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Price Attack National Conference
[Thu 08/09/2011 03:46:20]
After more than 20 years as ‘the Authority in Hair’, Price Attack is celebrating a more unified vision and a stronger salon service philosophy following their annual conference at Queensland’s Surfers Paradise Marriott Resort and Spa - writes Cameron Pine.
Carol and Barry Jarred
Underscored by a ‘We can Cut it’ theme, a new team at Head Office and a stronger community culture Price Attack Franchise owners, Carol and Barry Jarred a key part are committed to the future success of our longest serving salon and retail groups.
Changing to Matrix as their main salon services product supplier just over one year ago has helped the 114 salon strong group introduce a more hairdresser focused training program through the implementation of initiatives such as the ‘Dream Team’.
“The change to Matrix has enabled us to grow the salon side of the business and even though we’d shared a 25 year relationship with our previous supplier it has certainly brought some fresh ideas and energy to the group,” said Price Attack Franchisor, Barry Jarred.
The Dream Team
In April this year Price Attack launched their internal Dream Team competition, whereby they were looking for particular skill sets from hairdressers across the country – with the chosen six being given the opportunity to do a photoshoot in the Matrix studio alongside Benni Tognini.
“Our focus with the Dream Team is to give hairdressers something to aspire to and to expand their skills with photographic opportunities and stage work. We want to inspire our Future Dream Team and put the focus on the hairdressers in our business,” Carol said.
“We are really working at completing the salon and retail package and from July we have embarked on a $1 million advertising package in print media and in-store point of sale to promote our offering to the consumer,” said Barry.
This advertising includes placement in highly circulated weekly magazines including Famous and New Idea. This spend also includes a 26 page flip book to be launched in Famous magazine in October.
“Customers are more than ever looking for value and service is critical. Our advice for franchisees is to be more focused on the store experience and we’ve commissioned retail experts during the conference to help them with this. Education is paramount” said Carol.
Moving forward with a strong educational strategy will work hand in hand with the company’s strengthened e-commerce strategy and social media presence. Supplier relationships also remain paramount as well as an expansion of services – the introduction of their own Rokk nail polish brand, Elki salon electricals and private label’ Salon Confidential’ have all been designed to compete with the major threats to salon retail on a price and value level.
Sam Jared with Price Attack support staff
According to Price Attack Head Buyer Sam Jarrad the purpose of the 2011 conference is to integrate a much more interactive delivery format. “We want the franchisees to be more involved and we are also taking nominations for new Franchise Support Groups to work together and grow the business,” he said.
Employing the powers of Franchise Psychologist from the Franchise Relationships Institute, Greg Nathan explained to delegates why a disciplined approach to franchisee practices is needed before outlining some franchisee selection best practices.
Barry Urquhart gave the conference a much-needed current economic environment focus while touching on the ‘marketing magic’ and simple mindsets needed by all entrepreneurs to achieve – most significantly being a willingness to adapt and change.
“Strategic planning is so important – making a commitment to invest beyond the headwinds and into store upgrades is crucial if you want to see returns later on. Today the statement is ‘share of wallet’. You are sharing money that is going to hair salons, discount operators, Coles and even the pharmacies,” said Urquhart.
“If people coming to your shop aren’t walking away with their hair styled you are walking away with a loss of profitability. You have to evolve your service mentality – In August Macquarie Bank shares were at $97 now they are at $23 – they haven’t re-written the rules and they are still trying to run their business like they did before. If you are paying more than 8 per cent of your turnover in rent you probably won’t make a profit – or you need to be looking a new avenues for profit. The top businesses a decade ago are not the top businesses now,” he said.
Urquhart stressed that success is about ‘new’ and about ‘loyalty’, “I’m no different to the 8 million other Qantas club members but I always feel privileged. Go back and have a look at your stores, it’s all about ‘new’. If it doesn’t look new you need to invest in your business. If you do this consistently you will get double digit returns, it’s not just purely and simply because you’re giving good customer service.
“Understand that you’re not just there for haircare sales you are there for stress management. Everything we do is managed by a portion of time and you have to determine a set standard and deliver it every time. You don’t get paid for what you talk about, you get paid for what you do,” he said.
With approximately 19 staff at Head Office, including a new Marketing Manager, Jessica Dean and Franchise Support Manager, Liam Gallagher there is a renewed energy and commitment to growing the business of all franchisees.
“At this conference we really wanted to bring the business side of things to the table again – we’ve engaged David Campbell from Avatar consulting to run through a personalised profit and loss with each business. Coupled with Ralph Edwards our leasing expert, salons will better understand where their break even and growth points are,” Barry said.
“We are hiring people that have been brought up with retail. In Franchising you need to have and focus on certain qualities and anyone that comes into our business is among some of the best consultants and experts in the industry,” he said.
Model creations by the Dream Team
There are currently more than 480,000 ‘CLUB PA’ members nationwide and the group is constantly looking at ways to expand this network of loyal customers. In addition 4-5 catalogues are printed each year to boost the retail sales of franchisees and allow suppliers to impart their latest promotions and incentives. Consumers are not the only ones rewarded since the introduction of the Partnership Rewards Program that includes a host of incentives for staff with suppliers including Matrix. Accessible via an intranet system staff are able to track their points and progress to receive incentives on products, travel, experiences and more.
With the group’s strength lying predominantly across Western Australia, South Australia and Queensland, the potential growth focus points are in New South Wales and Victoria, especially in regional areas. As part of the renewed culture that is beginning to emanate from the group and in addition to the Head Office support staff, the company is also engaging long-term franchisees with leasing and ROI training and buying decisions, one being Maureen Allen from Macquarie Centre Price Attack who has been with the group for more than 20 years.
“When we took over the business in November 2007 we had to re-write everything so we are at that point where we feel like we’ve cleared the decks, removed foreign products from the business such as fragrance while growing our hair business,” said Carol.
Make Up and Hair Extensions has also seen significant growth with Designer Brands expanding the category via their exclusive Price Attack agreement and Stylistix offering salons pay as you go retail stands. Significant energy was also centred around one of the market leader’s in styling, ghd and its new partnership with the group.
The four day networking culminated with the ‘Roaring 20s’ themed gala dinner which awarded outstanding store achievements in the last financial year. The Cotton Club Crooners and Savvy band then kept guests entertained and dancing into the night in what was again another stellar conference for the consumer focused haircare company and another central meeting point for our industry’s suppliers.
Most Improved Salon - Morley
Marta is focussed on the training and development of her salon staff which has resulted in an increase in average salon spend and salon turnover.
Salon of the Year Winner
Salon of the Year - Joondalup
Mary fully supports the Matrix Basin Partner Program and believes in the technical development of her staff, attending Matrix Training Sessions throughout the year, has consistently placed them in the top salon turnover category.
Most Improved Business - Mount Ommaney
After re-opening in a new location three doors away from their old location and with additional competition Ian and Karin have still been able to increase both their retail and salon business and are always giving back to the brand, including participating as a pilot store.
Franchisee Of The Year - Simon and Leanne Finlay
As established multi site owners Simon and Leanne Finlay are are heavily focused and committed equally to both retail and salon and always fully support the brand.
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