HIGH MAINTENANCE SALON AND SPA
SITUATIONAL ANALYSIS
Amber Allen
Ellen Dash
Dan DeLuca
James Green
Paul Kalish
MMC5427
Summer 2014
SITUATIONAL ANALYSIS
CONTENTS
Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Company Overview . . . . . . . . . . . . . . . . . . . . . . . . 1
Target Public . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Industry Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Competition . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Website Review . . . . . . . . . . . . . . . . . . . . . . . . .
10
General Marketing Strategy . . . . . . . . . . . . . . . . . .
13
SEO Analytics . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
SWOT Analysis . . . . . . . . . . . . . . . . . . . . . . . . . .
15
General Strategy . . . . . . . . . . . . . . . . . . . . . . . . . 16
Appendix A - Competition Search Results . . . . . . . . . . . 17
Appendix B - Search Results Location . . . . . . . . . . . . . 18
Appendix C - Interview Questions and answers . . . . . . .
19
Appendix D - References . . . . . . . . . . . . . . . . . . . . 22
SITUATIONAL ANALYSIS
Introduction
The following report is designed to analyze High
Maintenance Salon and Day Spa’s overall position
in its marketplace and to suggest strategies
for improvement. As part of this process, High
Maintenance’s top competitors were identified and
examined in an effort to measure their marketing
strategies against those of the client.
An analysis of High Maintenance’s current website,
SEO and social media presence revealed a variety
of shortcomings, mostly due to a lack of time and
understanding about the correct way to leverage
these platforms. This is an issue owner Melissa Garris
freely admits and acknowledges a desire to improve.
We are confident that the strategies we propose
will lead to immediate dividends by enabling High
Maintenance to significantly expand its online
marketing profile.
Company Overview
High Maintenance Salon and Day Spa, family-owned
and operated and specializing in hair and nail
design, opened in 2003 in Cape Coral, Florida. After
eight years of working in the industry, owner Melissa
Garris decided to strike out on her own, refurbishing
a small realty office into a salon that at its opening,
had just one additional stylist.
In 2007, High Maintenance relocated to Cape
Harbour, a private upscale waterfront community
that includes luxury condominiums and estate
homes. High Maintenance is one of a dozen shops
on the 150-acre site, and as the lone hair and
beauty business on site, provides it with a distinct
advantage in targeting Cape Harbour’s residents.
However, Garris estimated that just 10 percent of
Logo for High Maintenance Salon and Day Spa
High Maintenance’s existing clientele lives in Cape
Harbour and proposed this could be due to the
seasonal nature of the community. She also said that
80 percent of her business comes from long-time
clients, defined as those who have been regulars at
High Maintenance for at least three years, with many
stretching more than a decade.
Currently, High Maintenance employs seven people:
three independent stylists, a nail and skin care
technician, a massage therapist, a receptionist and
a salon manager. The salon has room to grow its
workforce, with Garris stating she would like to add
two more stylists and expand its spa clientele, which
dropped off significantly in the years following
the recession. High Maintenance offers a full salon
experience but its most popular service is a woman’s
haircut, design and color. Since its Cape Harbour
client base is minimal, the business attempts to
cast a wide net, targeting everyone from working
mothers to retirees. With 21 years of experience
in the beauty industry, Garris’ goal is to facilitate a
relaxing, comfortable, friendly and fun atmosphere
while fulfilling the unique needs of each individual
guest.
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SITUATIONAL ANALYSIS
Target Public
High Maintenance Salon and Day Spa’s target public
is primarily female (80%) and comprised of adults
(90%) in the 25-65 age range (working class). The
majority of the clientele are from the local area, but
it is estimated that only 10% are from Cape Harbour
proper. Most clients (80%) have been regulars at
the salon for over three years; some as long as ten
years. This type of dedicated client is desired by the
salon; it brings in consistent and steady income for
a business that is impacted by seasonal population
fluctuation.
