In a compelling discussion with CanadianSME Small Business Magazine, Mario Verrilli, President of Onaré Collective, shares insights from his 29-year journey in hairstyling, culminating in his book, “The Fall Of The Hair Salon.” Mario reflects on the industry’s ample opportunities and the critical role of continuous training, shaped by his early realization of being unprepared for the challenges ahead. He highlights the need for a reformed educational system and adaptable business strategies amidst changing industry dynamics, such as the rise of salon suites post-COVID-19. His experiences underscore the importance of innovation and resilience in redefining success and sustainability in the hairstyling profession, aiming to elevate the career’s perception and address the evolving landscape of salon ownership.
With over 29 years of experience in hairstyling, including salon ownership and creating iconic looks for fashion magazines, how has your journey influenced your perspectives and insights shared in ‘The Fall Of The Hair Salon’?
The hair styling industry has an abundance of opportunities, despite what people commonly think. Reflecting on the early stages of my career, I realized I wasn’t fully prepared for these opportunities. Continuous training during and after my apprenticeship played a crucial role. I noticed that industry standards varied, making it challenging to create a program for apprentices and new talent without compromising valuable insights gained through personal investment.
Being a salon owner made me realize the traditional salon model is unvalued, and this realization greatly influenced the perspectives and insights I share in my book. The current apprenticeship model fosters a sense of entitlement and undermines the value of training because it lacks a fee, even though the apprentice is paid as an employee. Additionally, there is a lack of consistency from one salon to another, except for those in the top 10%.
After the disruptions caused by COVID-19, experienced professionals, some with over 25 years of experience, started looking for jobs with us. Surprisingly, our junior stylists consistently performed better, highlighting the need for retraining to keep up with industry changes. This clear difference demonstrates the importance of reforming hairstylist education for a more flexible and forward-thinking system.
In your book ‘The Fall Of The Hair Salon,’ you discuss the struggles hair salons and stylists face in thriving. From your experience, what are the key factors contributing to these challenges, and how can they be addressed?
Several key factors influence the dynamics of the hair salon industry, primarily revolving around traditional philosophies regarding salon locations. A prevailing notion suggests that salons thrive in high-traffic areas, often accompanied by premium rents. Additionally, certain municipalities impose zoning restrictions, forcing salons to establish themselves in regions with higher lease rates compared to areas zoned for office spaces. These constraints, coupled with a low barrier to entry in both the field and business ownership, sets the stage for intense competition among inexperienced newcomers. In an attempt to stand out, these entrants often resort to competing on price, leading to a challenge in establishing appropriate pricing structures that ensure fair compensation for both salon owners and hairstylists. This struggle frequently causes conflicts between the owner and employees, highlighting the difficulty of balancing competitive pricing and fair compensation in the industry.
Drawing from your extensive career in the hair industry, what are your ideas for improving the educational system for hairstyling? How can these improvements serve as a model for other industries?
Currently, salon owners bear the heavy responsibility of training, perpetuating the notion in apprentices’ minds that this approach is standard. However, there needs to be more consistency among salons in terms of what and how to teach and the basic skills required. Some advocates suggest that making apprentices pay for their training creates a sense of investment and commitment. The argument is that this financial responsibility encourages a strong work ethic and dedication to mastering skills in their chosen field. Companies could introduce a repayment option to employees based on the number of years with the company. This approach improves employee retention across the industry. If top players in each sector adopt this, competition becomes less relevant because this system filters out those unsuitable for the industry earlier. It also gives companies an additional revenue source to offset the cost of bringing in new talent, reducing reliance on government subsidies.
You mention in your book strategies for business owners to increase profits while working less and avoiding burnout. Could you share some of these strategies and how they can be effectively implemented in a hair salon setting?
First, stand for something and have a clear and compelling vision beyond simply making a profit, although you should have specific profit goals in terms of dollars and a percentage profit margin. Setting clear boundaries and creating blocks of time to work on your business instead of in it so that you can set up proper systems and procedures. Create simple to follow recipes and find the “RIGHT” people to work in the business. The right people are already motivated and embrace your culture. This helps reduce costs of repetitive mistakes and frees up your valuable time so you are not working around the clock. Then, with the time you free up, you can review budgets regularly and uncover the low-hanging fruit, the profits that are already there, before focusing on growth. To do this, work with your accountant or business consultant to thoroughly analyze all expenses to see where costs can be reduced without compromising the quality of the services. Then, create a budget and allocate percentages of revenue for each expense line item on the financial statement. Streamline inventory management to minimize waste and overstocking. Negotiate favourable terms with suppliers and explore bulk purchase discounts. Finally, identify what it actually costs to keep your doors open per hour. Then, determine proper prices with a profit goal in mind, and you can uncover profit that already exists in the business without increasing sales. You should review your budget weekly and adjust the strategies based on market trends and customer feedback. This will lay the solid foundation for sustainable growth and long term success.
Your journey in hairstyling began with cutting your sister’s doll’s hair, yet you were initially discouraged from pursuing it as a profession. How does your book aim to elevate the perception of hairstyling as a career and change societal measures of success?
I use real-life instances of mediocre service from individuals often considered professionals. It explores how society tends to grant significant respect to certain figures, even when their advice or services fall short. In contrast, the book emphasizes the profound impact of finding someone genuinely passionate about their chosen vocation. It seeks to redefine societal measures of success within the hairstyling profession, promoting a more appreciative outlook on the value of true expertise and dedication in this field.
By clarifying the distinction between a successful hairstylist and the prevailing standard, the book highlights the success stories of past mentors who debunked myths about making a good living or continuing in the profession as one ages. Through these mentors’ success stories, the goal is to showcase real-world examples of individuals who shattered misconceptions and built prosperous careers. The book also emphasizes the abundance of opportunities available in the field, particularly a new business model that offers the chance to become a solopreneur with zero to minimal risk.
The book aspires to reshape societal perspectives by highlighting different avenues for success. It aims to foster a more informed and appreciative understanding of hairstyling as a rewarding and sustainable career choice.
COVID-19 and the rise of salon suites have disrupted the traditional salon model. How does your book address these changes, and what advice do you offer salon owners to adapt and thrive in this evolving landscape?
COVID-19 brought to light many underlying issues in various industries. The disruption caused by salon suites serves as a wake-up call, indicating that the existing model is no longer effective. These suites take advantage of traditional salons that invest time, money, and effort in training stylists and building up their client base, only to see them lured away with compelling offers and unrealistic promises.
I suggest adapting to this change. First, have a clear career path for the employee so they have a vision for growth. Then, consider offering a similar setup as part of the career path in a collaborative environment, which reduces the risk of losing clients for both the salon owner and stylist alike and avoids unethical departures. This approach can help navigate the challenges posed by the salon suite trend while maintaining professional integrity and creating even more opportunities for all parties involved.
