16th Anniversary!

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SALONTODAY.COM
A MODERN SALON PUBLICATION
>The SALON TODAY 200
FC_ST0112.indd 1
1/4/2012 1:14:18 PM
The competition that was built on salon growth now stretches beyond it to examine all the best management practices that contribute
to salon success. And, this year we’re even attempting to measure and reward what no one has attempted before—profitability! This
application might seem daunting, but remember, there are 11 competition categories, and you can compete in as few or as many
categories as you want. It’s up to you to design your ST200 experience.
This year’s categories include: Growth, Compensation & Benefits, Retention & Referral Programs, Customer Service, Recruitment and
Training, Advanced Education, Environmental Sustainability, Philanthropy, Technology, Retail & Merchandising, and Planned Profitability.
ALL SALONS MUST COMPLETE THE APPLICANT INFORMATION SECTION. THEN, EACH APPLICANT MUST COMPLETE AT
LEAST ONE OF THE BEST PRACTICE SECTIONS. You may though, compete in as many Best Practice sections as you want. All essay
responses should be typed on a separate sheet of paper and clearly marked by Best Practice section, essay number and salon name.
All applicants must submit a one-time, non-refundable $75 processing fee. GROWTH applicants also must submit verified
financial information, as detailed on page 8.
The SALON TODAY 200 will be published in the January/February 2013 issue. Good luck!
See back cover for SALON TODAY eligibility and criteria rules.
APPLICANT INFORMATION
Name of salon: ________________________________________________________________________________________________________________________
Salon owner name(s): __________________________________________________________________________________________________________________
Salon street address: ___________________________________________________________________________________________________________________
City: ___________________________________________________________________________ State: ____________________ Zip: ________________________
Business phone: ______________________________________________________
Fax: _______________________________________________________
E-mail address: ________________________________________________________________________________________________________________________
Website address: ______________________________________________________________________________________________________________________
Have you applied before? ______ Yes ______ No
If yes, have you been named a Salon Today 200 Salon before? ______ Yes ______ No
What year(s) ______________________________________________________________________________________________________________
OFFICIAL 2013 APPLICATION
OFFICIAL 2013 APPLICATION
Applicant information continued ...
1. In what year did your salon/spa business open?
___________ (year opened)
2. Does your business include more than one salon/spa
location?
______ Yes How many, including this one? ______ total locations
______ No
3. Rounded to the nearest thousand dollars, please provide
your company’s:
2010 Gross Revenue: $_____________________________
2011 Gross Revenue: $_____________________________
(Please note: This data is only printed in the SALON TODAY 200
issue if you enter the Growth Category.)
4. Approximately what percent of your salon’s current gross
revenue is generated by each of the following categories?
(The sum should equal 100%. If none in a particular category,
write “0.” Please round to the nearest whole number.
Hair color service sales _______________%
Hair cutting service sales _______________%
Chemical service (relaxing, perming) _______________%
Nail service sales _______________%
Retail sales _______________%
Skin care, body care and spa-type service sales _______________%
Other _______________%
Total=100%
5. How many square feet of space does your salon business
occupy?
(If more than one salon, please provide the square footage for each
location. Round to the nearest hundred feet. Example: 3,500)
_______________ square feet _______________ square feet
_______________ square feet _______________ square feet
_______________ square feet _______________ square feet
6. How many total employees do you have? _______________
7. What is the total number of client transactions (tickets)
your business had in the last fiscal year?_______________
8. What is the average price charged at your salon(s) for:
Shampoo, cut and style_______________
Single process color_______________
11. Have you hired a salon coach/consultant in the past
three years?
______ Yes ______ No
If yes, then who? ________________________________________________
12. What single revenue related key performance indicator
(KPI) do you review most frequently to assess the health of your
business? Or if you could only review one, which would it be?
______ Client count (number of tickets or transactions)
______ Average ticket total sales/client count
______ Client retention (for existing clients)
______ Client retention (for new clients)
______ Retail per client ticket
______ Percent of service clients buying retail
______ Productivity (percent booked)
______ Frequency of visit
______ Percent of clients pre-booked
______ Other, please specify ________________________________________
________________________________________________________________
13. Do you have non-compete and/or non-solicitation
contracts with your service providers? o Yes o No
14. Do you have an annual salon improvement budget
for remodels, equipment, etc. (exclude repairs and
maintenance)
______ Yes ______ No
If yes, what percentage of your overall budget does it represent?