The salon is located in an upscale marina community
and mall area that helps to establish a certain
clientele. In general, the mall attracts a middle to
upper-middle income level population. The mall
hosts several events (e.g., live music) to attract
crowds to the mall’s businesses. The other nearby
businesses include boutiques, restaurants, and
art galleries. The website: http://www.come-tocape-coral.com/cape-harbour.html highlights the
Gender:
Female: 80%
Male: 20%
Age:
Adult: 90% (25 - 65)
Children: 10%
Income:
Average - above average
Location:
Neighboring communities
Basic demographics of the target audience
businesses in the area and has several pictures and
videos that capture the visitors to the mall area.
The salon’s pricing structure is aligned with the
market it intends to reach. The prices are nearly
double those of “budget” salons and there is an
expectation for quality among its clients. Even the
salon’s name “High Maintenance” attracts a particular
target audience.
The salon’s contemporary and upscale decor meets the expectations of the target audience
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SITUATIONAL ANALYSIS
Industry Analysis
Beauty salons (and barber shops) comprise a $40
billion industry (Professional Beauty Association,
2011). In many other business sectors, a large
portion of this would be dominated by the “big
boys,” or the larger chain shops. However, in the
salon industry, this is not the case. The 50 largest
salons in the U.S. only make up 15% of the revenue.
(Beauty Salon 2012, 2012) There are many more
Non-Employer Salons than there are Payroll Salons
(see Figure below).
primarily labor-driven. If a salon has a good location
and stylists with good technical skills, the salon can
successfully compete in a tight market.
Socially Conscious
One particular trend that has helped some salons
thrive over others is the use of “green” products.
Skeptical customers are asking even more out of
their stylists than ever before. Not only do they
want the regular services and products, but they
are also wanting to know what is in these products.
Organic, PETA certified, vegan, and carcinogen-free
items are highly sought after by a socially conscious
population. These specialty products might make
people feel socially conscious, but this feeling comes
at a premium. Salons typically charge between
12% to 16% more for organic products and services.
(Mitchell, 2011) These products are very important,
with 5% to 15% of their income coming from
product sales. (Beauty Salon 2012, 2012)
Products and Services
* Payroll Salons have paid employees, but NonEmployer Salons have no paid employees. This
can mean a salon owner/operator, an independent
contractor, a person leasing a chair, or a person who
“cuts from home.”
Competitive
The beauty salon industry is a very competitive
field with respect to one business over another. The
larger salons have very few advantages over the
small ones. Although a salon may be small, it can
be very successful – even amongst competition. In
fact, it can be just as profitable and successful as a
large salon. This is largely due to the industry being
The services that are offered by salons vary by
the demographics of the area and population
growth. In addition to offering the basic services,
like haircutting, styling, and shampooing, many
of them offer specialized services, like waxing and
tanning. These vary largely on demand. Many
of the specialized services don’t make financial
sense to maintain if there isn’t a large demand for
them. These special services are often expensive to
implement, maintain, and train stylists to use.
Employment Trends and Pay
The median hourly wage for barbers, hairdressers,
and cosmetologists was between $5 to $8
dollars less per hour than the median wage of all
occupations nationwide. (Beauty Salon 2012, 2012)
A salon employee’s skillset largely determines the
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SITUATIONAL ANALYSIS
Although the demand for barbers, hairdressers, and cosmetologists will always be present, the
median hourly wage is from $5 to $8 less per hour than the national average.
median wage. Like in most other jobs, the more you
can do, the more you can get paid.
The largest sector of the industry is hairdressers,
hairstylists, and cosmetologists. Second are barbers,
followed by shampooers. Almost half of the sector
is self-employed. It is a field that requires a lot of
stamina, since they are expected to be on their feet
all day and work long hours.
Overall, the demand for barbers, hairdressers,
cosmetologists, and shampooers is expected to
grow by 14% between 2010 and 2020, which is
on pace with the national average. (Professional
Beauty Association, 2011) Job opportunities for
the field are expected to be good, although the
competition will be tight for the higher paying
salon jobs. The industry itself is expected to grow
at an average annual rate of 3.3% to $49.3 billion by
2017. (Professional Beauty Association, 2011) Profits
should increase, mostly due to the sale of products
with higher profit margins.
4
SITUATIONAL ANALYSIS
Recession Resilient
“People are always going to need to get their
hair cut!” In an economy when there were tens of
thousands of businesses being lost every quarter,
the salon industry lost relatively little ground.
