Want to make your hair salon stand out?
Your customers have plenty of options in terms of beauty service providers.
By failing to understand what clients want, your business can easily get lost in the crowd, making it challenging to generate clients and revenue.
In 2023, a NHBF survey revealed that 45% of hair salons were profitable. So the majority aren’t turning a profit.
If you want to be counted among those who make a profit, getting the latest hair salon industry statistics is essential. This will help you figure out what your clients are looking for in their ideal beauty business.
Coupled with the latest beauty products and hairstyling techniques, this information can give your business the edge in an extremely competitive market.
In this article, we’ll discuss the latest hair salon & beauty industry statistics & trends you should know to help generate revenue and increase success for your salon business.
Let’s get started.
1. Statistics about the hair salon industry
What is the state of the hair salon industry today?
If you’re keen to understand the size of the sector and whether it’s on a path of growth or not, this is the section with the hair salon industry statistics you’re looking for.
Here’s a look at some important data about the state of the hair salon industry today:
1) In 2020, the hair salon industry experienced a 39% decline in annual growth, marking the lowest period for the industry. However, this coincided with the COVID-19 pandemic which saw most of these businesses shut down. (Source – Statista)
2) 29% was the annual growth that the hair salons services market experienced in 2021. So hair salons bounced back really well from the pandemic, which was fueled by the continuous prioritization of personal grooming and self-care. (Source – Statista)
3) After a 16.9% increase in growth in 2022, the hair salons market exhibited a 3.8% decline in revenue in 2023. However, we’re likely to see it get back on the growth trajectory in 2024. (Source – Statista)
4) 1,335,986 people were employed in the hair salon industry in 2023. Breaking this down into further details, the most popular professions therein included nail technicians, hairdressers, hair stylists and cosmetologists. (Source – IBIS World)
5) 1.4 employees is the average size of the workforce of a hair salon business in the US. However, this may not necessarily mean that these business owners work alone, but instead prefer to work with independent contractors. (Source – IBIS World)
6) $20 is the median hourly wage in the hair salon industry, with the mean annual wage being $41, 780. This makes for some very alarming hair salon industry statistics considering the median wage across industries is $63,795. (Source – US BLS)
7) $1,184.8 million is the amount of revenue Great Clips Inc. made in 2024, translating to a $105.5 million profit margin. From this data, it tops the list of the most successful hair salon businesses followed by Regis Corp. (Source – IBIS World)
8) 0.2% is the average year-on-year growth rate for the number of employees hired in the hair salon industry between 2018 and 2033. So we can expect career opportunities in the industry to largely remain the same. (Source – IBIS World)
9) With a compound annual growth rate of 4.2%, the hair coloring & highlighting segment of the hair salon services market is the fastest growing. It therefore means that you can expect increased demand for this service from your clients. (Source – MFR)
10) $122.4 billion is the size of the women’s hair salon services segment, accounting for 65% of the market, with the male segment generating $26.7 billion in 2024. So you’re likely to earn more specializing in female hairstyling. (Source – MFR)
2. Beauty industry and market statistics
The beauty and personal care industry is large and vibrant.
This means that there are a lot of opportunities for you to create a successful brand in this niche to complement your hair salon business and expand your income streams.
