What are the 10 Forces Shaping the Salon Industry Right Now?
The salon industry is constantly changing. It always has and it always will. Some of the changes you’ll like and others you won’t.
Either way, understanding what drives change allows you to anticipate the future and prepare for the opportunities that come with change.
In this episode, I walk through 10 drivers of change that are reshaping how salons operate, who clients are becoming, and how the competitive landscape is shifting in ways that will catch a lot of people off guard.
Some of what I cover will feel familiar. Some of it might surprise you. But the final point on my list is the one I think very few people in the industry are talking about, and I genuinely believe it could be the most significant shift we see over the next decade. If you care about where your business and this industry are heading, this one is worth your time.
IN THIS EPISODE:
- Why the competitive landscape is shifting and what it means for employee-based salon owners specifically
- How economic pressure and changing consumer behaviour are forcing salons to operate differently
- The generational shift happening at both ends of the workforce and what it means for salon ownership
- Why AI will not replace hairdressers, and how it could actually free salon owners up to focus on what matters most
- The surprising prediction about who the salon owner of the future might be and why it could be good news for the industry
- What the Anthropic report on AI and employment reveals about where hairdressing sits relative to other industries
HERE'S THE CHART MENTIONED IN THIS EPISODE
What this chart depicts is a breakdown of how much of each occupation's work AI can theoretically perform (the blue section) versus how much it's actually performing right now (the red section).
The blue bars are what AI can theoretically do today. Not in five years. TODAY.
The personal care section [5 from the bottom is where hair and beauty service would be included.
Look at the red bars. That's the observed usage. The gap between theoretical capability and actual adoption.
The 20% potential in blue for the ‘Personal Care Section’ is where salon management systems, AI receptionists, colour formulations, colour mixing, inventory ordering, payroll, accounting/bookkeeping, budgets, financial management, staff scheduling, marketing etc exists and all of that can and will be done by AI. The other 80% is the practical skills of hair and beauty services, the one-to-one human relationships and the client experience.
EPISODE TIMESTAMPS
[00:00] Introduction: thinking about the future of the salon industry
[01:14] Understanding the forces that drive change before they arrive
[01:42] Driver 1: where competition is now coming from in hairdressing
[03:00] Driver 2: rising costs, slim margins, and a changing economy
[04:00] Driver 3: how government regulation is reshaping how salons hire
[05:00] Driver 4: how employee expectations have fundamentally shifted post-COVID
[06:12] Driver 5: what clients want now and how appointment patterns are changing
[07:16] Driver 6: generational change from Gen Z to ageing baby boomer owners
[09:05] Driver 7: environmental pressures and what they mean for salons
[10:00] Driver 8: how salon design is evolving to reflect a changing world
[10:17] Driver 9: technology, AI, and why the human side of hairdressing gets more valuable
[12:36] Driver 10: who will actually own salons in the future
[13:15] The Anthropic report and what it says about hairdressing and AI risk
[15:00] Why disrupted professionals may turn to the salon industry next
[16:02] What this all means for you and where to get help
Want MORE to help you GROW?
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Until next time!
Antony
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