As we head into 2025, it’s the perfect time to take a closer look at your salon’s pricing strategy. Feeling unsure about how much to charge is completely normal, especially when it seems like everyone around you is just “winging it.” But guess what? Copying the struggling salon down the street isn’t the path to a thriving business.

The Question on Everyone’s Mind

“How much should I charge for this service?”
We hear this all the time. Too many salon owners check their competitors’ prices and think, “I guess I’ll do something similar.” But if your competitors are barely breaking even, following their lead can trap you in the same cycle of stress and low profits.

Aim for 80% Gross Margins

To break free, try this simple rule: Aim for 80% gross margins. That means if you charge $100 for a service, keep the total cost (products, staff time, etc.) under $20. With an extra $80 in profit per service, you’ll have more money to invest in your team, improve your client experience, and grow your business without constantly worrying about expenses.

Make It Work for Your Salon

If you’re thinking, “My clients won’t pay that,” try asking, “How can I make this work for them?” Some ideas

1. Bundle Services: Offer packages—like a facial plus a massage plus take home products. Clients love the feeling of getting more value.
2. Tiered Pricing: Create Bronze, Silver, and Gold levels. Your VIP clients get premium products, more time, or extra perks, justifying a higher price.
3. Add more Value: Include a free consultation, a handy skincare guide, or a deluxe sample with your premium services. Make clients feel special.

These small changes can help you stand out and justify your prices without scaring customers away.

Why Margins Matter

Strong margins mean you’re not just surviving—you’re growing. With 80% gross margins, you can breathe easier, knowing you have room to cover other costs and still earn a profit. Over time, this cushion allows you to improve every aspect of your salon, delighting clients and keeping staff happy.

Your Turn

2025 is just around the corner. Don’t wait until the new year to rethink your pricing strategy. Start testing these ideas now and watch how a small shift in pricing can lead to big changes in profits and peace of mind.

When you start seeing positive results, let us know! Your success story might inspire someone else to make the same smart move. Here’s to a profitable and stress free year ahead.