In Atlanta, you're wasting your money on radio. Over 99% of the listeners won't be in your market area - so you'd be advertising for your competitors in other areas of town - they'd love you. Radio is also way too expensive and not media efficient for a single salon. You'd have to have over 20 locations in Atlanta to be media efficient and get an ROI with radio. (Of course that doesn't stop the inexperienced or unknowledgable from wasting money - it has happened before!)
To make a big splash for your Grand Opening you need to do:
1)A Postcard Mailing to a radius of 2-3 miles around the salon targeted to those who have the most money and are between 18-45 age females. This is your prime market. To capture those who live in the area.
2)Community Outreach. Beat feet in the neighborhoods surrounding the salon and ply people with your handouts as part of your Neighborhood Ambassador and Campus Ambassador Programs.
3)Coupon Holders. Placed at local area non-competitive businesses such as nail salon, hair salon, car wash, blimpies, etc. to capture those who work in the area but may live 20 miles away.
4)Business cards and Referral Cards. Needed after you open.
5)If YOU want to appear flashy in a hot area of town, do Beverage Napkins with your name and special offer given to local area hot bars and nightclubs.
Grip does all of these for you. We'll keep you out of trouble.
To answer your question: "What has been your average or "round-about" advertising costs or percentage annually? Im trying to plan an advertising budget and want to get a general consens on what most of the industry leaders spend on advertising."
You bought
equipment and expect to get a Return on Investment (ROI), you bought signage and expect a ROI, you bought employees and expect to get ROI, you also must buy the market. And you'll expect to get a ROI from your marketing, too.
Spend less on
equipment and buildout. Buy more of the market and leave room in your budget for two things: marketing and cash to get you through slow periods.