Between the fourth quarters of 2008 to 2009, there
were 92,000 private businesses lost. This was a
drop of one percent – a substantial amount in the
national economy. By comparison, the salon and
spa industry lost a mere 130 establishments, or one
tenth of a percent. (Professional Beauty Association,
2011)
Between January of 2000 and March of 2011, there
were 1.6 million fewer private-sector jobs in the
national economy. However, in the salon industry,
there were 75,000 jobs added. (Professional Beauty
Association, 2011)
Although the competition for salon jobs can be stiff
in some areas, it is an industry that should continue
to see growth. If salons can keep ahead of trends,
adapt to the ever-changing demographics and
population of their respective areas, and build a loyal
client base, a salon and its employees can not only
do well, but thrive in any economy.
The salon industry outperformed the private sector in 9 of the past 11 years from January 2000 to March 2011.
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SITUATIONAL ANALYSIS
Competition
High Maintenance Salon has a great deal of
competition in the Cape Coral area. The client was
unaware of any competition for her industry in
the Cape Coral area. However, when “hair salon
cape coral” was typed into a google search, High
Maintenance Salon did not show up until the fourth
page (see Appendix A). The following section details
the top three websites that appeared in that google
search: Neff Studio Salon, The Hair Gallery Salon and
Day Spa, and Cre8 Salon and Spa. (See Appendix B.)
The Cut and Color Price Comparison table compares
the prices of High Maintenance’s most popular
services with the prices offered by the top three
competitors.
The Social Media table displays High Maintenance’s
social media presence compared to the industry
competitors.
WIFI, which is not standard to find at a hair salon.
All of the stylists have Florida State Cosmetology
training and AVEDA training and attend new training
classes each quarter.
Neff Studio and Salon website is only slightly
better than High Maintenance’s website. The
layout feels cluttered. It’s very text heavy and the
photos presented look like stock photos. The color
scheme not as busy as High Maintenance’s all blue
background and multiple fonts. Salon services
are listed in a clean and easy to read format. The
website offers an option to book online reservations
for the convenience of their customers.
Neff’s only platform for social media is a Facebook
page that they update regularly with specials,
events, and informative hair articles (see Social
Media table). They stay active in the community and
share links to all the organizations they support.
Neff Studio Salon
http://www.neffstudio.com/
Neff Studio Salon is the first organic search
result that appears when searching “hair salon
cape coral.” Neff Studio Salon is an AVEDA salon
and offers 4 levels of hair stylists based on your
individual needs and price points. Neff Studio
Salon distinguishes itself from other competition
by offering complementary services with every hair
and skin treatment. These services include hand and
arm massage, hot facial towel with aroma therapy
treatment, beverage of your choice (including
beer and wine), and scalp and neck massage. The
salon is open 7 days a week. Neff Studio Salon also
advertises that they are a “non-gratuity salon,” so the
price listed is the price you pay. The salon offers free
Neff Studio Salon’s website is frequently updated
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SITUATIONAL ANALYSIS
Services Analysis
Neff Studio Salon offers a multi-level pricing
structure with four tiers of pricing. The pricing
listed on their website is the cheapest option
offered with the first level of stylist. You can expect
to pay an additional $10 for each higher level of
stylist. Neff Studio Salon offers 9 hair cut options,
10 color options, and 8 texturizing treatments (see
Cut and Color Price Comparison table). The starting
prices for haircut and highlights are lower than
High Maintenance, but with the tiered level pricing,
prices for those services will end up exceeding High
Maintenance in the higher level options. They offer a
small selection of spa and remedy options including
mini facial, makeup application, and hair removal.
For all hair cut options they charge an additional $10
for long or thick hair.
The Hair Gallery Salon and Day
Spa
http://hairgallerysalonanddayspa.com/
The Hair Gallery Salon and Day Spa is the second
organic search result that appears when searching
“hair salon cape coral.” The Hair Gallery is one of
Cape Coral’s oldest health and beauty businesses,
celebrating its 30th anniversary in 2014. The salon
lists 13 employees on its website, nine of whom
are stylists or spa technicians and is open every
day but Sunday. The Hair Gallery lists few specifics
relating to the quality of its services and its stylists
and technicians, instead relying on generic promises
such as “We are so committed to our craft, we assure
you will walk out of the Hair Gallery Salon and Day
Spa with a fabulous experience, created just for you.”
