Which services pay your rent

A salon's price list is almost always inherited: prices set years ago and tweaked by feel. Kairo questions it with two numbers that aren't in the price list — what an hour of your work really earns, and how much discount leaves the till without anyone deciding to give it.

The questions it answers

  • “Which service should I push?”
  • “Are my prices low?”
  • “How much discount goes out without me noticing?”
  • “If I raise prices by 5%, how many clients can I lose?”

Lives in Business → Analysis · Action Center

Menu engineering

“Which service really earns me the most?”

Each dot is a service. The further right, the more you sell it; the higher up, the more it earns for every hour you spend on it. Top right are the ones to push, bottom left the ones to think about. The size of the dot says how many times you do it.

Why you can trust this number

The sum is on what an hour of your time earns, not on the price of the service. It looks like a subtlety and it's the most useful reversal there is: a €25 blow-dry in twenty minutes earns you more than a €70 colour that takes two hours. A price list read by price would tell you exactly the opposite, and that's why so many salons push the wrong thing.

Popularity × hourly yieldbubble = volume · quadrants at the median
starzavorraColourCutHighlights
€ per hour of work ↑times sold →
Ask Kairo
What should I push?Colour: you already sell a lot of it and it earns you €61 per hour of real work. Cut earns you €15, and you do it 174 times a month — each time you earn little, but you do it so often that it's your biggest problem. Shall we see how much it can be adjusted?

Price architecture

“If I raise prices, how many clients can I afford to lose?”

Raising prices scares everyone, and the fear is almost always bigger than the risk. This chart tells you how many clients you could lose on each service and still take as much as now. It's usually a much higher number than you imagine — and seeing it written changes the conversation.

Why you can trust this number

This sum includes the cost of your labour but not yet the colour you use. It means the real cost is a little higher than what you see, never lower — so if a service shows a loss here, it certainly is one. An uncomfortable number you can take as good; a comfortable one, consider it optimistic.

Tolerance to a riseclients you can lose before being worse off, +5%
Colour21%
Highlights19%
Treatment16%
Blow-dry11%
Cut8%
Ask Kairo
I'm afraid to raise prices.On colour you could lose 21% of clients and still take as much as today. That's about thirty people, for €3 more each. How many do you really think would leave? And those who left, were they the ones you wanted to keep?

Attach rate

“Do my clients buy products too?”

How many clients leave with a product too, depending on the service they had. Colour and treatment are the good occasions: the client sits for an hour and the product is already in the hands of whoever is serving her. Cut and blow-dry aren't. Asking all services for the same result is the surest way to get it from none.

Why you can trust this number

One thing Kairo tells you against its own interest: whoever buys a product has a higher bill, but that doesn't mean the product raised it. Maybe she was a client who wanted to spend that day. It's a difference nobody points out when they sell you a sales course, and it changes what you can expect.

Bills with a productby starting service
Treatment52%
Highlights41%
Colour34%
Cut11%
Blow-dry9%
Ask Kairo
How do I sell more products?Not to everyone. Clients having a treatment already buy 52% of the time, those having a blow-dry 9% — a blow-dry lasts half an hour and the client is in a hurry, let it go. The real margin is on colour: you're at 34% and with an hour of processing ahead you could do much better.

No analyst needed.

The answers you read above aren’t examples we wrote: this is how Kairo talks to you. Every chart has its “Ask” button, and from there on it’s a conversation — you ask it why, you ask it what you should do, you ask it to do it.

A real consultant you can afford once a year, and when they leave you’re left with a PDF. Kairo looks at the same numbers every day, and when you ask it “now what?” it prepares the action ready to approve.

Try it on your salon.

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