I was reading an article today about “How much it costs to stay as beautiful as Kate Middleton” and I was utterly shocked that Australian Vogue estimates that she pays almost £8,000 a year on spray tans! Even factoring in a heavy London weighting that is SOME price for a tan. In fact if we imagine she is getting a weekly tan all year long they reckon she pays £152.54 a week! So you can see why I would like to spray tan her, she would guarantee a great big whack of somebody’s salary without taking up too much time. (I am in no way confirming she does pay this or even that she gets a spray tan, I am just commenting on the situation IF the magazine should be correct).
Yesterday in class we were talking about how salons and mobile therapists come up with their treatment costs. Having come from a background where I have worked running events or selling event space and themes I am well aware of how to set prices and all the little extras that most people don’t think of such as depreciation etc. However many of my class weren’t and according to the tutor, this is many a Beauty Therapists downfall.
The class got into a discussion about the prices of treatments in their respective placement salons vs the costs incurred to perform the treatment.
Lets take for example an eyelash and brow tint. This treatment would normally block out 30 minutes in the diary however I am aware it can be done in 15 – 20 mins but as blocks tend to be in 15 min intervals its safer to book the 30 minute slot right?
Most people in the class figured that tint and developer was cheap and so the treatment would be high profit. Tint for this booking would easily cost less than 50p. Very few of them factored in a wage! So if the therapist is being paid £6.50 an hour, that’s £3.25 in additional costs already, not to mention a % towards the heating, electricity, rent, council tax etc. In fact, when it came down to it, treatments like this really are not very profitable at all.
The real money makers are the treatments with higher prices and lower overheads such as a massage or reiki.
When doing beauty therapy you might not think that understanding finances and how a business runs are important but actually it’s VERY important. Only one of us can end up spray tanning Kate Middleton (me…obviously) and making an amazing profit from it, the rest of us will be working with normal people paying standard prices and it is up to us to make sure our treatments are not only top quality service wise but also cost effective and most of all profitable.
Remember, we should charge what we are worth, we should not aim to win customers over by having the lowest prices as really who is the winner in that situation? Not the therapists, that’s for sure.