Hair Gallery’s website, while featuring a multicolor
scheme that’s a bit hard on the eyes, does offer
the ability to book appointments online with two
stylists and three technicians, a convenient feature
that High Maintenance’s website does not include.
It also features an entire page of special promotions,
which also notes The Hair Gallery’s acceptance of
gift cards from SpaFinder and Spawish, two national
marketing and gifting companies for the wellness
industry.
The Hair Gallery prominently features social media
links to Facebook, Twitter and Google+ on its
home page (see Social Media table). However,
the embedded Facebook comment widget on its
contact page hasn’t been updated since September,
2013 and the business has tweeted just six times
since opening its Twitter account in August of 2013.
Services Analysis
The Hair Gallery offers 11 hair cut options, five color
selections and two texturizing choices. The salon
uses a single-tiered price structure similar to the one
employed by High Maintenance and the prices of
the two salons are comparable. In addition, the Hair
Gallery also offers an expansive list of spa services,
including 9 skin care, massage and body treatments,
8 hair removal, 6 makeup, and 11 nail services
options (see Cut and Color Price Comparison table).
Hair Gallery’s website has online appointments
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SITUATIONAL ANALYSIS
Cre8 Salon and Spa
http://cre8salon.com/
Cre8 Salon and Spa is the third organic search
result that appears when searching “hair salon cape
coral”. Cre8 Salon and Spa was established in 2006
and was the first full service salon and spa on Pine
Island road. The salon a family-owned business. The
owners Marcy and Jeff lost their daughter in a tragic
accident and that’s what inspired and fueled them to
start their own company in her memory. The salon
has Arrojo trained hairstylists and Redken certified
color, nail, makeup, skin, and massage therapists.
They claim to be “trend setting hair services..that
make you look and feel your best”. The Arrojo
culture is to “ensure the clients’ hair looks great every
day, not just on the day of their salon service.”
The Cre8 website is very clean and modern. It is
easy to navigate and offers several great options for
customers, including a section where clients can
make online reservations. The services tab breaks
up the services into logical categories and it’s easy to
pick which options are best for you. Another great
feature of the website is a page devoted to reviews.
Potential clients can read customer testimonials
straight from the website.
Cre8 has a strong social media presence including
a Facebook page, Twitter, Pinterest, Instagram,
Youtube, and even a blog (see Social Media table).
All social media platforms are updated regularly. The
pinterest and youtube channels are a great way to
give clients hair inspiration before visiting the salon.
Services Analysis
Similar to Neff Studio Salon, Cre8 offers a multi level
pricing structure with four tiers of pricing. The
website lists the cheapest options for the first level
of stylist. They do not define how much extra you
will pay for each next level of stylist. Cre8 Salon
and Spa offers 7 haircut options, 7 color options,
and 7 texturizing treatments. The starting price
points for their hair services are below what High
Maintenance charges, but with the tiered stylist and
pricing likely it exceeds High Maintenance’s single
tier rate. In addition to hair services, they also offer a
vast selection of spa and remedy options including
7 skin care, 4 makeup application, 13 hair removal,
and 16 nail services options (see Cut and Color Price
Comparison table).
Cre8’s clean modern website also allows for online
reservations
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SITUATIONAL ANALYSIS
Cut and Color Price Comparison Table
Women’s Cut &
Style
Single Process
Color
Full Highlights
High Maintenance Salon And Spa
$48+
$70+
$100+
Neff Studio Salon
$30+
$80+
$92+
Hair Gallery Salon and Day Spa
$50+
$65+
$95+
Cre8 Salon and Spa
$41+
$53+
$96+
Facebook
Twitter
Other
High Maintenance Salon And Spa
Yes
-
Google+
Neff Studio Salon
Yes
-
-
Hair Gallery Salon and Day Spa
Yes
Yes
Google+
Cre8 Salon and Spa
Yes
Yes
Pinterest
Instagram
YouTube
Salon
Social Media Table
Salon
9
SITUATIONAL ANALYSIS
Website Review
http://highmaintenancesalondayspa.com/
The salon’s own website was initially created in 2008 and has been lightly maintained. It is built on a salon
style template which makes construction and modification relatively easy. It is informative, but it is overdue
for an update in terms of information, functionality, and style. The strengths and weaknesses of each primary
page are provided below.
