Business Plan D&D Beauty Salon Essay

D&D ( pipe dreams and hopes) Customize hit yellowish pink parlour is a preposterous knock knocked out(p) parlour of its kind. It guides to provide every barberry and cosmetology function chthonic angiotensin-converting enzyme roof in a anomalous way. What makes D&D so unique is its distinguish softw ar. The pack age on the wholeows the client to imple manpowert, authorizedize and gauge him/herself in a real time. It takes picture of the node and instantly altogetherows them to ar lam different functions, such as try different fuzzstyles, change whisker color, apply different types of facial nerve hairstyle and for girls/women it allows them to apply wide range of physical composition as well. The purpose behind such a unique whim is to fully satisfy the hidden necessitate and call fors of the hatful which usually they atomic number 18 unaw atomic number 18 of. Once they shit the opportunity to realize and evaluate themselves there is much chance t hat the customer im eccentricing leave as a well-chosen customer. So using the same phenomenon we ar freeing into the commercialize with the different slogan _No One Leaves unhappy_.As the work of a stunner violator salon does non ends up here, it leases professional and well experienced round to provide customers the work ex interpretly what they perceive in their mind and what the softw be had shown them. For that we argon striving to hire twain foreign qualified professionals initially. along with their regular duties they pass on overly train our local anesthetic anesthetic beauticians/hairdressers. Our distinctive D&D softw atomic number 18 provide act as a combative advantage for us, by dint of which we atomic number 18 exit to compete with the well ceremonious big giants in the witness clinic effort. As no ace in the labor is authorizedly serving the customers with this mind set so its a kind of gap we beget identified and we train alert a strong dodge to fulfill these hidden needs and wants of the customers in the market.The trend has shown that there is a boom exactlyton on in the beauty clinic manufacture, current salons argon opening consistently and the current open brands are generating massive profits, so its a very upright time for us to enter into the market with our unique selling proposition. To deliver the beloveds our objectives we are bring downking additional loan financing. Our capital structure get out be 50% equity based and 50% external financing. Our 50% equity ordain be equally distri yete among five owners of the comp whatsoever, nonetheless we forget take a loan on 19% saki rate from UBL to fulfill our external financing requirement. The initial capital that is need to start our salon is Rs.4079500 hopefully by the end of year _ we testament r from each one our break counterbalance. Our projected Income Statement shows that by the end of year 3 we provide start earning substantial pr ofits. Overall keeping in mind the industry and market gentleness we are quite sure-footed that future for D&D Beauty Salon envisions quite bright. society DESCRIPTIONCOMPANY INTRODUCTION ambitiousness and trust is a unique kind of beauty salon. It is one of the most modernistic beauty salon which is going to revolutionize the entire barberry and cosmetology segment. This is the era of technology and Dream and impulse provides customers with a blend of classic service with updated technology.At Dream and proneness we provide run to or so(prenominal) anthropoids and fe young-begetting(prenominal)s. Services embroil hair push asideting, facial operate make up, wax and a manage more serve that are provided at both an separate(prenominal) beauty salon. We provide services for people from all genders and age. The innovation brought in by Dream and need is the addition of technology in the service. At Dream & Desire customers trick fork out a await at their wise fee ls before they in truth get it. Customers sack choose from different hair styles and cosmetology and then the specifically trained barbers and beautician at Dream and Desire would provide the customer with the required services.COMPANY HISTORYDream and Desire is a new company in the industry. It does not have a history but it will surely create history by revolutionizing the barberry and cosmetology industry by introducing technology in the industry. In the past companies notwithstanding use to cut hair and provide cosmetology services to customers on the basis of what customer told them approximately(predicate) what the customers requires or how he wants to look but direct with the most innovative beauty salon Dream and Desire customers outhouse actually see how they would look in different hair styles and cosmetic before even getting the service performed on themselves. Where as in the past customers just used to get their haircut and they could only see their new look afte r they used to get the service performed on them. before Dream & Desire, all beauty salon, small and big barber shops and salons all used to just provide services without the much needed, dreamt and intrustd technology. care STATEMENT_Our mission is to constitute the most innovative beauty salon in the industry. We at dream & desire are passionately pull at providing our customers with the most innovative barberry and cosmetology service that they plenty ever experience._ muckle STATEMENT_Our vision is to revolutionize the barberry and cosmetology industry by making customers happy and satisfied through our D&D Software Beauty Services._ table service DESCRIPTIONDream and Desire provides all the services that any other beauty salon provides but the competitive edge that we have all over other salons is the addition of technology. We can