Level Pricing System | Michelina's Hair Salon (2024)

FAQs

How are salon services prices calculated? ›

Add up your product, labor, and overhead costs and multiply that total by your desired profit margin. That should give you an idea of what your prices should be but you may need to adjust based on the information you gathered when researching competitor prices in your area.

LEVEL 5- EXECUTIVE DESIGNER

They've put in the time, energy, and education necessary to earn their title. They are phenomenal communicators who are going to deliver advanced hair cutting and coloring techniques that are custom to each guest.

Level 4AA. s reserved for our most experienced and in high demand service providers in our salon. They are well-known for their work, have reached rigorous goals and met our education and skill requirements.

Here's a simple guide if quick math also isn't your strong suit: $25 service = $5 tip. $50 service = $10 tip. $100 service = $20 tip.

The cost-plus pricing model takes into account all of your business expenses – rent, products, staff wages – then adds on a profit margin. It's simple, but doesn't consider how much clients think your services are worth. Value-based pricing, on the other hand, sets prices based on perceived value.

Salons can earn an average profit margin of 8.2%, which is actually higher than the general business average of 7.7%. Of course, salons that are well managed can earn well above this average. A 10% profit margin is usually the minimum aim, though the better you can manage your salon finances, the higher this can be.

Level 2 Stylist

They are competent in foundational cutting, styling, and coloring services, and they often collaborate with our Senior/Master Stylists for more advanced services.

The Hairdressing NVQ Level 3 is a nationally recognised qualification ideal for anyone who wants to further their current skills in cutting, colouring and styling. Train in our realistic salon environment to ensure you gain commercial experience in advanced cutting, colouring, styling plus lots more.

Level 3 Stylist have undergone extensive training and many hours of continuing education to stay up to date on all new trends and techniques. They are masters at advanced services such as haircutting, balayage, all highlighting techniques and color correction services.

Master Stylist - L4

This stylist is a leader in the salon company, and their services are the most in demand. They book several weeks or more in advance, have the most hands-on experience and meet other benchmarks such as customer satisfaction and referrals from happy clients.

What is a Level 6 hairdresser? ›

LEVEL 6 - A Hair and Beauty Employee Level 6 will cover employees such as a beauty therapist who holds a Diploma in Beauty Therapy (or equivalent).

This system of levels is used by hair color manufacturers to communicate the darkness or lightness of a shade. Better Natured hair color levels range from 1-10, with 1 being the darkest (black) and 10 being the lightest (lightest blonde).

Remember the golden rule: "You should tip 20% on the entire service cost, not per individual," says Schweitzer. So if your haircut and blow-dry cost $40 total, and your color was $60, your total service cost comes to $100. That means you should tip $20 divided between the colorist and stylist.

Proper tipping etiquette is generally 15-20% on the services you receive. (Do not feel obligated to tip 15-20% of your total with product included.) If you feel your technician has gone above and beyond your expectations, then it is okay to tip at a larger percentage.

If someone assisted your stylist, it is acceptable to tip them anywhere from $5 to $20 depending on how involved they were. Looking to book an appointment with a hairdresser that is sure to give you a style worthy of an amazing tip? Use our salon locator to book an appointment at a salon near you.

Simple math meets reality: There are simple valuation multipliers like 1 to 1.5 x annual revenue, or 3 to 4 x earnings (annual Net Profit). Of the two, 3 to 4 x earnings will typically be the more realistic number.

The most straightforward structure is paying stylists a set percentage of the total price for every service performed. For example, nail techs earn 50% commission on manicures and pedicures, while colorists get 60% of chemical services rendered. You retain the remainder.

We asked three etiquette experts, two salon professionals and a certified financial planner. Most of these experts suggest leaving 15% to 20%, depending on the service and your satisfaction. Going with 20% is nice for the stylist and you because that math is pretty simple.