Last Updated on 10/14/2025 by Eva Liu
You see costs go up and trends change often in salons. Securing suppliers with competitive pricing and trade discounts helps your profits. The best salons achieve gross margins over 70%. They do this by reducing waste and purchasing directly from makers. They also separate product and labour charges. Many salon owners find it challenging to source good products for a fair price. This is difficult because customer preferences shift rapidly. Choosing your own suppliers enhances your profits and safeguards your business.
Why Competitive Pricing Matters
Profit Impact
Pricing affects how much money your salon makes. If your prices are too high, clients might leave. If your prices are too low, you make less money. Many salon owners see profits change by up to 20% for different services. This is because stylists use different amounts of products. If you check how much product each stylist uses, you can guess profits better. You can also keep track of your stock. This helps protect your business.
Checking your prices often helps you keep up with changes. It is important for your salon’s money health.
It can also start price wars that lower your profits.
You need to balance good prices with extra services to earn money.
Costs like rent and wages change how you set prices.
Always know the least money you need to pay bills and make a profit.
Do not just use average numbers for product use. Using too much product wastes your stock and money. Using too little means you throw away unused colour. Both mistakes lower your profits.
Staying Competitive
Salons have lots of rivals. You need to be different to do well. Good pricing brings in new clients and keeps old ones. But price is not the only thing that matters. You need smart ideas to stay ahead.
Strategy | Description |
|---|---|
Unique Selling Points | Offer special skills or top products to give more value. |
Tiered Pricing | Give different price choices for all budgets and upsell. |
Change prices to fit trends and what clients want. | |
Use deals to get new clients and thank loyal ones. | |
Communicate Value | Tell clients about your skills and quality to explain your prices. |
You should check your prices often. Trends change quickly. If you do not change, you might fall behind. Good pricing and showing your value help your salon stay strong.
Finding Competitive Pricing
You lose money if you pay too much for supplies. Many salon owners spend extra because they do not compare prices. To keep your profits safe, you need to learn how to find good prices. Here are some steps to help you.
Researching Market Prices
You cannot set smart prices if you do not know what others charge. Some salons fail because they ignore the market. You must watch what your competitors do. Start by asking your clients about prices. Find out what they want to pay and what matters most. This helps you see if clients care about price and stops you losing them to cheaper salons.
Next, look at your competitors’ prices nearby. Visit their websites or call them. Write down their prices for each service and product. Use this information to check if your prices are too high or too low. Do not guess—use facts.
You should also read market reports and magazines. These show you new trends and average prices. They help you keep up with changes.
Ask your clients what prices they expect.
Check local competitor prices for every service.
Read reports for the latest pricing data.
Tip: Put these prices in a simple spreadsheet. Update it every three months. This helps you spot changes quickly.
Using Supplier Directories
You waste time and money if you buy from the first supplier you find. Many salon owners miss better deals because they do not use supplier directories. These websites connect you to many suppliers, so you can compare easily.
Here are some top directories to try:
Fresha: Connects you to a marketplace with lots of bookings.
Mindbody: Links you to wellness suppliers and many users.
Booksy: Gives access to thousands of professionals and clients.
Treatwell: The biggest booking site in Europe, trusted by many salon owners.
StyleSeat: Focuses on the U.S. and has strong client tools.
Not all directories are the same. Some suppliers have better quality and are more reliable. Always read reviews before you buy. Look for suppliers who deliver on time and have good products. Ask for samples before you buy a lot. This keeps your brand safe and your clients happy.
Check supplier reviews for their reputation.
Pick suppliers with a good record.
Test products before buying a lot.
Note: Good suppliers help you save money by up to 23%. They can become long-term partners for your business.
Comparing Multiple Quotes
Never pick the first price you get. Many salons lose money because they do not compare. You need to get several quotes to find the best deal. Follow these steps:
Ask people you trust for suggestions.
Meet vendors to see their products.
Talk about prices and terms with each one.
Use a table to compare cost, quality, reliability, and service.
Criteria | Supplier A | Supplier B | Supplier C |
|---|---|---|---|
Cost | £ | £ | £ |
Quality | ★★★★☆ | ★★★☆☆ | ★★★★★ |
Reliability | Yes | No | Yes |
Customer Service | Good | Average | Excellent |
Do not just look at price. Cheap prices do not help if products are bad or deliveries are late. Always check cost, quality, and service together. This way, you get real competitive pricing and avoid mistakes.
