Traditionally, hairdressers have either owned their salon or worked as an employee where they hand over half their earnings to the Owner. Salons by JC is an innovative approach that is disrupting the business model.
In 1997, Jack Griffey and Cecil Miller began their journey to transform the beauty industry one salon suite at a time. Like most young entrepreneurs, they started out with a big idea but had to learn how to start and run a business from scratch. After a lot of perseverance and hard work, Salons by JC opened its doors in 1998 in Dallas, Texas, welcoming driven beauty and wellness specialists ready to break free from the traditional salon model.
Today, Salons by JC has 53 locations in over 20 states and Canada. In 2016 Salons by JC plans to add 25 more locations throughout the U.S. and Canada and is committed to developing over 200 stores in all major markets over the next several years.
Instead of renting a big space with a lot of overhead, a hairdresser can bring their clients to a sub-rented space under the Salons by JC banner. In Greensboro, North Carolina, franchise/area developer Garret Bedrin provides more than space. He is creating a community of hairdresser who can sublease a portion of space. Some of the services offered within the spa environment include
- Fully customizable salon suites
- Complimentary concierge service
- Secure 24/7 access
- No schedule restrictions
- Central vacuum system in every suite
- Free WiFi
- Free online booking
- Free credit card processing setup
- Marketing assistance
- Indoor and outdoor break areas
- Washer and dryer onsite
Shear Entrepreneurs
The business model works because self-employed hairdressers can earn 20-40% more compared to being employed by a salon. Everything is provided to help them make this a small business of their own. The concepts work especially well for people who already have a steady client base but need a place to work that they own. Individuals provide hair, skin or nail care, massage therapy, makeup, hair extensions, body art, tanning, and cosmetics.
Garret shared with me that he understands if he can help each beauty and wellness provider become successful, he can be successful. He looks for innovative ways to make the environment fun and inviting so that clients will share their stories with their friends. By listening carefully to their needs, Garret can provide services and support to help his customers, help their customers.
Cutting Edge Lessons
Four lessons you can take away from Salons by JC that might help you rethink another category ripe for revolution:
- Can you turn a group of employees into entrepreneurs by providing them with guidance, service, and bite-sized investments?
- Can you shift the feeling of a retail environment when everyone is an entrepreneur working by themselves, yet part of a collective, collaborative community?
- Is there a slice of an industry that hasn’t changed much since your parent’s generation? It may be a sign that what appears to be working is ready for change through technology or a fresh business model that reinvents how you deliver a service.
- Salons by JC borrows from the sub-renting of office space where you can rent a room and get access to services (copiers, administrative help, and conference rooms). Innovation often comes from borrowing from outside of your category. Can you use an idea from another similar real estate concept and give it a fresh look?
Do you know of an industry where employees would love to be independent, self-employed contractors who just need some guidance and structure to help them get started? Uber has done this with the taxi industry turning anyone into a part-time cab driver through technology. AirBnB has turned anyone into a small business owner renting space in their homes.
Take a look at how other industries are changing so you can get your cut of the profits.
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Could you use a marketing coach or advisor to help you find a new style or business model? Contact me.
Photo credit: Salons by JC
Note: Garret, the North Carolina franchise/area developer is my nephew.
Show me a hairstylist making 20 to 40 % more revenue by renting a suite and I’ll show you a tax wvader. Hairstylist will make around the same once you minus all other expenses including self employment tax.
Rob, I was reporting an estimated told to me by my nephew and consistent with what I have heard from several other sources so take it as an estimate. If I were interested in knowing more, I would talk to people who are working in these rental salons to get first-hand information. Thanks for your comment.