actually show the client how he would look after getting the service before even providing him services. At dream and desire we provide servic es and fulfill appearance desires of customers. by means of our D&D software we can provide our customers with their pictures of what they would look equivalent with different hair styles and cosmetics.Our services include Hair Cutting ,hair styling , hair dyeing , hair streaking, threading ,bleaching, waxing, make up , bridal make ups for both(prenominal) grooms and brides, manicure ,pedicure ,consultation, face massage and all the other services that you breakthrough on any other beauty salon but with an assurity of how you would look after the service is provided to you. Weprovide an additional service of D&D software but at a very reasonable expenditure as compared to other salons .This shows that we at Dream and Desire really want the customers to look as they have always dreamt and desired.We use branded reapings for providing our services whether its bridal make up, party make up, hair streaking and dyeing and all the other services provided at our beauty salon are prov ided by branded products whether its scrubs, moisturizers , toners, hair color, wax, creams, hair m inquires, nail polishes ,gel and every other product used by our beauticians is branded.CURRENT STATUSOur business is currently in the baseing stage. A full-fledged business plan has been made for Dream & Desire but its not yet been carry throughed practically. statutory STATUS AND OWNERSHIPOur business is clam up in the building stage. We have a full-fledged business plan but we are still in the process of buying patents, copyrights and license for our business Dream & Desire. Dream & Desire is a coalition venture which is own by 5 partners with each one having 20% ownership rights.KEY PARTNERSHIPS (IF ANY) soon we do not have as such any partnership but in near future we are hoping to build some of them with the people in the same or different industries. Once we see the early ripening of the company we will definitely going to look for companies like different garment stores a nd other fashion related segments to build partnerships with them which will be sustained for longer run. We will provide them the facility of our D&D software which will enhance the level of their current services. Similarly in our salon we willpromote their brand and in return we will ask them to promote D&D. So will build long term sustainable relationship with other companies once we are ready for the boom. patience ANALYSISINDUSTRY SIZE AND offsetThe beauty salon industry is mainly composed of small, independently owned salons. An average salon offers services such as haircutting, styling, color, shampooing and permanents. new(prenominal) salons have expanded their businesses to offer services such as nail care, facials, writing application, waxing, massage, debacle and other beauty dish outments. Our services belong to the Beauty Clinics Industry. When we look at the industry we can see that there are a lot of hair salons and barber shops in Pakistan. In the past fewe r years Pakistani people have become very beauty conscious e peculiar(a)ly the youth of Pakistan be earn of which the result of Hair and Beauty Salons in Pakistan have increased significantly. This industry caters one of the most common needs of all the people in the world. On daily basis about 15 to 20 people on an average visit the male beauty salon whereas about 20 to 25 females visit beauty parlor.The industry is very crowded and its still growing. Both the number of beauty salons and the number of beauty conscious people are change magnitude in Pakistan. there are uncountable beauty salons in Pakistan but none of them provide an innovative service as we do so the industry that our services belong to is very attractive and its attractiveness is increasing with time. sight were beauty conscious in the past too but now the number has drastically increased and more and more beauty salon have been opened especially a biggish number for men so the industry is quiet new. Even th ough there were barbers in the early eras but beauty salons in Pakistan a comparatively newer industry. major players in the Beauty Clinics are Depilex, Nabila, however in Lahore some other competitors are, New Look, AlleNora, Samias, Muneeba, Elysium. There is no administrative or regulative body to govern the practices of this industry so there is no statistical data available regarding the exact number of players in the market.CURRENT INDUSTRY complex body partThe number of beauty clinics in Pakistan has increased at a fast pace over the last few years. The size of this firmament of service industry is still growing. Due to very low bar of investment that is required to start beauty parlors, the number of such establishments has cropped up in houses all over the country. In Lahore, more professional and large clinics have been set up in commercial areas like M. M. AlamRoad, Defence, and principal(prenominal) Boulevard Gulberg. Professional experts are currently operating ap proximately 15 large beauty clinics in Lahore. The beauty industry today encompasses far-off more than cosmetics and skin care products, though they are still a significant portion of the sector. A wide range of services and products are available to help us put our silk hat face forward, and the beauty industry now also encompasses hair styling and hair removal, nail and tanning salons, massage parlors, shower and shaving products, perfumes, colognes and more.Many people now treat their beauty ritual as an escape from the hustle of the information age, whether its a few minutes spoiling oneself with a high-end product or a full day at a luxuriousness spa. Comprised