General/overall
Strengths:
• Informative – has phone, address, hours on front
page
• Navigation – has the necessities; also has bread
crumb trail to show where you are
• Pages load quickly (not large)
• Links are good (not broken)
• Images may correspond to target audience
Weaknesses:
• Does not convey a professional image. Could be
a turn off to prospective clients.
• Does not convey message in email “Our goals are
to provide a relaxing, comfortable, friendly, fun
experience.” … “We want to target everyone” …
“best referral business”
• No social media links
• No online scheduling capability
• Not maintained and kept up-to-date
• Have to scroll to bottom of page to find phone
number
• Poor design – too many fonts; few images; layout
could be improved
• Not responsive design; does not look good on
mobile devices.
• Colors could be more exciting/dramatic
• Background images convey Hawaiian theme
more than a hair salon
• Site does not match the business’ own logo/style.
(It does not even contain the company logo.)
• Images are generally small; could use more
images and larger images that match the target
audience
General page style has navigation along the right side
and content composed of three images across the top
and text below. The salon’s phone number is at the
bottom of every page in the footer.
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SITUATIONAL ANALYSIS
Home Page
Strengths:
• Informative – has introductory comments
• Uncluttered
Weaknesses:
• Lacks excitement
• Aesthetically unappealing – which does not
reflect well for a business that promotes “good
looks”
• Stock images
• Too wordy
• Content not unique
• Not discriminating from other salons
Home page introduces the salon and philosophy
about us Page
Strengths:
• Has actual salon images
Weaknesses:
• Does not describe the entire staff
• The Staff Bios link only has brief information
about the owner, and it lacks any description of
credentials, experience, and specialties.
• Very wordy, yet words don’t correspond to
“About Us” (e.g., describes appointment policies)
• Not current
• Images too small
• Images only feature salon; should also show the
staff
About Us page describes the salon and some staff
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SITUATIONAL ANALYSIS
Contact us Page
Strengths:
• Short form
• Informative; provides address and phone also
Weaknesses:
• Minor misalignment
• Use of stock images, and images are unrelated to
topic
• Might need “Captcha” to prevent junk emails
Contact Us page provides address, phone, and email
Services Page
Strengths:
• Has links to basic price information
• Kept current
Weaknesses:
• Color services listed twice (Color > Color)
• Could be organized into major categories rather
than just a single list
• Same “services” images for the different services.
When looking at color, would expect to see hair
color images, but instead there are makeup and
nail images.
Services page lists the salon’s services with links to
prices
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SITUATIONAL ANALYSIS
Product Lines Page
Strengths:
• Informative – has introductory comments
• Lists reputable products; provides links to other
sites
Weaknesses:
• Needs to be kept current; has not been recently
updated
Summary
The salon’s website is due for an overhaul, especially
when compared with competitor’s websites. The
website should reflect the company’s goals and
address the target audience in an aesthetically
pleasing manner. It could benefit from stronger,
bolder images, staff descriptions, and new features
such as online scheduling. Integration with social
media is strongly recommended.
Product Lines page lists several top-end companies
General Marketing Strategy
Melissa Garris, the owner of High Maintenance Salon
and Spa, estimates that their marketing spending
last year was $9,000. Her current marketing strategy
to draw in new clients consists of a lot of word-ofmouth advertising. Their location features a plaza
that hosts weekly events. Every Tuesday, Friday, and
Sunday afternoon there is live music. She sees the
mass gathering of people as an opportunity to go
and meet potential clients in person, by going down
and talking about High Maintenance Salon and
Spa and all the services they offer. The plaza hosts
larger parties during holidays where they have set
up a table in the plaza to offer things like firecracker
ponytails, a dunk tank, spinning wheel, and henna
tattoos. During certain holiday parties, Garris and
her team of stylists have thrown beads from the
shop balcony in order to get people to look up and
see the salon.
