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Hair & Beauty Australia Industry Association


Posted February 3, 2020

We all want to make more money and work less. It’s a part of the human condition to want to receive more for less work. So how can salon owners turn their successful, but very hands-on business, into a greater revenue earner with less hands-on time?


The answer is simple really. Passive income.


Passive income refers to money that you make without actively providing services. Passive income can come from a variety of different sources, from ecommerce to courses and at-home kits to online bookings – there are plenty of ways that you can make additional funds from your salon without lifting a pair of scissors or a tweezer.



Most salons now offer online bookings, but if you don’t yet this is the first step to optimising your salon profitability. By allowing your clients to book whenever they like, you remove barriers to entry for appointments. Lots of people, particularly new clients, don’t want to call up a salon they don’t know and make an appointment. They want to be able to book online, at 9pm at night, when they decide they can’t deal with looking at their grown out eyebrows for a moment longer. So, give them the vehicle to book in for an appointment instantly with an online booking system. Most salon software suppliers even offer a module that just plugs into your website and this will make a HUGE difference for your clients moving forward.




The easiest way for salon owners to make additional revenue is through ecommerce sales. Whether it’s selling your gift vouchers online or adding a complete online retail setup, by transitioning your customers into buying online they can not only shop whenever they like, but they start to use your business for last minute gift ideas and emergency purchases, eventually spending more money each year in salon.


We know that the bulk of salon purchases in December are through retail products, and we know that December is one of the biggest selling periods in the year – so why not try to get a slice of that increased retail revenue throughout the year? Drive your customers to shop online through email marketing and social media. These are likely to be new and additional customers – those who come and purchase from your team in salon will continue to do so, but those who walk out of the salon empty handed may get picked up in this second round push for the retail sale.


Later in the year we will cover what it takes to run a successful online store, but now is the time to start thinking about the processes and steps you will need to take to make is revenue-increasing dream a reality.




The biggest influencers in our industry utilise courses and workshops to add additional revenue to their bottom line – people like Natalie Anne run courses for both salon owners and consumers, hitting two different markets. For some salon owners, it could start with a series of styling tutorials or videos on treating teen acne. Sell them for a nominal amount and use this as a vehicle to add more value to your clients and drive additional revenue.


If video seems like too much of an investment for you right now, write an eBook on a specialised topic and sell that. It could be on antiaging or pregnancy skin but take the time to write a longer form piece of content (we’re talking over 15 pages here) and pay someone to make it look beautiful before loading it into your online store. Think of a catchy name and tell everyone in your influence circle about them. Encourage your team to sell the course and drive more business in salon.


If you’re absolutely killing it in your corner of the sandbox, consider running a course for other salon owners. Maybe it’s in creative cutting or colouring; maybe it’s in creative staff management or social media marketing. You have a niche, so make sure you’re sharing that with people who would love to know what you know.


None of these tactics are a quick fix for a slow week or even a slow month in salon. These are investments of time and energy designed to help you in the long run make more money than you did last financial year. But the biggest benefit of any of these passive income streams is that once they are set up, they can just go and go and go. Consider which approach is right for you and make sure to invest the right amount of time upfront to make better revenue later.

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