Fantastic Sams Franchise Brand Evolution Drives Strong Growth
Fantastic Sams Hair Salon Franchise Finished 2014 With 71% More Franchise Signings Than the Previous Year
BOSTON, MA - (Marketwired - Aug 18, 2015) - Fantastic Sams is in the midst of a makeover, and the hair salon franchise is attracting a growing line of suitors. Franchisee signings rose 71% in 2014 compared with the year before, as entrepreneurs embraced a remodeled store design and a reinvigorated business model.
Fantastic Sams is part of Dessange Group North America, which oversees about 1,100 Fantastic Sams in the United States. Dessange Group North America also is working to expand two European salon powerhouses - Dessange and Camille Albane - in the U.S. Together, the three brands have nearly 2,000 locations worldwide. All three brands are led by CEO Linda Chadwick, who has guided Fantastic Sams' resurgence and was promoted to oversee Dessange Group North America this spring.
Since its recent acquisition by Dessange International, Fantastic Sams has introduced a new store model, a new operating system, and a focus on increasing owner profitability. The favorable results demonstrate an all-around increase in store revenues, customer loyalty, and brand awareness.
What sets Fantastic Sams apart
"Fantastic Sams occupies a great niche within the hair care industry," Chadwick said. "We appeal to value-conscious customers who just need a haircut, but that's not all we do. We are a great place for color, cuts, texture, style - we do it all when it comes to hair care, and with that we are able to obtain a higher average check, which is great for franchisees."
Fantastic Sams' haircuts are priced to appeal to customers in the value segment of the industry, which gets a lot of customers in the door. The brand's growth has been driven by what happens next: Customers quickly realize the company offers more than haircuts. For instance, when a mom brings her kids to get their hair cut, she discovers a full range of hair salon services.
Those services mean that franchisees can serve the entire family during a single visit. That's convenient for customers and profitable for franchisees. Instead of serving one of two kids, and selling one of two haircuts, Fantastic Sams franchisees can serve everyone. That means marketing dollars enjoy a multiplier effect - one customer can quickly become four. The full salon services also mean higher average tickets, since more sophisticated salon services carry higher prices.
At the same time, Fantastic Sams' trained stylists build relationships with customers. Stylists earn more money by selling salon services, and franchisees enjoy more revenue. Fantastic Sams franchisees are able to attract great stylists because the company offers ongoing training to help stylists keep their skills sharp and their earning potential strong. That translates into outstanding skills, great people, and happy customers.
"Women who color their hair are more likely to change their doctor than change their hairdresser," says Susan Peace, Senior Director of Products & Retail. "The power of the brand is what makes us unique."
Hair care franchise's growth strategy
In late 2014 the company launched "Brand Evolution," a rejuvenation of the 40-year-old brand. The ongoing campaign includes new haircutting systems, color and product lines, an upcoming store redesign, and an entire range of new franchise support systems designed to help franchisees compete with value hair-cutting chains.
The iconic American franchise also named its top 15 target growth markets. Included in the roster are the Midwest states of Michigan and Illinois, Southeastern states of Georgia, North Carolina and South Carolina and the Eastern Seaboard states of New York, Massachusetts, New Hampshire, Connecticut, Rhode Island, Pennsylvania, and New Jersey. Rounding off the list are Northern California, New Mexico, and Texas.
About Fantastic Sams
Founded in Memphis in 1974, Fantastic Sams pioneered the concept of a no-appointment, walk-in hair salon that caters to customers who need high-quality hair services. With more than 1,100 salons, Fantastic Sams is the oldest franchised unisex salon in North America. It is consistently ranked among the top franchises by industry experts and is regularly named to Entrepreneur magazine's Franchise 500 and Inc. magazine's Franchise 500|5000.
"Fantastic Sams has the impressive ability to work in large and small markets," Chadwick said. "We have successful franchisees in markets as large as Los Angeles and Boston and as small as Adrian, Michigan, and Weaverville, North Carolina. Our simple, scalable business model works anywhere that people embrace affordable hair care in a full-service salon atmosphere."
SOURCE Fantastic Sams
Director of Franchising