So in this section, we’ll go over some important beauty industry statistics:
11) The beauty market is expected to grow by 6% every year until 2027, when it’ll reach a global value of approximately $580 billion. So it’s a great time to expand your product line and invest more in the industry. (Source – McKinsey)
12) At an annual growth rate of 8%, premiumization or the creation of beauty tiers is becoming a growing trend in the industry. It offers a way for you to provide more value to clients and increase earnings per service. (Source – McKinsey)
13) $114 billion is the predicted market value of the US beauty industry by 2027, with the Chinese market also expected to hit $96 billion. These statistics mean that these are the two top high-potential countries in this industry. (Source – McKinsey)
14) North America accounts for 20% of the worldwide beauty market in terms of revenue. In particular, the United States leads the charts within the region, generating the highest market demand even among countries globally. (Source – McKinsey)
15) $44.4 billion is the amount of revenue French beauty brand L’Oreal generated in 2023. It earns the crown of the top-ranked global beauty manufacturer, fueled by its ability to remain resilient amid changing beauty standards. (Source – Statista)
16) In 2023, Unilever generated $26.15 billion while Estee Lauder reeled in $15.2 billion as Proctable & Gamble made $15 billion. From these beauty industry statistics, this makes them the top three biggest beauty brands after L’Oreal. (Source – Statista)
17) 20% of L’Oreal’s market share came from Europe in 2023, making it the biggest market for the company. Other regions where its products remain very popular include North America, Asia and Latin America. (Source – Statista)
18) $67.18 billion is the market share for China, while Japan’s beauty market reached $45.96 billion in 2023. So alongside the US, they complete the three most promising beauty markets globally in terms of revenue. (Source – Statista)
19) $5.9 billion is the size of the beauty industry in Canada. This makes for quite a significant market size, which is fueled largely by increasing hair care awareness in the country. (Source – IBIS World)
20) 31% of consumers spend up to $50 on beauty products per month while 27% dedicate between $51 and $100. This covers products such as hair, makeup, lashes, and skincare solutions, among others. (Source – Statista)
3. Statistics about key consumer trends
Keen to learn about the latest consumer trends?
Understanding consumer purchase patterns, behaviors and trends is key to informing product line expansion and adapting your hair salon services to cash in on new crazes.
To help you do that, I’ve rounded up some key data about consumer trends in the hair salon and beauty industry:
21) 400% is the increase in the e-commerce in beauty market between 2015 and 2022. By selling your beauty products and marketing hair salon services online, you can reach a wider market and reel in more revenue. (Source – McKinsey)
22) $40 billion is the predicted value of the ultra luxury beauty market in 2027, representing a 200% growth from 2023. It involves offering your clients the rarest, most expensive and personalized salon services and beauty products. (Source – McKinsey)
23) 40% of your customers admitted they rely on influencers when purchasing beauty products online. Therefore, if you’d like to be very successful, influencer marketing needs to be part of your hair salon’s marketing strategies. (Source – Traackr)
24) Experiencing a 50% increase in online searches, Cool Wow’s DreamCoat Anti-Humidity Hair Spray is one of the most in-demand items in 2024. So I recommend you consider incorporating it in your hair salon’s product lineup. (Source – Cosmetify)
25) Garnering over 1.3 million searches online, the question “how to grow hair faster” was one of the most searched in 2024. It may be profitable to offer more salon services and beauty products around hair growth. (Source – Cosmetify)
26) Jennifer Aniton’s “Rachel” hairstyle receives approximately 368,600 searches every year. This piece of statistics means that it remains one of the most popular celebrity hairstyles today, with many turning to it for inspiration. (Source – Cosmetify)
27) 27% of customers in the US, Brazil, Germany, France and Italy said they often go for the layered cut while 21% love bob cuts. This makes them the top two most popular hairstyles among your female client base. (Source – Medihair)
28) 19% of clients prefer a slick back haircut while 17% favor a crew cut. In light of these beauty industry statistics, it’s safe for us to say that these are the most popular hairstyles among your male clientele. (Source – Medihair)
29) 6.1% is the CAGR of the vegan cosmetics market, which is on course to hit $101.82 billion by 2031. Going by these hair salon industry statistics, you should therefore expect more focus on vegan-friendly products from consumers. (Source – CMI)
30) 58% of shoppers desire more diversity and inclusion for beauty products. It’s a trend that we can expect to gain even more momentum in the hair salon and beauty industry, as focus shifts to women and minority-owned brands. (Source – Bolt)
4. Beauty & hair salon software statistics
Hair salon & spa software are great for business.
They enable you to manage appointments with your clients more efficiently, reduce scheduling conflicts and avoid no shows while they can also help you increase productivity and revenue.