_________%
15. How often do you order retail products?
______ Once a week
______ Twice a month
______ Once a month
______ Other, please specify ______________________________________
16. How often do you count AND adjust your inventory?
______ Daily
______ Weekly
______ Monthly
______ Quarterly
______ Twice a Year
______ Annually
______ Other, please specify_______________________________________
*Round to whole dollars (Example $42)
9. Do any of the salon/spa owners perform client services?
17. Do you lease or own your real estate?
______ Yes How many perform client services? _______________
How many hours per week, on average does each owner perform
client services? _______________
______ No
______ lease
______ own
______ combination
10. Do you consider yourself to be either a day spa or a
salon/spa?
______ Day Spa
______ Salon/spa
2
18. Approximately what percent of your total salon
expenditure falls into each category listed below?
If none, write “0.” Round to the nearest whole number.
Total should equal 100%)
Conventional employee benefits (medical, dental, 401K, etc.): _____%
Education/Training Benefit: _____%
22. What texturizing systems do you have?
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
Insurance (property and business-related policies): _____%
Labor costs (include owner compensation as a service provider): _____%
Marketing/Advertising: _____%
23. What skin care lines do you use in the salon?
Owner compensation: _____%
________________________________________________________________
Professional services (legal, accounting, etc): _____%
________________________________________________________________
Rent/Mortgage: _____%
________________________________________________________________
Supply costs: _____%
________________________________________________________________
Taxes: _____%
Telecommunications (phone,fax, internet): _____%
Utilities: _____%
Profit: _____%
24. What cosmetics lines do you carry in the salon?
________________________________________________________________
Other (specify): _____________________________________________
________________________________________________________________
_____________________________________________
________________________________________________________________
TOTAL (should equal 100%)
________________________________________________________________
19. Of which of the following industry associations are you a
member? (check all that apply)
______ America’s Beauty Network
______ Cosmetologists Chicago
______ The Day Spa Association
______ Intercoiffure
______ International Salon/Spa Business Network (ISBN)
______ The International Spa Association (I/SPA)
______ National Cosmetology Association (NCA)
______ Professional Beauty Association (PBA)
______ Other (specify below)
________________________________________________________________
________________________________________________________________
25. What nail care lines do you use?
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
26. What salon software do you use?
________________________________________________________________
________________________________________________________________
________________________________________________________________
20. What are your 3 best-selling retail hair care lines?
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
27. What internet marketing systems do you use?
(Example: DemandForce)
________________________________________________________________
________________________________________________________________
21. What 3 hair lines do you use?
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
Continued>>
3
OFFICIAL 2013 APPLICATION
28. Of the following expense areas, please rank from 1 to 5, which are the least to most controlled,
with 1=least controlled and 5= most under controlled)
LEAST UNDER CONTROL
MOST UNDER CONTROL
Service payroll
1 ______
2 ______
3 ______
4 ______
5 ______
Non-service payroll, including managers
1 ______
2 ______
3 ______
4 ______
5 ______
Credit card processing
1 ______
2 ______
3 ______
4 ______
5 ______
Service supplies, including backbar and color
1 ______
2 ______
3 ______
4 ______
5 ______
Advertising, marketing and promotions
1 ______
2 ______
3 ______
4 ______
5 ______
Education & training
1 ______
2 ______
3 ______
4 ______
5 ______
Inventory & shrinkage
1 ______
2 ______
3 ______
4 ______
5 ______
Retail commission
1 ______
2 ______
3 ______
4 ______
5 ______
Cost of service assistants interns/new talent
1 ______
2 ______
3 ______
4 ______
5 ______
29. As the owner, what keeps you “up at night” or causes you concern?
Please rank the following, with 1= most likely to keep you up, and 5= the least likely.
