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Old 07-21-2014, 08:23 PM   #11 (permalink)
 
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Re: need help pricing new shop!

****, I'm starting to agree with peach :)
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Old 07-22-2014, 08:25 AM   #12 (permalink)
 
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Re: need help pricing new shop!

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Originally Posted by ljtan View Post
That's not true. Big chains have the same problems as the rest of us. Speaking of Darque Tan, they have closed or sold all of their California locations I hear.
Darque sold a lot of Texas stores too. He's downsizing. Obamacare and California raped him from what he told me. He also got a contract with a large across the country gym to provide tanning in their locations. Either way Darque is selling equipment at costco prices I bought some from him and will soon be buying more. It helps that he's located in Houston lol
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Old 07-22-2014, 10:15 AM   #13 (permalink)
 
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Re: need help pricing new shop!

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Darque sold a lot of Texas stores too. He's downsizing. Obamacare and California raped him from what he told me. He also got a contract with a large across the country gym to provide tanning in their locations. Either way Darque is selling equipment at costco prices I bought some from him and will soon be buying more. It helps that he's located in Houston lol
Texas, which is his home base is not much better than California after having recently passed the no teenage tanning law. This is further evidence that all is not well with our industry, and most of it is not really in the salons owners control..
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Old 07-25-2014, 03:05 PM   #14 (permalink)
 
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Re: need help pricing new shop!

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Originally Posted by Dogfan View Post
A lot of industries have high failure rates. Restuarants come to mind. The overall new business failure rate in the US is 4/10 in the 1st year. Getting into the tanning business right now is like getting into the video rental industry just before that likes of block buster and movie gallery got introduced to netflix. It was a massacre.

Tanning Indies may last another 5-10 years but the end is near.
This is the most ridicules thing I have ever heard. Tanning salons will never go away. Only the tanning salons with a great business model will survive as with any business. Those salons that are not prepared for success should close.
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Old 07-25-2014, 03:09 PM   #15 (permalink)
 
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Re: need help pricing new shop!

Tanning is a growing industry. The operators with a great business model are expanding and tapping into todays tanning consumer. Those operators that are hoping tanning can go back to how it was 15 years ago are on their way out. They do not have to be. They can evolve, however that takes the willingness to change and execute a plan that will allow their salon to grow with an ever changing industry.
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Old 07-26-2014, 08:12 AM   #16 (permalink)
 
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Re: need help pricing new shop!

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Originally Posted by Steve Underhill View Post
Tanning is a growing industry. The operators with a great business model are expanding and tapping into todays tanning consumer. Those operators that are hoping tanning can go back to how it was 15 years ago are on their way out. They do not have to be. They can evolve, however that takes the willingness to change and execute a plan that will allow their salon to grow with an ever changing industry.
Tanning is a growing industry? And just where do you get the data for that comment?

Big money has moved into indoor tanning. No doubt. But they are not growing the industry, And they are cannibalizing it. The fish are getting bigger but the pond they are swimming in is getting smaller and smaller.

Every industry stat that I have seen, says that the number of salons is going down, and the number of people participating is going down each year. You wouldn't have the industry consolidations that you have going on now if the industry was growing. The 18 and under bans alone would point to a shrinking customer base.

Steve-I have to give 4 pinnochio's for that last post. And rename you Bagdad Bob
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Old 07-26-2014, 08:14 AM   #17 (permalink)
 
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Re: need help pricing new shop!

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Originally Posted by Steve Underhill View Post
This is the most ridicules thing I have ever heard. Tanning salons will never go away. Only the tanning salons with a great business model will survive as with any business. Those salons that are not prepared for success should close.
Blockbuster video said the same thing.
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Old 07-26-2014, 08:20 AM   #18 (permalink)
 
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Re: need help pricing new shop!

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Originally Posted by Steve Underhill View Post
This is the most ridicules thing I have ever heard. Tanning salons will never go away. Only the tanning salons with a great business model will survive as with any business. Those salons that are not prepared for success should close.
Businesses need customers-it doesn't matter how great your "business model" is. You never address the consumer issues. Something that is beyond a salon owners control.

The bottom line is that most salons "brilliant business models" revolve around selling open ended commitments with high priced packages and high priced lotions. That model will not work moving forward.
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Old 08-01-2014, 03:48 PM   #19 (permalink)
 
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Re: need help pricing new shop!

The chains are expanding because all the mom and pop salons are closing since we couldn't compete with 18.88 a month tanning. for every 6 salons that close, a chain may open one in the area. I know our biggest chain hasn't opened a location in a few years, but I have seen about 15 salons min close in the last 3 years
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Old 08-01-2014, 03:50 PM   #20 (permalink)
 
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Re: need help pricing new shop!

and yes, how do you open a salon without having a pricing structure? How do you know your equipment mix? Helping with pricing is hard, you need to price for your expenses yet be competitive. Also without a business plan, how do you know your monthly expenses, break even etc?
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