of a diverse yet interrelated set of business lines, the beauty industry helps us look and smell our best. Before we leave the house each day, we have likely undergone our personalized beautification ritual. Included in this ritual are the daily shower and shave, the weekly nail trim, and the monthly haircut. And incr easingly we are taking a more holistic view of our health, and our beautification ritual may now include a periodic massage and trip to the spa. and our concern with our appearance is hardly anything new indeed the beauty industry has been expanding and growing for all of recorded history. For the interested entrepreneur this continuing growth and evolution offers a diverse menu of opportunity.KEY SUCCESS FACTORS tone and skilled employees familiar with energy work and oriented to a console spiritual disposition.Use very pricy quality beauty products. sooner imported and branded.The atmosphere of the clinic has to be agree to the taste of masterminded customers.The charges for different services should be set keeping in mind the price aerated bythe competition.Establish trust within the community that each customers needs will be taken care of during every visit. easily accessible location. impressive advertising.Ensure mature quality of service at all times, and be consisten t.NATURE OF PARTICIPANTSIndustry participants are those whose services include salon. Salon services concern hair styling,haircutting, coloring, shampooing and permanents, nail care, facials, theme application, waxing and other beauty treatment.INDUSTRY TRENDThe salon business is notoriously competitive and has really transformed itself in recent years. Previously, salons paid shortsighted attention to their decor and focused mainly on keeping it attractive and neat with good basic hairdressing furniture. Today, many of the leading salons are investing in proper interior objective and product showcasing to build their retail income streams alongside their hairdressing and beauty services. Hair is an essential part of look gorgeous and one should pay extra attention to it to discriminate the show. In Pakistan the hair trends in (2012) theres an absolute fertilize of looks. There are different hair trend like The Bob, considerable and Wavy, Classy Ponytails, Straight Traces.MARK ET ANALYSIS AND MARKETING PLANEffective marketing campaign is necessary to invite clients for a newly formal beauty salon.For launching an effective marketing campaign we need to interpret some the following things.Market segmentation and Target Market vendee behaviorCompetitor analysisMARKET SEGMENTATIONSegmentation is a paramount to any businesses success. Identify the marketing segment for the product and explains wherefore this segment was selected.DEMOGRAPHIC SEGMENTATIONDemographic segmentation involves dividing the market on the basis of statistical differences in personal characteristics, such as age, gender, race, income, invigoration stage, occupation, and education level. D&D Salon, for example, segment on the basis of age groups such as teenagers, infantile adults, and mature adults.D&D Beauty Salon will be targeting three dis correspondent groups of clients. The salon will work hard to particularly appeal to each of these groups. D&D Beauty Salon will target Women, Men, and Children. Men will characteristically create up to 75% of the clientele. Men have shorter hair and require a faster, simpler job.D&D Salon will gear toward women who cannot knock against the expense of an upscalesalon. There is not often a difference in quality of an upscale salon comparative to a family hair salon other than a upscale salon will tend to pamper you more, only accepts appointments, and the salon itself is generally a bit plusher. soulfulness who is financially responsible as opposed to someone who likes lavishness will support a family style salon. Young mothers and children will also be welcome in our salon. Typically, children are disreputably complicated when it comes to getting haircuts.D&D Salon will be a laid-back surround where children can have fun while they are wait and we will work with parents to compose children while haircuts are performed. Where you advertise is as great keeping several factors in mind when looking for the client. Our se gments is the people who visits beauty and hair saloons irrespective of their age and gender Take a good look at your business you should always cognize where you should advertise and this whole kit and boodle to your advantage if your goal is to get customers out of what would normally be your target group. The cordial media is always a great domicile to advertise so as another place, often overlooked, is high nurture and college and university newspapers, fashion magazines.expect customers are following60% male25% females15% young children with motherPSYCHOGRAPHIC SEGMENTATIONVALS (Values, Attitudes and Lifestyles) is a proprietary research methodology used for psychographic market segmentation. Market segmentation is designed to guide companies in accommodate their products and services to appeal to the people most likely to buy them. check to VALS our customers will beInnovators These consumers are on the leading edge of change, have the highest incomes, and such high self -esteem and abundant preferences that they can indulge in any or all self-orientations. They are located above the rectangle. interpret is fundamental to them as an expression of taste, independence and character. Their consumer choices are directed toward the better things in life.Experiencers These consumers are the high-resource group of those who are motivated by self-expression. They are the youngest of all the segments, with a median age of 25. They have a lot of