The Role Product Plays in Franchise Success
The skincare industry continues to grow at astonishing levels. According to Global Cosmetics Industry Magazine, the skincare industry will reach $11 billion in 2017 in the US alone. This growth obviously bodes well for the spa business, as the two are intrinsically linked.
Ever Expanding Customer Base
One of the principle factors in driving demand is a growing cognizance and consciousness of proper skin care. As the population ages, they increasingly turn to products to help halt or slow the effects of age and previous damage has on their skin.
Older shoppers continue to be the largest consumers in skincare. In the US, there are more than 42 million people aged 65 or older, roughly one in every seven Americans (that number is projected to double over the next fifty years). This segment of the population is generally ready to spend money on products to help them look their best and maintain youthful skin as they age.
Additionally, men are continuing to recognize the value of proper skincare. In 2016, the men’s segment of the industry made an estimated $21 billion. (On a side note, in 2015, 25% of salon customers were men). As men continue to refine their attitudes towards proper skincare, they will search for products to meet their needs.
Demand for Natural and Organic Products
Natural and organic products are far and away the fastest growing portion of the industry, and have been growing by double digits for a decade. Consumers are persistent in their pursuit of products that will nourish their skin to properly fight wrinkles and dryness without unnecessary chemicals. Moreover, shoppers are most interested in products that not only eschew chemicals but contain natural ingredients that are listed on the packaging. For example, essential oils are becoming extremely popular right now, and are the basis of many of our products due to their effectiveness and health benefits.
With the growing demographics, new and increasing market segments, and the booming demand for natural and organic skincare, Marilyn Monroe Spas are poised to cater to our patrons. When customers visit our spas for one of our signature treatments it is an opportunity to extend our services into their homes through add-on sales of skincare products. Not only are they high-margin items, but they will continuously act as a reminder of the services they received during their massage or facial. It is like a business card in a jar that they use every day!