INSOMNIA
SOUND SLEEP
Lack of ability to reduce expenses
1 ______
2 ______
3 ______
4 ______
5 ______
Threat of walkout
1 ______
2 ______
3 ______
4 ______
5 ______
Service staff not busy enough
1 ______
2 ______
3 ______
4 ______
5 ______
Threat of competing salons taking clients
1 ______
2 ______
3 ______
4 ______
5 ______
Not understanding how to improve profitability
1 ______
2 ______
3 ______
4 ______
5 ______
Poor local economy
1 ______
2 ______
3 ______
4 ______
5 ______
No bank financing to expand
1 ______
2 ______
3 ______
4 ______
5 ______
Ineffective salon managers
1 ______
2 ______
3 ______
4 ______
5 ______
Unhappy with product line
1 ______
2 ______
3 ______
4 ______
5 ______
Legal issues
1 ______
2 ______
3 ______
4 ______
5 ______
Other, specify
1 ______
2 ______
3 ______
4 ______
5 ______
BEST PRACTICE SECTIONS
To be eligible for the SALON TODAY 200, you must complete at least one of the following BEST PRACTICE sections A-K. After that, you
may apply for as many of the Best Practice sections as you want. (You can receive honors in multiple categories!) Please place an “X” in
the box next to sections you are completing and answer all questions and the essay in that section. For the essays, please type responses
on a separate sheet of paper and clearly mark the essay letter for each question in all of the categories for which you are applying. Do
not answer essay questions for sections in which you are not applying.
Please note: This year, there is only one essay question for each best practice section but the question is a bit more involved and we expect a
more detailed response. Each question invites you to role-play a different scenario and play a different part. Be creative and make your best case!
a. gRoWtH
1. Rounding to the nearest thousand dollars, please provide
your company’s:
2010 Gross Revenues: $________________________
2011 Gross Revenues: $________________________
(Please refer to documentation instructions on page 8 for information
on verifying gross revenue.)
2. Based on your salon’s growth for the first six months of
this year (2012), by what percentage will salon gross revenue
for 2012 exceed salon gross revenue for 2011? (Round to
whole number, please. Example: 11%)
_______________________ %
4
essay a:
As an owner of a company that is thriving in a tough economy,
you’ve been invited to make a presentation to your local
Chamber of Commerce. Tell us about the specific programs,
ideas, and services that have contributed to your salon/spa’s
growth over the past few years. What have you done to keep
a steady stream of new clients coming into the salon, while
simultaneously solidifying the loyalty of current clients and
boosting their sales per visit. Explain what your management
team is doing to continue to fuel that growth in the near future.
B. Compensation & Benefits
4. Do you have a loyalty program that rewards clients for
service or retail purchases? ______ Yes ______ No
1. What is the average annual gross income (including
salary, bonuses and commissions-before taxes) for a fulltime stylist in your salon?
______ Less than $20,000
______ $20,000 to $29,999
______ $30,000 to $39,999
______ $40,000 to $49,999
______ $50,000 to $59,999
______ $60,000 to $69,999
______ $70,000 to $79,999
______ $80,000 or more
5. Is advancement in your compensation structure tied to
individual retention and/or pre-booking rates?
______ Yes ______ No
6. Do you have a program that encourages clients to refer
your salon to others? ______ Yes ______ No
Essay C:
2. How are your service providers paid?
______ Salary
______ Commission
______ Combination
______ Other, please specify ______________________________________
3. Please list any traditional and non-traditional benefits
your salon provides employees. (Example: Traditional:
medical insurance/ Non-traditional: gym memberships)
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
4. On average, how much do you pay for benefits per fulltime employee? (Round to the nearest dollar)
$________________________
I’m a new, walk-in client who just experienced her first service
in your salon/spa. Educate me on all the client programs your
business has available. (Even if you wouldn’t reveal all this to a
client on her first visit.) Explain to me how your loyalty program
rewards my positive behavior. Tell me what happens if I refer
my family and friends to the salon. Explain how your staff is
encouraged to pre-book my next appointment. Then tell me
about the overall impact these programs have on your business.
D. Customer Service
1. Do you have a mystery shopping program?
______ Yes ______ No
If yes, do you share the results with your staff?