In light of these, I’ve rounded up some key hair salon software statistics for you to take a look at:
31) 5 to 7 hours per week is the average amount of administrative time that hair salons save with hair salon software. This is time you can dedicate to winning more clients or learning new hairstyling techniques. (Source – Phorest Salon Software)
32) 82% of salon customers said they’d want to be able to book their appointments via their smartphone. A great hair salon software should therefore have a mobile-friendly customer portal to cater to your clients’ needs. (Source – Zenoti)
33) 86% of your clients would like to receive reminders about their appointments via text. Therefore, another key feature of hair salon software is automated text reminders, which can help you reduce no-shows for your salon. (Source – Zenoti)
34) 10.9% is the CAGR of the salon & spa software market, which will reach a market size of $1.69 billion by 2030. This growth is fueled by the need to leverage innovative technologies to improve salon efficiency. (Source – VMR)
35) 47% of salon businesses face financial challenges that prevent them from investing in hair salon software. While some of these tools may have huge capital requirements, many offer affordable monthly payment plans. (Source – VMR)
36) 73% of beauty businesses have at least one application to help manage various operations of their salon or spa activities. It’s clear that many owners are turning to technology to lighten their management burden. (Source – MDF)
37) 17% of salons and spas plan to incorporate software solutions in their workflow. With the right hair salon software, you can make running your hair salon much more hassle-free, profitable and efficient. (Source – MDF)
38) The USA claims 34% of the global salon & spa software market. This means that it’s the largest market in the world in this respect, which shows that many salon owners view them as a game-changer in this region. (Source – MDF)
39) Europe accounts for 33% of the global salon & spa software market, with Southeast Asia claiming 8%. From the beauty industry statistics we’ve discussed, this puts these regions among the top three largest markets worldwide. (Source – MDF)
40) 39% of the global salon & spa software market is dominated by five of the most popular vendors. In no particular order, they include Springer-Miller Systems, SalonTarget, Booker, Salon Iris and MINDBODY. (Source – MDF)
5. Statistics about hair salon appointment management
Want to improve appointment management?
Efficient appointment scheduling is very important for your hair salon because it enables you to fit more clients in to make more effective use of time slots and increase earnings.
This is why we’ll discuss some important hair salon industry statistics in this section to help you manage appointments better:
41) 60% of your clients prefer booking beauty appointments online. I recommend providing this option to clients because they can help you minimize no-shows and avoid cases of double-bookings as well. (Source – GetApp)
42) 33% of consumers book appointments with service providers via phone. So this remains the second most popular method to schedule appointments, and it’s vital to make this form of appointment setting painless to avoid losing clients. (Source – GetApp)
43) 3% of clients book beauty appointments either in-person, while 1% do so via text. So these beauty industry statistics tell us that these are the least popular methods of appointment scheduling among your clients. (Source – GetApp)
44) 42% of clients cited long hold times as the biggest pain point when they’re scheduling appointments by phone. This really adds to the frustration and really ruins customer experiences, which is why you should prioritize reducing it. (Source – GetApp)
45) 28% of appointments with hair salons are made in the evening after your business has closed shop for the day. So not having an after-hour booking system may mean losing at least three out of ten clients. (Source – Phorest Salon Software)
46) 18% of hair appointments, meanwhile, happen very early in the morning before you’ve even opened your doors. This further proves the need for a digital and 24-hour store front to help you avoid missed sales. (Source – Phorest Salon Software)
47) 6.49% is the no-show rate for offline-booked hair salon appointments, compared to 3.21% for online appointments. We can conclude from these hair salon industry statistics that online booking can reduce no-shows. (Source – Phorest Salon Software)
48) 43% of Gen Z clients expect you to provide online appointment booking compared to 36% of millennials. So while Gen Z customers might be more inclined to online booking, it’s a top concern across generations. (Source – Phorest Salon Software)
49) 52% of online bookings happen between 5PM and 9AM. It further proves the point that your hair salon receives most of its customers outside the typical operational hours for the average business. (Source – Booksalon)
50) 65% ofsSalons in Europe lack any form of digital appointment management solutions. This makes for some alarming hair salon industry statistics given that your modern customer demands digital services as a bare minimum. (Source – Booksalon)
6. Sustainable beauty & hair salon industry statistics
Sustainability is at the top of your client’s mind.
