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Old 06-23-2013, 05:39 PM   #1 (permalink)
 
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Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Forces are coming together to kill the indoor tanning salon industry:

1) Government regulation - FDA is making tough to operate a tanning salon. States banning tanning to minors, the tan tax , or if you prefer, the Obamacare tax (added for Obama haters). LOL
2) Melanoma - More data showing a connection between indoor tanning and skin cancer or melanoma. Not just in the U.S., but from the U.K., Australia, and other countries.
3) Aging population - A demographic shift hitting tanning salons hard as tanners are getting older. The Boomers of today were the avid tanners of yesterday, during those boom times back in the late 80s and 90s. Remember, those good ole days?
4) Bad Publicity - Tanning salons/beds are now identified as "instruments of death." The skin cancer scare and resulting from more tanners reporting skin lesions and lawsuits claiming skin cancer caused by indoor tanning.
5) Industry consolidation - The industry is really getting smaller. Less bed companies, lotions, and so forth. I keep reading that annual revenues are $5 billion. That number has been remained unchanged, but I have a feeling that it is half of that. What do you think?

During the great recession up to one-third of tanning salons went out of business. ITA said that, I didn't, but that number sounds about right too me.

So am I right, or just imagining this?

Big Leo
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Old 06-24-2013, 04:10 PM   #2 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Fading as quick as a bad tan.
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Old 06-24-2013, 08:26 PM   #3 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Cigarettes still exist!!!! Many companies to chose from!!!! You can purchase them at many places!

The people who shouldn't have been in business are slowly going away and the ones doing it right....their numbers are climbing! I think the neg. publicity has SOME effect...but I don't think it's a dying industry.
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Old 06-24-2013, 10:09 PM   #4 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Cigarettes profits are a fraction of what they were years ago. I have three teenagers
with tons of friends and not one smokes.Half my friends back in high school smoked. My prediction is another 30% of salons will be gone in two years. I wished it wasn't that way but there are still to many salons for the demographics using them.
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Old 06-25-2013, 12:18 PM   #5 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

If you make $100,000, and profit margin is 20%, that's $20,000.

If you make $70,000, and profit margin is 30%, that's $21,000.

There are still ways to make money in this industry.
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Old 06-25-2013, 01:43 PM   #6 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Why don't we stop comparing tanning to cigarettes. There was a time you could make a lot of money selling music, books, renting movies..... There was also a time that you could open a restaurant or hardware store and not be bullied out by the franchises...There was also a time when the government was not involved in every move we make...and there was also a time when we would look down on a company that moves out of the States and not say "nice business move".... I stlill make money and have alot of fun, but alot of friends have lost jobs at salons and manufacturers in recent years..
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Old 06-25-2013, 02:11 PM   #7 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Sorry for bringing up cigarettes! Guess I should keep my comments to myself! I think people like to blame government and oversaturation and those people should be looking at their business profile instead! I am in a highly competitive market with salons literally surrounding me and we are all still in business! Each market is a little different and if you do it right, you will be fine! That's what I was trying to say.
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Old 06-26-2013, 02:32 PM   #8 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Quote:
Originally Posted by ljtan View Post
Cigarettes profits are a fraction of what they were years ago. I have three teenagers
with tons of friends and not one smokes.Half my friends back in high school smoked. My prediction is another 30% of salons will be gone in two years. I wished it wasn't that way but there are still to many salons for the demographics using them.
I am afraid that you are right. The numbers of smokers in the US has dropped dramatically in the past 20 years, and like it or not, we have been dumped into that category. Some demographic areas are still better than others, but the 10% of the population that supposedly tanned indoors is getting smaller.

On the bright side, I believe that the science of sunlight and its positive effects is still on the side of the tanning industry. However, by the time the media figures this out, there may not be an indoor tanning industry. Sidenote: used tanning beds will eventually become like gold. Hang on to em.
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Old 06-26-2013, 03:47 PM   #9 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Quote:
Originally Posted by uts-sj View Post
If you make $100,000, and profit margin is 20%, that's $20,000.

If you make $70,000, and profit margin is 30%, that's $21,000.

There are still ways to make money in this industry.
And This is a 'Living'?

Those are poverty levels in todays economy..
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Old 06-26-2013, 04:25 PM   #10 (permalink)
 
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Re: Is Indoor Tanning A Dying Industry or Am I Just Imagining Things?

Quote:
Originally Posted by Black Sun View Post
And This is a 'Living'?

Those are poverty levels in todays economy..
You are exactly right. Those are poverty levels.
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