______ Yes ______ No
2. Do you have an employee or team of employees on staff
who are charged with monitoring and improving customer
service? ______ Yes ______ No
Essay B:
I’m a reporter for a local magazine that is profiling top
employers in the community, and I’m calling different salons in
the community to figure out which is the best one to work for—
give me your best pitch! If I worked for you, what would be my
career path in your organization and how would I be promoted
through your system? What are some different opportunities
that are available along the way? How does your salary and
benefits compare to other salons and spas in the area? What do
you offer that others don’t?
C. Retention & Referral Programs
1. What is your salon’s average new client retention rate?
_______ %
2. What is your salon’s average return client retention rate?
_______ %
3. What is your salon’s average pre-booking rate?
3. Are your front desk/booking operators scripted?
______ Yes ______ No
4. Do you train on customer-service initiatives?
______ Yes ______ No
Essay D:
The Ritz-Carlton is known for its world-class customer
service, and I am the concierge of the local Ritz and am
secretly “shopping” local salons and spas to develop a list of
establishments where I can refer our hotel guests. I have the
budget to sample any service on your menu. From booking
my appointment to my service to checkout and follow-up, tell
me what my experience will be like at each customer point
throughout the entire service. What about your service would
make me a raving fan? Why would it be better or different
than any other salon or spa in the community and why are you
confident your salon will end up on my preferred list?
_______ %
Continued>>
5
OFFICIAL 2013 APPLICATION
E. Recruitment & Training
1. Do you have an in-house training program?
based opportunities such as photoshoots and/or fashion shows.
Also, remind me how you might support my attendance to an
industry class, and what you would expect of me in return.
______ Yes ______ No
If yes, on average, how long does your program last? ______months
2. On average, how many hours of instruction do new hires
receive per week? ______hours
3. Do new hires receive an employee handbook?
______ Yes ______ No
4. Are new hires paired with a mentor as an assistant?
______ Yes ______ No
5. On average, how many trainees do you have in the system
at any one time? ______trainees
I am a student about to graduate from cosmetology school, and
am applying for a position at your salon/spa. First, talk about
me: What’s the most likely way I’ve heard about a position at
your salon? What will be your selection process for hiring me?
What’s my best chance for getting this job, what will you be
looking for? Now, talk to me: What can I expect to get out of
your training program? Who will train me? What will I learn?
How soon can I expect to be on the floor?
F. ADVANCED EDUCATION
1. Do you maintain a structured on-site advanced education
program for employees? ______ Yes ______ No
2. Which best represents how often you offer advanced
education classes in the salon?
______ Once a month
______ Once a year
______ in-house recycling program
______ in-house energy reduction initiatives
______ green materials used in salon design
______ carry green product line
______ purchase renewable energy
______ environmental education programs for staff/clients
______ donate time or funds to environmental causes
______ other, please describe
______ Yes ______ No
3. Have you raised funds or awareness for a green cause this year?
______ Yes ______ No
If yes, what, and how much was raised? ____________________________
_______________________________________________________________
ESSAY QUESTION G:
You are making a presentation to an environmental action
group whose members pledge their support to local green
businesses. Describe all the programs and systems you’ve
implemented in your business to make it more environmentally
sustainable. Tell us about any environmental causes you
support, how you support them and why. Tell us how you
educate your employees and your clients on making better
environmental choices. Convince us that we want to be clients
of your salon/spa.
H. PHILANTHROPY
3. Does the salon contribute financially to an employee’s
advanced education for events outside the salon?
1. On average, what is the value of the products and services
you donate to charitable organizations each year?
______ Yes ______ No
$________________________ per year
4. On average, how much does the salon spend on education
per full-time employee per year?
$_______________________ per employee
2. In addition to the services that you donate to events
organized by others, do you organize your own philanthropic
efforts each year?
ESSAY QUESTION F:
______ Yes If yes, what is the event?________________________________
______ No
It’s early January and I’m an employee sitting in a staff meeting,
and you are detailing the coming year’s advanced education
program for all employees. As a service provider, please remind
me of all the educational opportunities that the salon/spa
supports both inside and outside of the salon. Please include
all the structured classes, as well as the fun, creative, team6
1. Which of the following best describes your salon’s green
initiatives? (Check all that apply)
2. Have you ever hired an environmental consultant?
Essay E:
______ Once a week ______ Once a quarter
G. ENVIRONMENTAL SUSTAINABILITY
3. Are employees required to participate in the salon’s
philanthropic campaigns?