In light of worsening climate change and the growing momentum of client action initiatives, your customers expect you to be conscious about your environment and provide sustainable products and beauty services.
To help you understand these desires better, I’ve gathered the following data:
51) 40% of consumers always scrutinize a beauty product’s sustainability credentials before buying, while 30% do so occasionally. Going by this, it’s important to prioritize environmentally-friendly beauty products for your business. (Source – CleanHub)
52) 45% of consumers prioritize cruelty-free products when choosing sustainable and organic beauty and personal care solutions. This basically refers to products whose manufacturer doesn’t involve cruelty to animals. (Source – Statista)
53) 61% of consumers read the packaging to assess a beauty brand’s sustainability credential. If you sell sustainable beauty products, it’s therefore important to prominently display these credentials on the packaging. (Source – CleanHub)
54) 55% of customers are conflicted about whether brands are really living up to their sustainable claims. So skepticism still remains high, and it’s important to get your marketing strategy right to address this. (Source – YouGov)
55) 63,000 pounds of hair is wasted needlessly across hair salons every day. Most of this ends up in landfills, where it can degrade to produce greenhouse gasses that are harmful to our environment. (Source – Green Circles Salons)
56) 42,000 pounds of surplus hair color is discarded as waste daily by salons in the US and Canada. To help reduce your environmental impact, I recommend using a weighing scale to get precise hair color measurements. (Source – Green Circles Salons)
57) 64% of salons rated sustainability as “extremely important” for their businesses. While many know that it is important, it may be the cause that we still need to do a lot more to create greener hair salons. (Source – Green Circles Salons)
58) 86% of hair salons in the US and Canada are yet to try out a beauty waste recycling program in their business. One of the top two reasons behind this are a lack of awareness and inadequate capital. (Source – Green Circles Salons)
59) 81% of beauty product shoppers said they want brands to cut back on their use of plastic packaging. Instead, they want you to use recyclable plastics and other eco-friendly materials to help reduce the plastic waste problem. (Source – CleanHub)
60) 80% of consumers are willing to pay more for sustainable cosmetic products. So while they typically cost more than conventional products, they are worth it because your clients are willing to match the price. (Source – PwC)
7. Statistics about how clients choose salons
What do customers want in a hair salon?
By understanding your customer’s preferences in the ideal beauty provider, you’ll improve your chances of winning over new clients and earning their loyalty.
In this section, we’ll discuss some hair salon industry statistics to help us understand how your customers pick and choose service providers:
61) 22.5% of clients choose hair and beauty salons depending on location convenience. A significant number prefer businesses within close proximity, however, many of your customers are willing to brave the distance for top-quality services. (Source – Statista)
62) 59.3% of customers are loyal to hair and beauty salons that build a great relationship with them. It’s important to constantly communicate and nurture relationships with clients to stay on top of their minds. (Source – Statista)
63) 54.5% of customers prioritize salons that offer great value for money. To ensure your salon fits this description, I recommend offering value-added services, providing promotions and discounts, and rewarding loyalty. (Source – Statista)
64) 15.9% of clients stick with a salon that maintains a great reputation. If you’d like to build an excellent brand image, I suggest creating business listing onlines and adding stellar customer testimonials to your website. (Source – Statista)
65) 52.9% of customers said they’d keep returning to a salon if they’re happy with previous results. So you need to make a great first impression and also ensure that subsequent services live up to this expectation. (Source – Statista)
66) 58% of people begin their search for beauty products on a beauty retailer’s website. If your salon also sells beauty products online, having an excellent website is important to helping you get your solutions discovered. (Source – PowerReviews)
67) 92% of online shoppers admitted to relying on online reviews when shopping for beauty products. It’s therefore important to have a stellar reputation online if you’d like to win over more clients for your business. (Source – PowerReviews)
68) 67% of customers said that a warm and personal welcome defines a great in-person experience when visiting a salon. Having a friendly and empathetic receptionist can go a long way to improving this experience for your customers. (Source – Zenoti)
69) 54% of customers want a quick and easy check-in when they come into your salon. With the right tools, you can improve scheduling, and streamline check-ins to avoid frustrations from having to wait in line. (Source – Zenoti)
70) 9 out of 10 customers will avoid a salon that does not have a 4 out of 5 star rating online. To enhance ratings, I recommend acting on feedback from bad reviews to improve your services and building personable relationships. (Source – Zenoti)
8. Challenges of salon owners statistics
Running a hair salon has its ups and downs.
