UK Salons enjoy period of rapid growth
29 Aug 2014
Written by Alice Smithson
In the past four years, the number of UK beauty businesses (including salons and spas) rose by 21%, according to Barclays Business. During this period, spas and salons also saw a combined 24% rise in turnover. These figures are surprising for a number of reasons. First, salons and spas are generally seen as recession-proof. These businesses, generally, did not suffer as much as others during the recession, so the 21% growth is from a relatively high base. Secondly, despite the increase in competition in the market, companies are still enjoying growth _ the demand for salon and spa services is still very much there.
UK beauty businesses contribute over £4 billion to the UK economy, the research showed. 62% of beauty SMEs are sole traders, and 6% of owners are under the age of 25 _ twice the average amount of SME ownership across the entire economy. Three quarters of beauty businesses are owned by women.
Barclays’ Head of SME Banking, Sue Hayes, commented on the statistics: ïsmall and medium businesses are increasingly finding opportunities from market demand, and we’ve also seen a jump in the number of younger entrepreneurs in this sector. The growth of the UK’s ageing population and a boom in online consumer behaviour has also fuelled expansion. The fast-growing men’s market is an area predicted to rise in the next few years.’
Salon and spa managers can keep track of the progress of their salon using salon management software. Create financial reports, track product sales and stylist performance and implement loyalty schemes to encourage clients to return. Contact us to book a software demo today.
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