The advertisements through Cape Harbor Realmark
has helped bring some business into the salon.
Garris also keeps a yellow pages ads, and says it is
still an effective means of marketing for her business.
She has also tried mailings in the past but received
zero return from it.
Garris currently does not own a home computer.
This might be one of the reasons she is reluctant to
branch out into online marketing.
13
SITUATIONAL ANALYSIS
SEO Analytics
What the company/organization has tried
before and the results?
There is a Facebook and Google+ page however
they have not updated them since they created the
accounts.
Who is employed to do their SEO/Analytics?
High Maintenance Salon does not currently employ
anyone to take care of their SEO/Analytics. Garris, the
owner, would like to use social media, but she does
not have the time.
SEO/Analytics goals
The needs of the client are that she would like to
be led in the right direction, know where she can
improve, and how to utilize website, social media,
marketing that is not being used to potential. She
wants to feel more comfortable and gain confidence
to use the tools she’s not using, and also to expand
into different avenues of marketing.
What is the company’s social media
presence? High Maintenance Salon currently has a Facebook
page but does not use it effectively to help drive
SEO and engagement with current and potential
clients. They do not update their Facebook page; it
is lacking a personal touch due to the absence of
any information about the salon, including lacking a
Legend:
PA: Page Authority: 22.7%
Total Links to Page: 12
photo of the business. This is a big detriment to not
only SEO, but also client engagement.
A Google+ account was setup for High Maintenance
Salon and some really great panoramic pictures of
the inside and outside of the salon. Unfortunately,
since it was set up there has been no updating to it.
Recommended SEO/Analytics
To help with SEO and SERP ranking we recommend
that High Maintenance Salon begin to use their
social media accounts as well as create a Google
Places/Bing-Yahoo Local account. Sites like Pinterest
and Flickr would be great outlets to post shots of
intricately done hair styles at the salon, to show off
the talents of the salon’s stylists.
High Maintenance Salon would benefit from signing
up for Google Places and Yahoo-Bing Local. By
utilizing these online services, they will show up
in geographically specific searches which would
help draw in new customers. Garris’ business is in
a unique market, where her potential customers
would search for her type of business by location,
and this is where Google Places would be a huge
help.
Open Site Explorer
The figure below summarizes results from Open Site
Explorer.
DA: Domain Authority: 9.89%
Total links to Root Domain: 72
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SITUATIONAL ANALYSIS
SWOT Analysis
Strengths
Weaknesses
• Use of textual links
• Breadcrumb trail
• Signed up for Facebook and Google+
•
•
•
•
•
Opportunities
Threats
•
•
•
•
•
•
•
•
•
Consistent use of social media
More effective use of Meta tags
Utilize image alt attribute
Cleaner website code
Website could be more mobile friendly
Better use of title tag
Prices higher than competitor’s prices
Page title (High Maintenance Studio in Cape
Coral, FL) not consistent with company name
(High Maintenance Salon and Day Spa)
•
•
Use of flash in title tag and navigation
Not using social media
Lack of rich snippets
No Google Places/Yahoo BIng Local setup
Website is hosted/maintained by 3rd party
Other local businesses ranking better in search
results
Low ranking on SERP
Box chain hair salons in the area (Great Clips)
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SITUATIONAL ANALYSIS
General Strategy
In addition to the recommended SEO/Analytics,
another area we recommend improving is High
Maintenance’s use of social media. Currently, the
business has a Facebook page and Google+ but
both are seriously under utilized. The Facebook page
has just three reviews in the past year and lacks a
personal touch, featuring no photos of the business
or staff. The Google+ page features an eye-catching
gallery of panoramic photos of the salon but has
just two followers. Garris has expressed a desire to
increase the salon’s social media presence and this is
a must. With the estimation that 85-90 percent of its
business comes through referrals, maintaining these
pages and keeping them relevant would allow High
Maintenance to increase its virtual word-of-mouth
and put its satisfied customers to work for them by
submitting positive reviews. We would also like to
see the updated business’ Facebook page’s news
feed embedded on High Maintenance’s website,
perhaps on the contact page, to provide prospective
clients with up-to-date news and reviews of the
business.