From the financial pressures of keeping your business profitable and attracting customers to the rising cost of doing business, serious obstacles stand in the way of success.
This is why we’ll be look at common challenges so you can learn how to prepare for these obstacles better:
71) Energy costs accounted for 40% of operational costs for the average hair salon in 2023. To help reduce your energy bill, I recommend buying energy-efficient equipment and negotiating a favorable contract with your energy supplier. (Source – Uswitch)
72) By 2025, there will be fewer than 3,400 hair and beauty apprentices in the United Kingdom. This is testament to the skills crisis that’s affecting not just the UK market, but hair and beauty salons everywhere. (Source – NHBF)
73) 88% of businesses said that customer needs are changing too fast to keep up. In their beauty industry, your client’s expectations, preferences and behaviors evolve quickly and staying updated is key to remaining relevant. (Source – Accenture)
74) 39.2% of hairdressers suffered from back, shoulder and neck pains. The job entails spending a lot of time on your feet, but you can reduce muscle strains by using a high stool and rectifying your posture. (Source – PubMed)
75) 44% of hairdressers reported experiencing itchy nose and eyes frequently because of their work. This results from exposure to fumes from hairdressing material, which is why it’s crucial to always use personal protective equipment. (Source – PubMed)
76) 57% of hair salons said they have unfilled vacancies, which can take up to 16 weeks or more to fill. From these hair salon industry statistics, it’s evident that there’s a huge problem finding skilled labor. (Source – NHBF)
77) Only 45% of customers make it to the second visit. Most salons are therefore struggling to turn appointments into relationships, probably because they focus too much on acquisition at the expense of existing customers. (Source – Boulevard)
78) Salons on average end up retaining 70% of clients who make it to the second visit,and 79% for those who make it to the third visit. So breaking the ice and making a great first impression is the turning point for improving retention. (Source – Boulevard)
79) 40% of customers want to try out new beauty products from their brands every 2 months. Therefore, the pressure is on for your business to find new ways to continuously innovate to meet customer needs. (Source – State of Beauty)
80) 48% of hair and beauty salon owners said that managing staff and keeping them motivated is a top challenge. I recommend using hair salon management software for more efficient staff management. (Source – Phorest)
9. Statistics about customized hair care and beauty
Do you offer personalized hair care and beauty products?
Your customers have diverse styling preferences, varying skin tones and other unique factors which is why personalization is gaining traction in the beauty industry.
