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How to Run a Successful Hair Salon Business in India

How to Run a Successful Hair Salon Business in India

What distinguishes an ombre from a sombre? Do you understand the distinctions between high- and lowlights? Are you always on the lookout for the newest hair style and cutting methods?

If you shook your head in agreement to the answers to these questions, you’re probably a good fit for the hair salon business. This may be the ideal moment to get started if you want to create a prosperous hair salon.   The Indian hair care market is expanding swiftly, and people are eager to spend more money to take better care of themselves.

Let’s study everything there is to know about the hair salon industry and discover how to operate a successful hair salon in India.

The Indian Hair Care And Grooming Sector

By 2023, the Indian haircare market is anticipated to be worth $511.81 million and increase at a rate of 17.10% annually. The shifting customer tastes and more product awareness are the main drivers of the development of the Indian hair care and grooming industries. Three factors—the youthful millennial generation, urban migration, and an increase in professional women who enjoy treating themselves—have contributed to this surge over the past ten years.

Urban dwellers are becoming more and more interested in utilising high-end hair care products and aren’t prepared to sacrifice quality, even if it means emptying their wallets. Along with more fundamental services like shampooing and conditioning, styling services like colouring, perming, and straightening are also in greater demand. In terms of salon chains, the Indian market is healthyly competitive with a variety of domestic and foreign chains of hair salons, but we’ll get to that later. Â

Six things to consider before starting a salon

Customers think of salons as a glam, opulent place where they may unwind and improve their look. But from a business standpoint, running a hair salon involves organisation, diligence, money, leadership, etc. There are a few key considerations if you’re intending to operate a hair salon.

Pick the proper location

There is no denying that a company’s site can decide the fate of it, and this is especially the case for hair salons. Make sure the site is handy for potential clients before launching a salon. It’s likely that if you can rent space in a crowded market or shopping centre, you’ll attract clients right away. Additionally, take into account nearby competition and facilities like parking.

Establish a clientele

The most effective strategy for luring customers and fostering customer loyalty is word-of-mouth advertising. You must conduct market research on your target market before establishing the salon and develop client acquisition techniques in line with your findings. For instance, you can pick a social media site to start building buzz if your target demographic is between the ages of 18 and 30.

Choose the appropriate employees

You must hire and properly educate skilled employees if you are the owner of a salon. Everyone at your salon, from the chief hairstylist to the receptionist, has to be well-versed on the brand, the industry, and, of course, excellent communication skills in order to deliver flawless services.

Update your knowledge

A formal education or training in the field of hair and other beauty services is not required. But as a salon owner, you have to stay on top of all the newest fashions and styling methods. Not only will this help you promote your salon more effectively, but it will also increase the amount of people who tell their friends about you.

Regularly update your business plan

Market research is essential and should change as your business develops. Keep updating your company strategy and tactics in line with market developments and customer demands if you want to flourish. Find a strategy to set your salon apart, keep an eye out for industry leaders, or try to fill a niche.

Customer service and support

You can invest a fortune in the decor, stock your salon with the newest goods, and find the most spectacular location, but none of this will matter if your customer care is lacking. Clients enter salons hoping to experience luxury and beauty. As a salon owner, you must always make sure that your customers get the most for their money and are as comfortable as possible.

How To Start An Indian Hair Salon Business

There are typically two approaches you may take if you want to open a hair salon in India. The first one is building a brand-new salon from scratch, while the second involves investing in a business opportunity for a hair salon. Let’s examine these two strategies in more detail.

Beginning A New Hair Salon From Nothing

For both aspiring and seasoned business owners, building a brand from beginning can be an exhilarating yet difficult endeavour. Here’s how to get started:

Develop a business plan by first conducting market research, then making a list of the goods and services you want to sell as well as other elements like marketing strategies, etc.

Find financing—look into the best options for raising money to launch your own company. Make sure you are prepared with financial estimates and growth rates before taking out a loan for your business or taking loans from family and friends.
Before deciding on a venue, carefully consider variables including its size, location, visibility, and accessibility.