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SITUATIONAL ANALYSIS
Appendix A - Competition Search Results
Google search results for “hair salon cape coral fl”
17
SITUATIONAL ANALYSIS
Appendix B - Search Results Location
High Maintenance Salon and Spa appears on the fourth page of Google
18
SITUATIONAL ANALYSIS
Appendix C - Interview Questions and answers
Q: Tell us a bit about your personal career
experience and the history of your business.
A: I have been in the industry 21 years now wow!. I
started out and went to Mani/Pedi nail ext school.
got a job in a upscale salon and a year later went
to cosmetology school. Working there 8 years and
got burned, with the support of family and friends I
decide to open my own salon.
In 2003 High Maintenance Studio opened on Del
Prado with me and one stylist. We grew and were
asked to come to Cape Harbour and moved in 2007.
We currently have 3 independent stylists, a Nail tech/
skin care, massage therapist, receptionist and salon
manager.
Q: How would you describe your company’s
mission, culture and/or goals?
Q: What businesses do you see as your biggest
competition? Do you have a pricing strategy
based on your competition?
A: I really don’t feel I have a competitor. We try
to stay competitive with our pricing to be able to
provide to our community. We want everyone to be
able to have the experience.
Q: What are you currently using for social media
outreach? How often do you update social
media?
A: We have a website, Google, yellow pages and
of course the best referral business. Also at Cape
Harbour we have lots of events and community
marketing.
A: Our goals are to provide a relaxing, comfortable,
friendly, fun experience. Different guests need
different experiences at different times.
Note: Also has a FB page: https://www.
facebook.com/pages/High-Maintenance-SalonSpa/159609787404719 - But does not update it. It
does not even have any info about the salon; not
even a photo of the salon.
Q: Describe the target customer you are trying to
reach (age, education, geographic location).
Link to Google+ page: https://plus.google.
com/112163303027228627207/about
A: We want to target everyone from the working
parents to the retired grandparent and everyone in
between. The working class are the money spenders
in our market.
Q: When was the website originally created?
When was the last time the site was updated?
Who handles the site’s updating and editing?
Where is your site currently hosted? Would it be
possible to look at statistics on page visits?
Q: What is your most popular service that you
offer in the salon?
A: Our most popular service is a women’s haircut,
design and color service.
A: Website 2008 and Google+ 2013. Unfortunately I
am always so busy working behind the chair I don’t
know how to use all my resources and they need
updating.
SITUATIONAL ANALYSIS
After our discussion I’d just like to review for you
some of your questions. Starting with percentages,
our female to male rate and of course these are all
estimates is 80% to 20%, adults to children 90%
to 10% and our referral business is at least 85 to
90%. We truly rely on our referrals from our existing
clientele, they definitely spread the good word
about us. This is why 80% of our clients are longtime clients, we are lucky in that respect. They may
try elsewhere but come back.(it has happened and
they tell us their experience) I wish I could tell you
that the Cape Harbour residents are all flocking here
but no, maybe 10% and I don’t know why not! We do
not have much of a social media presence and that
could be part of it? We would like to improve on that
area but not sure how to go about doing so.
Q: What is your marketing strategy:
A: Referral, word of mouth. Facebook page may
or may not be functioning properly. Envision
program (http://www.envisionsalon.com/): Calendar,
appointments, accounting, automate, email
marketing strategy, sending existing clients coupons
Friend used envision and referred it.
Note: Mailouts were not effective. (Not a single
response?) Had more interest from throwing beads
when there is entertainment downstairs. (Cape
Harbour - RealMark? has some marketing - 5ks, 4th
of July, other events - that helps bring people to mall
area. Sometimes they set up a table downstairs and
do things - firecracker ponytails, dunk tank, spinning
wheel, henna tattoos)
New customer strategy: Live music Tues, Friday,
Sunday afternoon in plaza, bars below. Bring menus
of services, talk to people, spread the word.
