7 Ways To Grow Your Hair Salon Business |BizBeavers


In a highly competitive market, the question of how to distinguish yourself becomes paramount. Should you exclusively utilize organic products? Should your focus be on cutting-edge haircuts, creating unforgettable experiences, or perhaps something entirely different? If you’re already a hair salon proprietor, you might be thinking of how to grow hair salon business and elevate your business to new heights.

In this article, we’ll share tips on how to grow your hair salon business and delve into the essential best practices that every beauty business should adopt. By implementing these proven strategies that have yielded success for other businesses and examine data-driven insights, you will be enabled to leverage strategies that are backed by a track record of effectiveness.


How to Grow You Hair Salon Business

If you’re planning to expand your salon in 2023, read on to discover 7 ways on how to grow your hair salon business.

1. Introduce new services

Expanding your range of services is a fantastic way to attract a greater number of customers to your salon. This approach could involve delving into a specific market segment and pioneering a novel service within your locality. By keeping an eye on global beauty trends, you may identify opportunities to introduce innovative salon treatments to your town or city, positioning your business as an industry trailblazer.

Ensure that your menu includes quick and seamless add-on services that can be conveniently incorporated during an appointment. For instance, in a hair salon, you can provide options like a speedy deep care treatment or a colour glossing service for your clients.

2. Create a referral program

When executed effectively, referral programs become win-win opportunities. In this scenario, your customer refers a friend, and both the referrer and the new friend benefit from a discount, whether it’s a price reduction, a complimentary product, a free consultation, or another service.

This approach not only draws new individuals through your salon’s doors but also nurtures loyalty among your existing clientele. In fact, a customer referral program can potentially revitalize a struggling business, as evidenced by research from The Wharton School of Business.

Their study shows that a referred customer is 18 percent more likely to remain loyal to the company over time compared to someone who discovers your salon independently. Establishing a shared connection, such as a mutual appreciation for your hair salon, is a substantial contributor to customer loyalty.


Of course, when selecting the rewards for referrals, strategic considerations are still essential. Assess the time and cost associated with each service and product to strike the right balance. You don’t want to offer services that are overly time-consuming or costly. However, the reward must hold value, or the program may not be effective.

For example, expecting a customer to refer ten people before they receive their reward is likely to be an unsuccessful approach. Conversely, asking someone to refer three people in exchange for a free blowout is a more compelling incentive that’s likely to yield success.

3. Implement a “frequent flyer” program

If you believe that frequent flyer programs are exclusive to airlines, think again. The hair salon adaptation of such a program can be as straightforward as providing first-time or new customers with an incentive to return, creating a fantastic method to encourage repeat visits.

One hair salon that has effectively harnessed this marketing technique is Davis Hairdressing, located in Massachusetts. They offer clients a complimentary visit when they prepay for a specified number of visits. Additionally, for new customers, a 50 percent discount is extended for their second visit.

Essentially, this tactic revolves around fostering customer loyalty. Loyalty programs come in various forms, so if you’re hesitant about offering a substantial 50 percent discount on return visits, there are numerous alternative strategies to explore.


4. Look for unique marketing opportunities

Once you’ve decided on the new services, create a marketing plan to promote them. Utilize various marketing channels, including social media, your website, email newsletters, and local advertising, to inform your existing and potential customers about the exciting additions to your salon.

For- example, if you’re adding a unique “hair detox” service to your menu, create engaging social media posts, testimonials from satisfied customers, and before-and-after photos to showcase the benefits of this service.

Utilize advertising techniques like local news posts and social media profiles for initial brand recognition. For retaining existing clients, employ strategies like retargeting through Google Ads or Facebook.

5. Upsell existing clients

Your current clients can be the most valuable resource in boosting your salon’s business growth. After all, you’ve already successfully convinced them to walk through your door. So, it’s crucial to make the most of this captive audience. By effectively upselling your clients to higher-quality, premium products, and services, you’re tapping into an existing market to increase individual earnings without escalating your expenses.

To achieve this, you must master the art of the elevator pitch. Your existing clients typically prefer not to listen to extended explanations while they’re getting their hair styled. They’re looking for efficient and speedy service, perhaps with a bit of casual conversation.

However, if you can deliver a concise and compelling pitch for a product or service that piques a client’s interest, you might secure an immediate additional sale, and potentially, several more in the future.

6. Identify a niche and dig in

Identifying your unique niche, whether it’s centred around organic products, creating a Zen-like ambiance in your salon, or catering to busy moms in need of a break, can be the critical difference between success and failure.

Ideally, conducting thorough market research should be a priority even before you open your salon’s doors. This involves assessing the existing salons in your potential business area and understanding their offerings. Are there any gaps in the services they provide that you can address? Can you stand out by offering exclusive services, top-tier quality, or competitive pricing? It’s essential to pinpoint what your market lacks and make a concerted effort to bridge that gap effectively.

7. Invest in your staff

Your staff members form the core and essence of your business. They are the driving force behind your salon’s success. Without them, you’d be right back where you started, with just a single chair.

It’s crucial to allocate time and resources to recognize and reward your staff while also nurturing their continuous growth and development. You might have reservations about investing in their training and development, fearing that they might eventually leave.

However, it’s far more advantageous to invest in staff development, even if they eventually move on, than to neglect such investments and have them all stay without progress.



To foster the growth and success of your salon business, you must continuously enhance its key elements, including customer service, product offerings, and marketing strategies, to establish a strong presence in the market. Recognize and address the aspects that are not yielding the desired results, either by fixing or eliminating them.

Get Small Biz Insights

Get monthly expert insights with our newsletter, tailored to provide you with valuable strategies and the latest trends.

Get Small Biz Insights

Get monthly expert insights with our newsletter, tailored to provide you with valuable strategies and the latest trends.

Subscribe To Our Newsletter

Get Monthly Business News and Updates