Cost: Get a good price but keep quality.
Quality: Only buy professional-grade products.
Reliability: Make sure suppliers deliver on time.
Customer service: Pick suppliers who treat you well.
Warning: One bad supplier can hurt your reputation and lose you clients. Always compare before you choose.
Building Supplier Relationships
Communication
Bad communication with suppliers can hurt your profits. You might lose money and get late deliveries. You could run out of stock. Many salon owners forget this and lose out. You need to talk to your suppliers often and be clear. If you do not, you miss good deals and new products.
Here are some ways to talk well with suppliers:
Strategy | Description |
|---|---|
Regular Communication | Speak to suppliers often. Tell them what you need and any changes. |
Build Trust | Be honest and open. Pay when you should and keep your promises. |
Flexibility | Change plans if things go wrong. Work together to fix problems fast. |
Beneficial Collaborations | Work as a team to make better products and new ideas for both you and your supplier. |
Tip: Set a reminder to talk to your main suppliers every month. This helps them remember you and shows you care about working together.
If you do not talk to suppliers, you might get bad stock or miss discounts. You cannot let this happen.
Trust & Reliability
Suppliers you cannot trust can ruin your business. They can make you miss appointments and upset clients. You can lose money. You need suppliers you trust every time. When you trust them, you get better prices and more help.
Good suppliers help you get better prices.
Using facts, not feelings, makes supplier relationships stronger and helps your money.
Talking with suppliers can lower your costs and help you earn more.
Wasting less product saves you money over time.
Using products that save energy lowers bills and keeps quality high.
Warning: One bad supplier can cost you thousands in lost bookings and refunds. Always check how your suppliers do and make sure they are reliable.
Pick suppliers who deliver on time and keep their word. Trust takes time, but you must protect your business from the start.
Bulk Buying & Loyalty
Volume Discounts
Stop wasting money on small orders. Suppliers punish you with high prices when you buy in small amounts. You lose profit every time you restock without a plan. Bulk buying changes the game. You get more for less, and your margins grow fast.
Most suppliers offer wholesale discounts when you buy in bulk. These discounts are not small. You can save between 10% and 50% on your supplies. That is real money back in your pocket.
Buy more, pay less—simple maths.
Secure your stock and avoid last-minute panic orders.
Cut down on delivery fees and wasted time.
Tip: Always ask your supplier for their bulk discount rates. If they do not offer at least 10%, you are leaving money on the table.
You cannot afford to ignore these savings. Every pound you save on stock is a pound you keep as profit. Do not let suppliers take advantage of your loyalty without giving you something back.
Loyalty Benefits
Loyalty is not just about sticking with one supplier. It is about making your money work harder. Many suppliers run loyalty programmes, but most salon owners never use them. You miss out on free products, discounts, and exclusive deals.
The best loyalty schemes reward you for every pound you spend. You build points and unlock bigger rewards as you go. Some of the most popular options include:
Point-based systems: Earn points for every purchase, then redeem them for discounts or free items.
Tiered rewards: Spend more, get better perks.
Referral programmes: Bring in new clients and get rewarded.
Memberships: Pay a fee for exclusive benefits and savings.
Punch cards: Get a free service after a set number of visits.
Service discounts: Save on select treatments for being loyal.
Product bundles: Access special packages at lower prices.
Birthday rewards: Enjoy treats or discounts during your birthday month.
Exclusive access: Try new products before anyone else.
Feedback incentives: Share your opinion and earn rewards.
Note: Ulta and Sephora have over 78 million loyalty members. These programmes work. They keep clients coming back and boost your revenue.
If you ignore loyalty benefits, you throw away easy savings. Make every order count. Demand more from your suppliers and watch your profits rise.
Negotiating Discounts
Preparing to Negotiate
You lose money every time you walk into a negotiation unprepared. Suppliers see you coming. They know when you have not done your homework. You must take control. Preparation is your weapon.
Research market prices. Know what others pay. Suppliers respect facts, not guesses.
Analyse your business needs. List the products you cannot run without. Decide how much you need for each order.
Set clear objectives. Write down your maximum price. Decide what terms you want. Never accept less.
You need proof to back up your demands. Suppliers will test you. Gather your data and show your strength.