In this section, we’ll analyze beauty industry statistics and trends on personalization:
81) 62% of customers want customized cosmetic products because it enables them to combine scents or fragrance as they wish. This is largely fueled by your clients’ motivation to create unique scents or products. (Source – Benchmarking Company)
82) 76% of clients revealed that the most important benefit of personalized beauty was the ability to choose products that matched their skin profile. A trend that is driven by the need to realize better skincare results. (Source – Benchmarking Company)
83) 67% of customers admitted that pricing is the top reason they’re looking for customized hair care & beauty solutions. Personalization enables them to eliminate costly ingredients & achieve lower product pricing. (Source – Benchmarking Company)
84) Growing at a massive CAGR of 16.9%, the personalized beauty market is on course to reach a value of $9.13 billion by 2031. These statistics suggest that personalization might be the new frontier of hair care. (Source – InsightAce Analytic)
85) 25.6% is the CAGR of the global market for personalized devices. This includes personalized skincare technologies like L’Oreal’s Perso, for example, which delivers custom formulations for foundation, lipstick and skin care products. (Source – FMI)
86) 60% of the global personalized device market goes to skin care devices in particular. As a result, they hold the largest market share in terms of device type, and it’s prudent to consider investing in them. (Source – FMI)
87) 76% of customers desire personalized beauty products from your beauty salon. If you were on the fence about customized solutions, these beauty industry statistics prove they can be a worthwhile investment. (Source – Vogue Business)
88) 75% of customers are willing to pay more for personalized beauty products and services. So it’s not only that they crave personalization, but also that they’re willing to pay more for you to give it to them. (Source – Bolt)
90) Only 23% of brands offer personalized beauty products to their customers. Despite widespread calls for personalization, it seems many brands still aren’t heeding the call, but this presents an opportunity for you to stand out. (Source – Vogue Business)
10. Hair and beauty salon website statistics
A hair salon website is a must-have today.
With most appointments happening online and your website typically being the first point of interaction with most leads, having a great website is important to the success of your business.
In this section, we’ll discuss important features that customers want to see on your website:
91) 56% of customers said that the most important thing they’d like to see on a salon’s website is a clear and helpful contact page. That’s probably because they’d like to ask you more questions about your services to examine your expertise. (Source – Phorest)
92) 62% of hair salon websites display their opening hours on the homepage of their websites. When you make this clear from the get-go, it’s easy for your customers to plan their schedules and book appointments conveniently. (Source – Phorest)
93) 25% of hair salons offer a map of their establishment’s location on their websites. Providing a map is also crucial, because it provides very elaborate directions that can help you get more walk-ins for your business. (Source – Phorest)
94) 40% of clients check service offerings and pricing on websites before they proceed with a beauty or hair salon appointment. It proves that you need to create a detailed service listing to encourage more bookings. (Source – Phorest)
95) 32% of hair salon customers said that an online booking option on a website is a very important feature for them. So your website should provide an online booking system that enables your clients to reserve sessions conveniently. (Source – Phorest)
96) 31% of customers want to see an “About Us” page on your beauty salon’s website. When well-written, this section of your website can help humanize your brand and build familiarity and trust with prospective clients. (Source – HubSpot)
97) 28% of clients expect your website to have a live chat feature. This is a great element to have because it can help you streamline appointment booking and guide client followup for your staff. (Source – HubSpot)
98) 30% of your salon’s website visitors want it to have social media icons. With these elements, you can make it easy for your clients to follow you on social media while it can also increase referrals for your business. (Source – HubSpot)
99) 58.67% of global website traffic came from mobile devices in 2023. This figure will only grow bigger in the coming years, and it proves the importance of having a salon website that’s optimized for mobile. (Source – Statista)
100) 4% of clients actively seek out salon websites to read their blogs and stay updated with the latest trends. That said, blogging remains a great way to build authority and generate leads for your salon from search traffic. (Source – Phorest)
Conclusion
New salon and beauty trends come and go.
So what’s working for your salon today may not necessarily cut it tomorrow.
If you want to grow alongside the hair and beauty industry, you need to continually step up your game by tapping into the latest trends.
Unfortunately, 50% of salons fail within the first three years, according to a study by Salons for Sale. It blames these failures on a dire shortage of crucial industry experience and expertise.
To build up industry knowledge and increase success for your business, analyzing the latest hair salon industry statistics goes a long way. They can pinpoint important trends to help you stay relevant and keep up with consumer habits.
Some of the important trends worth prioritizing include sustainable beauty products, hyper-personalized hair care and vegan-friendly cosmetics.
Implement these and the other essential insights you’ve discovered today to boost disruption resilience and increase success for your salon business.