Q: Have community events been successful in
bringing in clients?
People come from Pine Island, Naples, Fort Meyers.
Cape Harbor is a seasonal area.
Partner with Cape Harbor Rentals. Rental homes
have flyers inside. Sample size of Redken shampoos.
Q: What’s your busy season?
A: Oct 1-Jan 1 September is worst month. Before
recession, the salon was busy year round.
Q: Where is there growth potential in the salon?
A: Spa. Nail and skin care licensed specialists. I
massage specialist. Offers more massage options,
just not listed on the menu. Would also like to add
1-2 additional stylists. Right now there are 8 stylists
chairs. The goal is to grow the spa clientele more/
again.
Q: 2nd location?
A: No, not at the moment.
Q: How often do people come in from the
website?
A: Received many emails from website. Not sure on
amount.
Q: Have you considered booking option directly
through website?
Yes, Envision program might be able to offer that
option.
Q: Do your stylists take classes regularly to stay
current on trends?
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SITUATIONAL ANALYSIS
A: Yes, we are a Redken exclusive salon. Redken
school offers 4 classes a year. Stylists attend 1-2
classes each summer. Mandatory classes for stylists.
Q: When was the last time your website was
updated?
A: Not sure, a friend helped with all updates. At least
a year. Prices stay updated, menu is current. Owner
has control over website updates if price changes
occur.
Q: Have you looked at statistics on your website?
A: Yes, but can’t recall the last time she’s checked.
Right now she doesn’t even have a computer at
home.
Update: The site has been viewed 40 times in the
past 24 hours and 5,793 times this year.
They have the ability through Stylenet, for various
fees, to generate QR codes, send out email blasts
and set up texting/online booking services, but are
not utilizing any of these.
Q: What would you like to get out of the business
analysis?
A: She would like to be led in the right direction.
Know where she can improve. How to utilize
website, social media, marketing that is not
being used to potential. She wants to feel more
comfortable with a strategy. Give the confidence to
use the tools she’s not using. Growing to learn new
tools. Different ways to market.
Q: How much of your budget is spent towards
marketing?
A: $9,000, makes back at least the amount they are
spending towards marketing.
Still keeps a yellow pages ad because it keeps
bringing her business. She is unsure of the monthly
cost for yellow pages.
Q: Have you thought about switching to tiered
pricing?
A: No, she strongly disagrees with tiered pricing.
Salon success comes down to teamwork. The salon
is a commission based business. Coworkers could/
would steal clients, so it is Important for everyone to
be at the same level. Slowly increasing prices, even
though they know they are lower than they need to
be.
Q: Is there a risk of clients leaving and taking
clients with them?
A: Has not happened to her personally, but has seen
it happen. She doesn’t feel threatened by it. Can tell
right away if a worker is that type of person.
Q: Is Cape Harbor a vacation community?
A: No, Cape Harbor is really a boating community, it’s
not resort community. Tarpon Point (a close by area)
is more of the resort style community.
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SITUATIONAL ANALYSIS
Appendix D - References
Beauty Salon 2012. (2012). Retrieved from SBDCNet (Small Business Development Center Network): http://
www.sbdcnet.org/small-business-research-reports/beauty-salon-2012
Mitchell, S. (2011, December 4). HubPages. Retrieved from Salon Industry Trends For 2012 and Beyond:
http://scottmitchellfl.hubpages.com/hub/Salon-Industry
Professional Beauty Association. (2011). Economic Snapshot of the Salon and Spa Industry. Professional Beauty
Association.
Cape Harbour. (2014). Come to Cape Coral website. Retrieved June 27, 2014, from http://www.come-tocape-coral.com/cape-harbour.html
Cre8 Salon and Spa. (2014). Cre8 Salon and Spa website. Retrieved June 23, 2014, from http://cre8salon.com/
Neff Studio Salon. (2014). Neff Studio Salon website. Retrieved June 23, 2014, from http://www.neffstudio.
com/
Hair Gallery Salon and Day Spa. (2014). Hair Gallery Salon and Day Spa website. Retrieved June 23, 2014,
from http://www.hairgallerysalonanddayspa.com/
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