Slashing Waste to Reinvest in the Salon
Calculating exactly how much money her salon spent on colourcolor that ended up as waste left Lisa Hill speechless. The weekly sludge accumulated in the waste bucket added up to more than £5,300$7,000 per year in product paid for, dispensed, and then thrown away.
“And that didn’t include any that had been washed away” says Lisa, manager of Bombshell Beauty Lounge in Gainesville, VA.
It was like pouring money down the sinkdrain!
Lisa knew something needed to change, and looked for ways to help her salon cut back on waste.
“I ran a competition among the team to try to bring it down and that worked well until the competition was over, and no one had any reason to not over-dispense. There was no accountability, “ says Lisa. “So I put a question up on the Summit Salon Facebook page – how can I stop my team wasting colourcolor? The top recommendation by miles was Vish.”
Eliminating Salon Waste
Within two months of introducing Vish ColourColor Management technology, the salon saw waste fall dramatically. And the best part? It has stayed down – at less than £0.23$0.30 per service.
Lisa used to allow 7% of weekly service sales for product replenishment, and often hit – or exceeded – that budget. Since implementing Vish, she now spends less than 3%.
“We used to have cabinets and cabinets of colourcolor but we’ve got rid of all that. Instead, each week I pull off our Vish report, check what we’ve used to the gram, and replace only that,” adds Lisa.
“It is faster and vastly more efficient. Plus by slashing our inventory spend, we’ve been able to invest in the salon and the team.”
Reinvesting profits in the salon
This has included new steamers, refurbishment of the interior of the salon, repair and improvements in the backwash area (including massage chairs), additional education and greater financial security for the team. Experts have been in to talk to the team about 401ks.
It also gave Lisa the budget to invest in fun holiday retail packs early; in previous years it was more last-minute, which meant missing out on lucrative holiday-themed items.
“When I estimated 2021 earnings, I thought I was being ambitious, but it turns out I was conservative. I expect to top my estimates by more than £75,000$100,000 ,” says Lisa. “It means I can invest in our team in a way that was not possible before. And they deserve it.”