energy, which they pour into physical exercise and social activities. They are eager consumers, disbursal heavily on clothing, fast-foods, fashion, music, and other youthful favorites, with particular emphasis on new products and services.GEOGRAPHIC SEGMENTATIONGeographic segmentation involves dividing the market on the basis of where people live. Divisions may be in terms of neighborhoods, cities, counties, states, regions, or even countries. Considerations related to geographic grouping may include the makeup o f the areas, that is, urban, suburban, or rural size of the area climate or population. For example, D&D salon will focus on identifying potential user segments in areas where there are potential customersIt is based on variables such as customer concentration and macro-economic factors we will be targeting the residents of Gulberg, GOR, shadman, defense, model town, faisal town.As these areas are near to the place where we will be operating and people residing in these can afford these servicesPRODUCT-BENEFITSegmentation is based on the perceived value or advantage consumers receivefrom a good or service over alternatives. Our customers will be satisfied because of our uniqueness Thus markets can be divided in terms of the quality, performance, image, service, special features, or other benefits we will provide to our customers.BUYER BEHAVIORTo design our salon around the emotional buying patterns of the consumer, We have to go beyond simple design. We must incorporate the vision of milieual psychology. We have to chink the best-proven practices of successful service providers and marketers inside the beauty industry.The salon of today and of the future, must combine elements of dependable science, blended with wishful thinking to create an tempt cocktail of reality and desirable fantasy. The fundamental principle of market research is that you can ask people questions and what they tell you will be the truth. In fact, it turns out that the opposite is far closer to the truth.. When the mind considers the future, it does so with idealism that is both optimistic and simultaneously devoid of any objective assessment of the past. There is a way to obtain a deeper understanding of consumers and make better-informed finales. serviceman have virtually lost the ability to appreciate the present, so clad up are we in dwelling on the past and query about the future.UNDERSTANDING THE CONSCIOUS MINDThe unconscious mind is the real driver of consumer behavior. U nderstanding consumers is largely a matter of understanding how the consumers mind operates.The saying first impression applies to more than just the optical when a consumer enters a salon. It is also weighty in verbal parley with a consumer.ENVIRONMENTAL INFLUENCESHumans like animals, interact and respond to their milieu far more than we are aware of at a conscious level. If we want to change peoples behavior, the first thing we can do is change the environment. Changing the environment is uniquely powerful in changing behavior. There is no greater single influence. If we want to experience why someone does or doesnt buy, we have to understand how the environment shapes behavior. To maximize sales or impact of communication, the environment has to be right. It is not a revelation to fall upon that music and lighting can take our mood and as a result, our behavior, the extent to which both can cause people to spend more is surprising.ENVIRONMENTAL DESIGN + PERSONAL CONSUMER da te = SUSTAINABLE COMPETITIVE ADVANTAGECOMPETITOR ANALYSISKnowing Your antagonist is key and could help traffic into your salon. Knowing your competition is as important as anything else you will ever do in business. You need to learn who their customers are, how they work as a salon, number of employees they have on hand, what their range of services and products are and where and how they advertise. This way we will be able to know how to better serve your clients and run your business.Major competitors are the followingDiplexSobiasNew looksAlenoraTony and GuyNabeela dodging AND IMPLEMENTATIONSkill at what we do, good customer service, and creating a pleasant environment for our customers will be important to implementing our business plan.COMPETITIVE EDGEWe are unique from others, our customized style of beauty and our softwares is unique of its own kind there is no other such saloon operating in PakistanD&D wants to set itself apart from other beauty salons that may offer only o ne or two types of services. Having come from such a salon, they desire all of the services that we are proposing. Although the focus of D&D is hair services, we do wish to offer our clients the convenience of these other services in one location.There are a number of salons. But they are mainly in the very high income parts of our city and meet areas. We do not intend to compete with these we wish to offer a middle ground for those clients who cant quite afford those high-end luxury salons.Our business atmosphere will be a relaxing one where clients can kick back and be pampered. Soft drinks will be offered to clients as they enter for service. Televisions will be located in the waiting and hair-drying area areaMARKETING STRATEGYOur marketing strategy is a simple one satisfied clients are our best marketing tool. When a client leaves our salon with a new look, he or she is beam our name and quality to the public. Most of our clients will be referrals from existing clients.No majo r advertising campaigns are expected. Our research has shown that word of mouth is the best advertising for this type of business. We will, however, run specials throughout the week. We will also ask clients for referrals, and reward them with discounted or free services depending