Comply with legal requirements by applying for and obtaining the necessary licences, such as a business operation licence, an occupancy certificate, a construction permission, a permit from the fire department, etc.

Hire a team and hunt for prospective newcomers who can assist you develop your brand in addition to recruiting brilliant, seasoned professionals.

Create a budget and goals; pay great attention to your customer and financial goals, especially in the beginning.

The procedures listed above will assist you in making the necessary basic preparations, but the majority of your learning will occur once your business is up and running. However, if you’re opening a brand-new hair salon from scratch, it could take more time to establish a clientele or build a reputation. Similar to this, there will be restrictions on how quickly you may expand, and your company will only be available in the near vicinity of your salon.

Indian Hair Salon Franchise Opportunity

Numerous well-known companies in India allow businesspeople and entrepreneurs to run franchise salons, including Looks Unisex Salon, Affinity Salon Franchise, Lakme Salon, H2T Glamour (Head-2-Toe Glamour) Salons, Geetanjali Salon, Toni & Guy Salon, Blossom Kochhar’s Aroma Magic Franchise, Ash & Niell Franchise, and Jea-Claude Biguine. Instead of developing a new brand, choosing an Indian hair salon franchise business would allow you to work with an existing one. With the appropriate information, partners, and business strategy, it is a simple and painless approach to enter the sector. The best thing is that you may open a hair salon franchise in India even if you have no prior expertise in the beauty industry or any other type of company.

Naturally, there is less chance of failure, assistance from a well-known brand, and a ready-made consumer base since day one. There is, however, an opposing side to any enterprise. There is limited potential for originality in the company because its procedures and offerings are predetermined. Please fill out the Investor Enquiry form to contact us if you have any questions about opening a hair salon franchise.

How to Control Hair Salon Costs

Whatever route you choose to launch a hair salon in India, keep the following in mind to keep expenses to a minimum:

Inventory management

Being overstocked is different from being unprepared. Instead of carrying an excessive surplus of merchandise about with you at all times, do your study, seek professional guidance, or utilise an efficient inventory management system to decide how much inventory you actually need. It might be simple to lose track of the items and things because salon purchases are typically done in bulk, especially if you’re just starting out.


You could hire three people for a haircutting service—one to wash, one to cut, and one to blow dry—or you could teach one skilled employee to do all of these jobs well. Hair salons frequently overstaff, which unnecessarily raises operational costs. Consider preparing your personnel for a variety of roles.

Learn for yourself

Learn the skills and information needed to execute a variety of salon treatments on your own. This will assist you in keeping up with trends and lessen the need to hire more staff. You may, for instance, learn how to blow dry your hair the way you like it. Additionally, it will assist you in winning your clients’ respect and confidence.

While opening a brand-new hair salon from scratch can be gratifying and exciting, it also comes with enormous hurdles and a higher chance of failure. The beauty business is expanding at a dizzying rate in India. On the other side, for business owners without prior industry knowledge, opening a franchise might be a low-risk choice. Depend on the right kind of people while offering unmatched customer service and experiences. You can succeed if you are sincere about both business and hair, so don’t doubt that.

An engineer by qualification, Gaurav started his career in sales and marketing due to his affinity towards networking with people. After learning the tips and tricks of the trade, he made a fresh start as an entrepreneur in the franchising industry back in early 2018, with a vision to bring order and transparency to an unorganized sector. He founded and spearheaded Frankart Global Private Limited, where he consulted, developed, and scaled more than 120 domestic and international brands all over India ranging from different industries such as food & beverage, beauty & wellness, and FMCG retail to name a few. Post-Covid, in mid-2021, he developed FranDocX, India’s first ready-to-use franchise documentation service portal, for the MSME entrepreneurs who were severely affected by the pandemic, and wanted to avail an affordable franchise solution service. His aim is to regularize ethical business practices in the franchising sector so that a greater number of investors can participate and avail the benefits of a structured franchise framework.

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