Each year the Hairhouse Warehouse family feel a massive surge in momentum as they gather for the ‘House of Hair’ conference and Gala awards. A touch of legendary vision made its way to the RACV Royal Pines this year with Paul Mitchell founder John Paul DeJoria imparted an invaluable two hours of his life journey, writes Cameron Pine
If you’re wondering why the Hairhouse Warehouse conference is such a main event on the hairdressing calendar, it might make sense to take note of a business that is worth in excess of $255 million and generates more than $9 million in purchases with industry leading suppliers on the conference expo day alone.
This succession plan to each year create their own industry platform and the seeking out of exclusive deals has lead the brand into the future with a continual growth strategy across not just hair and beauty but a plethora of other lucrative services, including body piercing. Courtesy of the recent takeover of Australian skin clinics and Ella Rouge beauty salons – the Hairhouse Warehouse empire is reaching every corner of the Hair and Beauty industry.
Founded in Melbourne in 1992 by brothers Tony and Joseph Lattouf, who are now joined by directors Emad Nayef and Gavin Nixon, Hairhouse Warehouse currently has approximately 140 stores nationwide. The merger will see its reach increase to close to 200.
Hairhouse Warehouse was keen to acquire complementary, but not competing, businesses and there was a lot of synergy between Hairhouse Warehouse, Ella Rouge and Australian Skin Clinics.
“We aimed to target the same market, so we can deal predominately with females between 18 and 50. We’re growing our database, we’re servicing the same database, so it just all stood to good reason,” said Franchise Manager, Peter Fiasco.
While the economy has been a bumpy ride for many businesses, even in the hair and beauty industry, a strong marketing strategy, visual merchandising upgrades each year and a heightened focus on salon services, continue to give Hairhouse Warehouse an edge in all areas, especially in terms of the supplier and franchisee relationship.
On a continual mission to gather every single influential brand and make them even stronger, the Hairhouse Warehouse group now does business with more than 70 different brands, with a strong alignment to Matrix from a colour and education perspective, the growing franchise has given a voice to many brands, some which have sometimes struggled with garnering retail shelfspace.
“Suppliers don’t have the passion that we have and for us culture is everything. This is how you treat your people. You are family,” said Co-Director Emad Nayef.
“I’m so excited you have the opportunity to hear from our brother and our friend, John Paul DeJoria, one of the most outstanding and amazing humans I’ve ever met.”
This year having John Paul DeJoria as a special guest is a massive accomplishment, one that Emad says took years of admiration and persuasion. As the founder of Paul Mitchell, John has a net worth of more than 3.1 billion and a story that inspires the hero in each and every one of us. Creating a beauty empire with a philanthropic heart and Patron liquor company.
John spoke mostly about influence and the general nature of the Paul Mitchell company being different and “far from ordinary by not following the rules.”
“You choose how you impact people and passion needs to be bottled and spread everywhere. Success isn’t what you make or how powerful you are. It’s about how well you are doing something when nobody else is watching. We also teach on a culture of love and giving in our schools,” John said.
The conference ended on a high with the Annual Gala Dinner, where all Directors including Joseph Lattouff, Emad Nayef, Tony Lattouff and Gavin Nixon spoke on the key heartstrings of the business and the most important elements for becoming good leaders to each and every person in the room. Despite less than impressive financial results for many companies, Hairhouse Warehouse continues to forge ahead with continual growth in retail.
“Less than impressive results in many business could be due to many reasons including the sliding Australian dollar, the national election uncertainty and the continually tough climate with online and parallel importing,” said Hairhouse Warehouse Development Manager and Director, Gavin Nixon.
“As for our business I feel we’ve come out of this pretty unscathed. I believe this is largely due to the initiatives of the support centre and the several changes that we’ve made to the way we do business. We’ve looked backwards so we can look forward and now we believe we are in focus. The introduction of style club, a significant restructure of senior management and lastly the implementation of our new generation store fit-out and visual merchandising,” Gavin said.
There’s no denying the aesthetic business has continual growth – at a current rate of 18 per cent compounding growth per year, the merger now sees the brand hopping to $65 million in additional turnover from these clinics alone.
“Our target market of predominantly females shares synergies with the $2 billion dollar business market we have now opened up to with 24 Ella Rouge stores, and with the merging of Australian skin clinics this gives us more than 50 stores in Queensland, New South Wales, Victoria and one in New Zealand,” Gavin said.
By increasing income streams, the group has already had significant interest from existing franchises to invest in Australian skin clinics. Coupled with further strategies to grow the hair and beauty business including an exclusive growth factor hairloss management system – growth is assured.
The almost 25 years in business wouldn’t be possible without the brand continually imploring the community with the power of good hair. This year creating a video makeover series with Matrix they listened to the pulse of their distinctive brand DNA, rather than showcasing styles from guest artists Hairhouse Warehouse stylists would never set out to create. “We decided to do something different this year, rather than have the likes of Anthony Mascolo, the Matrix Design Team and incredible talent on stage we decided to make something that would mean more to you and that says more about us,” Emad said.
That they certainly did by creating a panel of Dream Teamers and inspiring everyday salon heroes with the work they love to do.
2016 Award Winners:
FRANCHISEE CITIZEN OF THE YEAR David Farrugia, Queens Plaza
NEW STORE OF THE YEAR Baldivis, Doug Fogg & James Fares
MOST IMPROVED STORE OF THE YEAR Miranda, Sam Antoon & John Bishara
MANAGER OF THE YEAR Jo Taylor, Albury
BODY PIERCING STORE OF THE YEAR Werribee, Gerhard Herzig & Duane Merchart
LOCAL MARKETING OF THE YEAR Doncaster, Nic Nayef
SALON OF THE YEAR Albury, Richard Maddison
SALON OF THE YEAR Mt Druitt, Paul Banis
FRANCHISEE OF THE YEAR – 1-2 UNITS Paul Banis, Mt Druitt
FRANCHISEE OF THE YEAR – MULTI UNITS Joe Kmaid (DFO South Wharf, Highpoint, Melbourne Central, Spencer St Outlet Centre, Victoria Gardens & Williamstown)
HALL OF FAME INDUCTEE Silvana Murray, Category Buyer (Support Centre)
HALL OF FAME INDUCTEE Anni Lattouf Daou, Marketing Communications Manager (Support Centre)
For more information visit hairhousewarehouse.com.au
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