______ Yes ______ No
ESSAY QUESTION H:
3. Do you pay a commission on retail sales?
You’ve been invited to give a presentation to your town’s
Community Betterment Association about how a small business
can do good works. In detail, describe the charitable events
you have organized. How did you come up with the ideas, who
did you partner with, how did you engage staff and clients
to participate? What was the result of the event? How else
has your salon/spa donated money/time/services/products
over the past year and why? Explain how your philanthropic
efforts benefit your team, your business, your clients and your
community.
______ Yes If yes, how much? ________________________
______ No
I. TECHNOLOGY
1. Which of the following are components of your salon’s
technological capabilities?
______ salon management software
______ management by computer reports
______ salon website
______ e-mail newsletter
______ social media marketing
______ online appointment booking
______ automated appointment confirmations
______ online gift card purchases
______ WIFI access for clients
______ computers for use by employees
______ use of QR codes
______ Other, please specify
________________________________________________________________
2. What year did your salon first become automated? _______
3. What year did you establish a website? _______
ESSAY QUESTION I:
You are seeking financing for a big expansion and the financial
organization requests proof that your salon/spa is leveraging
the latest technology to manage and grow your business. Write
an essay that explains how you leverage technology every
day to manage your business. What are the most powerful
technology tools you use? How do you use it to reach new
clients and market to existing ones? What tools do you use that
other salon in your area may not? As the owner, what do you do
to make sure your business stays on the cutting edge?
4. How often do you rework your merchandising displays?
______ Daily
______ Weekly
______ Monthly
______ Quarterly
______ Annually
ESSAY QUESTION J:
Because of your consistently high retail figures, your
regional distributor asks you to talk about top retailing and
merchandising tips to other owners at a manufacturer’s annual
meeting. Explain your salon’s process for engaging staff in
educating clients about retail and share any special programs,
tools or competitions you’ve implemented for inspiring sales.
Describe the most successful retail campaign you’ve had in the
past year, and share the results. Show us pictures (if possible) of
the best merchandising display you’ve created in the salon and
describe how it helped support retail/service sales.
K. PLANNED PROFITABILITY
1. During your planning process, what percentage of total
gross revenue for 2011 did you project as profit? _______%
2. And, what percentage of actual gross revenue for 2011 did
you retain as profit? _______%
VERIFICATION: Please send in with a signed statement from
an accountant, salon coach or financial planner verifying that your
2011 budget planned for a percentage of profit and that your
actual earnings either met or exceeded that percentage.
ESSAY QUESTION K:
You’ve been invited by a salon coaching and consulting group to
talk to a group of new salon owners about long-term strategies for
growing a sustainable business and cultivating a profit. Describe
in detail the systems and programs you’ve implemented that
have contributed to your profitability. Explain your process for
projecting and budgeting for profitability each year. If applicable,
talk about how you’ve gradually been able to become less
dependant on the income you make behind the chair.
J. RETAIL & MERCHANDISING
1. What is your average retail $ per ticket? _________________
2. For 2011, retail sales equaled what percentage of overall sales?
_________________%
7
What’s Your Salon’s Story?
sHoW us youR stuff
Got a great photo of you or your staff? Send it in! SALON TODAY publishes the photos
of as many ST200 honorees as space allows. NOTE: Digital files must be 300 dpi and
at least 4”x 6.” Please submit digital images on CD only. You may also submit photos.
