Executive Barber Shop Business Plan
Executive Barber Shop Business Plan
Executive Baber Shop Business Plan Overview
This is a Executive Barber Shop Business Plan to the Executive Barber Shop Business . Generally barber shops can be divided into two;
- Normal/ Traditional Barber Shops – The normal barber shops offer a basic hair cutting service where the main aim is to get the hair down with little or no regard for the experience while at it. They are the most common in every town center characterized by small rooms, two or so chairs, loud music, hair on the floor and a casual (in dressing and service) barber.
- Executive Barber Shops – The executive barber shops aim not only at offering a hair cut but also a superior experience while at it. Thus they lay premium emphasis on everything that is used in the process from the chairs to the towel, machines, ambience, cleanliness and all else.
The executive barber shops arose from a need to serve a customer who is health conscious, with enough income, lifestyle and social exposure to make him willing to pay a premium for personalized and higher quality service.
However the definition of executive barber shop is now somehow diluted. There are ‘normal’ barber shops which use “Executive” as a trade name but offer none of the superior services. There are others which only offer one or two premium services but still define themselves as executive; this is in comparison to the other barber shops in the location. The most common of the premium services being washing a customer’s head with warm water the shave.
Lastly are the barber shops which are “Executive” proper offering the whole range of premium services. Such are the focus of this report.
The Bigger Picture
Among the factors affecting the barber business at the national, macro level include:
- Population – The higher the population the larger the market; the more people there will be purchasing barber services. Kenya’s population is growing which means the customer base for the barber business is increasing.
- Inflation + Disposable Income – Though the overall inflation rate has slightly increased it’s not to the level that has largely negatively affected consumption of hair and beauty services among the middle class who form the majority of the executive barber shop customers. This is because good grooming is seen as important for upward mobility in business, work and even socially even in times of an economic downturn.
Barring any drastic economic or political shift the inflation rate is likely to remain within a range that will not negatively affect consumption of executive barber shop services in a major way. Conversations with some executive barber shops owners showed that in 2017 when political temperatures were high their businesses were negatively affected but only slightly because of the resulting economic slowdown.
Thus the target market is still seeking first rate barber services and unless inflation peaks to above 17% and the economy really slows down at which point disposable income will be significantly reduced they will continue to spend on superior personalized services. The biggest challenge with an economic slowdown is that there will be fewer consumers moving to the mid income level, the pie will remain the same and hence competition will be more intense.
Notable is the fact that executive barber shops have been moving from the traditional ‘middle class’ market to relatively lower income areas. This is driven by saturation in the ‘normal’ barber shop business and lower prices of equipment needed to give an executive feel. Indeed an executive feel is being driven more by service than simply equipment. The chances of success in both markets will become clear in the course of the Executive Barber Shop Business Plan.
One can’t ignore the fact that the total number of barber shops both traditional and executive is increasing, the market is gradually getting crowded, and in some areas actually is. Traditional barber shops are some of the easiest low capital low skills businesses to open.
Opportunity still exists in the business but specifically depends on the location and available alternatives there. Also note as competition increases in some areas the traditional barber shops are starting to offer executive experiences at ‘traditional’ prices. Eventually survival depends on local conditions and own set up.
Download Executive Barber Shop Business Plan / guidehere