Data/Documentation Type | Description |
|---|---|
Historical Spend Data | Track your past spending. Use this to set targets and show your buying power. |
Supplier Performance Metrics | Rate your suppliers. Use delivery times and quality scores to push for better deals. |
List other options. Show you can walk away if the deal is bad. | |
Know how long orders take. Use this to demand faster service or better terms. | |
Records of Past Orders | Prove your loyalty. Use your order history to ask for exclusive discounts. |
Tip: Suppliers respect numbers. Bring your data to every negotiation. Show you mean business.
What to Request
You must demand more. Suppliers will not offer discounts unless you ask. You need to know what to request. Do not settle for the first offer.
Ask for these trade discounts and payment terms:
Type of Discount | Description |
|---|---|
Cash Discounts | Get money off for paying invoices quickly. This boosts your cash flow. |
Quantity Discounts | Save more when you buy in bulk. Push for bigger discounts as your order size grows. |
Promotional Discounts | Use short-term deals to test new products or clear old stock. Create urgency and save money. |
Seasonal Discounts | Demand lower prices during slow periods. Stop inventory from piling up. |
Standard payment terms matter. Push for structures like “2/10 Net 30”. This means you get a 2% discount if you pay within 10 days. Every pound saved counts.
Warning: Suppliers will try to distract you with small perks. Focus on real discounts and better payment terms. Never accept less than you deserve.
Handling Objections
Suppliers will push back. They want to keep their margins high. You must fight for every discount. Do not let them win.
Use these tactics when suppliers resist:
Offer extra value. If they refuse a discount, ask for extended warranties or free training sessions.
Give options. Trade slower discount requests for guarantees or better service.
Propose alternatives. If you cannot get a price cut, demand an extended service plan or priority delivery.
Always get something in return. Never give up ground without gaining a new benefit.
Note: Every concession must come with a reward. If you give up on price, demand better terms or extras. Suppliers respect tough negotiators.
You cannot afford to be soft. Suppliers will test your limits. Stand firm. Use your data, demand more, and never walk away empty-handed.
Supplier Management
Monitoring Performance
If you do not check your suppliers, you can lose money and clients. Bad suppliers send things late and give poor products. This can hurt your salon’s name. You need to look at every order. Watch for any problems or delays. Make a simple table to keep track of how each supplier does:
Supplier Name | Delivery Time | Product Quality | Communication | Reliability |
|---|---|---|---|---|
Supplier A | On time | Excellent | Fast | Always |
Supplier B | Late | Poor | Slow | Sometimes |
Look at these scores every month. If a supplier does badly, change them quickly. Do not wait until you lose more money. Top salon owners say checking quality is very important. You must not forget this. Your clients want good service every time.
Tip: Put a reminder on your calendar to check suppliers at the end of each month. Do not let bad service continue.
Reviewing Agreements
Supplier contracts can put you in tough spots. Prices can go up, and suppliers might charge more without telling you. If a top supplier raises prices by 10%, your costs can go up by 5% to 15%. This can ruin your profits. You should look at every contract often. Do not wait for trouble.
Check contracts every three months.
Look for hidden charges or price jumps.
Compare your prices with what others pay.
Ask for better deals if costs go up.
Checking contracts helps keep your costs low. The best salons do this to keep profits safe. Do not just trust suppliers to be fair. Take charge and ask for better deals.
Warning: If you ignore contracts, you might pay more and lose money. Always pay attention.
Staying Organised
If you are messy, your business can suffer. You might miss orders, forget to pay, or lose track of your stock. Suppliers can take advantage if you are not organised. Use a computer system to keep track of orders, bills, and supplier details. Keep all your papers together.
Make a folder for suppliers on your computer.
Use a spreadsheet to write down every order and payment.
Set alerts on your calendar for contract checks and deliveries.
Being organised saves you time and money. You can spot problems early and fix them fast. Your salon works well, and suppliers will respect you.
Note: If you stay organised, you will not get surprised. Be ready and keep your salon strong.
You must pay attention to your supplier plan. If you spend too much or miss out on discounts, you lose money. Always check prices and compare different offers. Ask for better deals from your suppliers. Good relationships with suppliers help you get what you want. Talk with them often and manage your deals well. This helps you pay less and always have what you need. Long contracts let you ask for better rules and keep your business safe from running out of stock. Working closely with suppliers makes your job easier and helps your salon grow. Start now—look at your suppliers, ask for better deals, and see your profits go up.