Film negatives and slides will not be accepted.
oWneR statement
ALL ENTRIES MUST BE SIGNED AND DATED BY OWNER: To the best of my knowledge, all of the information I have provided for the 2012 SALON TODAY 200—including
financial documentation—is accurate. Subject to applicable law, I hereby grant to Vance
Publishing Corporation/SALON TODAY Magazine and its affiliates, subsidiaries, licensees
and assigns (collectively, “Salon Today,”) an irrevocable, perpetual and royalty-free right
and license to use, reproduce, edit, display, transmit, prepare, derivative works of, modify,
publish and otherwise make use of all or any part of my application materials (including
without limitation my essay(s), photograph(s), marketing pieces(s), name, biographical
material, company information, and likeness), in any and all media, whether now known
or hereinafter created, on the Internet and throughout the world and for any purpose. In
addition, the rights granted to SALON TODAY include, but are not limited to, the right
to edit, feature, caption, affix logos to, and to otherwise alter or make use of all or any
part of the submitted application materials. I acknowledge that any marketing piece or
photograph I submit and/or all or any portion of my essay responses may be published
in SALON TODAY magazine, in other SALON TODAY publications, on SALON TODAY’s
website, or on or in some combination of the foregoing (collectively the “SALON TODAY Media”); however, SALON TODAY will have no obligation to make any use of an
marketing piece, photograph, essay or other application materials. I herby represent and
warrant that my application does not and will not infringe, violate, or misappropriate any
copyright or trademark, or any other right of any third party, and I have the right to grant
any and all rights and licenses granted to SALON TODAY herein, including but not limited
to all necessary rights under copyright, free and clear or any claims or encumbrances. I
agree to indemnify, defend, and hold SALON TODAY harmless from and against, and
hereby waive any right to pursue, and claims or any nature arising in connection with the
inclusion in, publication or display on any Internet site, or any other use authorized under
this statement, of any materials included in my application.
Signature__________________________________________________________________
Eligibility
&Criteria
1. Your salon opened on or before January 1, 2010.
2. Our salon has generated annual service and product sales revenues of at least $250,000 per
year since 2010.
3. Your business is primarily a provider of professional salon services, including, but not limited to,
one or more of the following: hair care, nail care, skin care, body care and spa treatments.
4. You completely fill out the Applicant Information portion of this form.
5. You completely fill out at least one Best Practice section (sections marked A-K). You may choose
to fill out as many as you think you qualify for.
6. If you enter the Growth portion of the competition (Section A), you will also need to provide
documentation to verify financials for 2010 and 2011.
7. I you enter the Planned Profitability portion of the competition (Section K), you will need to
provide a signed statement from an accountant, financial planner or salon/spa coach verifying
the percentages of profit projected and earned for 2011.
8. You pay the non-refundable $75 processing fee.
9. You sign and date the Owner Statement above.
Date______________________
Did you
remember to ...
o Fill out your Applicant
Information?
o Choose from at least one of
the 11 Best Practice Sections,
including completing those
questions and the essay on a
separate sheet of paper?
o Include financial documentation
if required?
DOCUMENTATION INSTRUCTIONS
To qualify for Growth, (Section A) portion of the SALON TODAY 200, you must include verification
of gross revenues excerpted from your business’s 2010 and 2011 tax forms. Copies of a single page
will suffice. For example if your salon is set up as a corporation, include the pages from your 1120
tax forms showing your gross revenues. Financial documentation is only used for verifying revenue
and calculating revenue growth, if applicable.
To qualify for Planned Profitability, (Section K) a signed statement from an accountant, financial
planner or salon/spa coach on the firm’s letterhead must bear witness to the fact that the salon both
projected and budgeted for the planned percentage of gross revenue as profit for 2011 and that the
business actually met that percentage or exceeded it for 2011.
DEADLINES AND PROCESSING
All entries MUST BE POSTMARKED no later than Friday, August 31, 2012, and sent to:
SALON TODAY Magazine, SALON TODAY 200
400 Knightsbridge Parkway
Lincolnshire, IL 60069
Attention: Joyce Alverio
Entries MUST INCLUDE a non-refundable $75 processing fee. Checks can be made out to SALON
TODAY magazine. Note: Payment of this fee is to cover processing of your application only, and
does not guarantee that you will be featured in the magazine.
?
8
QUESTIONS
Call Joyce Alverio at 847-415-8037 or e-mail [email protected]
with any questions about the Salon Today 200.
o Include non-refundable $75
processing fee?
o Sign Owner Statement above
o Include photo (optional, but
recommended)?
o Label all materials with your
salon’s name?
salontoday.com