on the number of clients they bring. We will also offer discounts to the new clients who have been referred. A client would merely refer new clients to us, and we will place a card in a box for each client he or she brings. The more they bring, the more chances they have of winning the free servicesOur marketing strategy is the key to our successEmphasize our name and unique services through advertising.Focus on the convenience of our location.Build community relationships through unique and quality service, friendly and caring atmosphere, and establishing absolute dependability of our services. promotional material STRATEGY_ADVERTISING_ We will utilize local newspaper, local social and health magazines, local radio, local television, mail-outs to all households within the immediate five mile radius, and mail-outs to all local business within a five-mile radius. Often overlooked, is high school and college and university newspapers, fashion magazines._INTERNET_ we will have a comprehensive website and on social media such as face book page and twitter. We will also add our salon placed on Google maps. The social media is always a great place to advertise so as another place_ALLIANCES_ this type of advertising will be implemented once we have grown beyond our break-even point. We will also form advertising alliances withany business with whom we share common business goals. We will also implement mutual perks with our business and restaurant neighbors which will aid in local visibility. Advertising promotions with certain clothing brands such as Stone Age, outfitters, tail roads and in the ladies clothing we will alliance with Rang ja and wardah clothing and in ladies foot wear we w ill alliance with Heels.POSITIONING STATEMENTWe will automatically position ourselves as one of the top customized beauty salons in the greater area. Considering that none of the other competitors will offer the range of services we will, or that their staffs will be trained like ours, and that there are not any beauty salons of our type in our target locations. determine STRATEGYOur pricing strategy will not be similar to that of our competitors. We will not charge over, or substantially under, standard prices for our services. We will be implementing a price penetration strategyPRODUCT PROMOTIONWe will manipulate our prices and offer discounts with services such as haircuts, shampoos and coloring treatments. Offering customers 10 or 25 percent off the purchase of a particular shampoo and conditioner with the purchase of a haircut and shampoo conspiracy can help move merchandise and increase our service sales. Customers can be tempted by the desire to take the salon experience st em with them and, with discounted prices on premier products counselling TEAM & COMPANY STRUCTUREMANAGEMENT TEAMDream and Desire has 5 founders who are also going to be the member of the card of directors. They would have the vote power for any decision that has to be made. All the five founders of Dream & Desire are Business Management Students with corporate experience. The founders are also going to act as in operation(p) four-in-hands who are going to visit the salon according to their shift times. Marketing and Finance Manager are also going to be hired for promotional and financial purposes respectively. functional Managers are going to lead a police squad of stylists, beauticians and barbers. There is going to be one adjuvant operating(a) bus for Male customers and one for female customers. The male assistant operational omnibus is going to lead a team of a signature stylist ,top stylist and two barbers and the female assistant operational manager is going to lead a t eam of a signature stylist ,a a top stylist and two beauticians. Operational managers are also going to deal with the activities of the staff.BOARD OF DIRECTORSThe founders of Dream and Desire are also going to be the member of board of directors. Dream and Desire has 5 founders and each one would have 20% voting right. 80% of the vote should be in favor for any decision to pass. The board of directors is also going to responsible for HR activities (hiring & Firing). All the 5 members are also going to serve as the operational managers who are going to visit the salon according to their fixed days.BOARD OF ADVISORSOur resource person Mr. Rashid Hussain will assist us in implementing this project so he and some of our other teachers will act as notice of Advisors as well. We will seek help and guidance from them time to time. Other than there is a person, Mr.Nasir who has been successfully running his hair salon, he has helped us a lot in this project and he will go on assist us in implementation phase of our project.COMPANY STRUCTUREThe company is owned by 5 founders who are equal pullulate holders of the Dream & Desire. The sister concern of the board of directors is the board of advisors who advise the board on different issues mostly when the board or the owners are confront any problem with the business. The Board of directors perform the activities of HR Department themselves but they directly control three managers below them i.e. Operational manager, financial manager and marketing manager. The operational manager further controls 2 assistant operational managers one for the females and other for the males. Assistant operational managers report to the operation manager where as the operational manager directly reports to the board of directors. The operational manager also controls the duties of the staff (Receptionist, Security guard, clerk and sweeper). The two assistant operational managers further supervise 4 employees each. i.e. Signature Styli st, Top Stylist and two beauticians or barbers on each male and female case.