. Here’s how to do it with confidence. *** Take the 2 minute Profit Quiz at the end.

1. Build a Purpose-Driven Culture (Leadership + Retention)

Culture isn't fluff—it directly impacts your bottom line. “Harvard Business Review research shows that strong culture and employee engagement boost profitability by up to 20%. Likewise, improving retention by just 5% can drive profits 25–95% higher.”

Action Steps:

• Define your salon’s why—your values and vision—and weave it into every interaction.

• Implement weekly/team check-ins to boost connection (and reduce turnover!).

• Create a growth plan that allows your stylists to see how much more they can make and when raises and price increases will occur. This builds long term trust.

• Celebrate wins, big and small—create habits that acknowledge effort and foster loyalty. Recognition goes a long way.

Great leadership starts with presence, not perfection.
It’s about showing up with heart, creating a culture of trust, and guiding your team with clarity and compassion. When you lead with empathy, listen with intention, and stay open to growth—your team feels it. And when your people feel supported, they rise.

** Enjoy my 8 step leadership framework in my SYNERGY course.

2. Systems Are Your Superpower (Efficiency + Scalability)

Without real systems, even the best salons hit plateaus. “Harvard research emphasizes that scaling without systems increases failure risk by 20–40%.”

Action Steps:

• Standardize onboarding: training modules and checklists.

• Standardize interview process: I coach to a 30 day interview process with a shadow interview.

• Track core KPIs: Volume- new client count, average ticket, FOV, new and current client retention, productivity %. Let’s not forget reviewing that monthly P and L.

• Create a solid pricing system and reassess increases based on demand.

  
  *Take my 2 minute PROFIT quiz below

3. Marketing = Meaningful Connection (Attract & Retain Clients)

Relying only on referrals and inconsistency hinders growth. “HBR says acquiring a new customer costs 5× more than retaining one. Meanwhile, retention strategies deliver a 25–95% profit boost.”

Action Steps:

• Introduce an exclusive in salon promotion every quarter to reward current clients.

• Build an email list & send 1–2 times/month: share educational tips + new products, or promotions.

• Collaborate: create B2B partnerships with local gyms, yoga studios or med spa for cross-promotion.

• Spend time in your local FB groups. Be present and don’t be nervous to promote your business and put yourself out there

4. Pricing with Purpose (Profit is Non-Negotiable)

Salon owners often undercharge out of fear. A clear, strategic pricing model helps you serve a loyal client base and make real money.

Action Steps:

• Calculate your price-per-minute: account for time, product cost, business expenses, and target profit,

• Raise prices strategically—forecast actual cost increases and reassess pricing once/year.

• Practice transparent client communication: this start on the website and in a thorough consultation.

• Be sure to have a standard time per service and for each tier (if you work on a level system.) Time and price are like a marriage. The price of the service is important. But the amount of time spent on each service is crucial. Efficiency is not a trend, it’s the way of the future. Use products like Oligo Professionnel to reduce processing time. And efficient placements with J Ladner.

5. Lead with Data, Not Emotion (Financial Awareness)

You can’t fix what you don’t track. Scaling without financial clarity risks high failure rates . Conversely, owners who embrace profit-first thinking outperform.

Action Steps:

• Review your P&L monthly—note variabl/ fixed costs, and profit margin. Be sure your P and L has a break down of service dollars and retail dollars. It is crucial to see the amount of service revenue compared to retail sales every month.

• Run a profit gap analysis: how far from your 20% profit goal are you? (target profit is 20%. If you are on payroll it can range from 10-15%)

• Use tools like budgeting spreadsheets or pricing calculators to stay intentional, not reactive. Always make financial decisions based on facts NOT FEAR.

Pricing Action Step: Check out my NEW MONEY TALKS 1-1 Intensive dedicated to help you calculate price-per-minute/hour and budget accordingly to increase sales, profit margin, and eliminate undercharging. Signature Calculators included.

Urgent Takeaway for Salon Owners

You’re not just doing hair—you’re steering a business through a crowded market. And your success hinges not on your scissors, but on your strategy, systems, and leadership.

Ask yourself:

• What’s the next system I’ll build forward?

• How am I elevating culture and retention right now?

• Where is my marketing focused—and how often am I plugging into client relationships?

• Am I intentional about yearly pricing assessments monthly P and L reviews?

Profit Check: Is Your Business on Track?

Get a pulse on your profit. Take the 2 minute Salon Profit Quiz for commission salon owners!

TAKE THE QUIZ

Looking to price your service with confidence? Check out Make That Money course for suite owners/renters.

And in my Synergy course for commission owners where you wil learn how to create a robust compensation package and clear growth plan.

Psst! MORE Free resources are a click away!

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