Learning how to price salon services is one of the most valuable skills you can develop as a salon owner. Price too low and you burn out without covering your costs. Price too high without justification and you lose clients. The goal is sustainable pricing that reflects your value, covers every expense, and leaves room for profit.
Start with Your Costs, Not the Competition
Many salon owners look at what competitors charge and copy it — but that is pricing backwards. Your competitor may be running at a loss, or their overheads may be completely different from yours. Start with what it costs you to deliver each service.
Your cost structure has three layers:
- Time: How long does the service take? Include consultation, execution, and cleanup.
- Products: How much product do you use per service? Factor in waste.
- Overhead: Rent, utilities, software, insurance, card fees — divided by the number of appointments you can take per month.
How to Calculate the True Cost of a Service
Take a colour appointment as an example:
- Stylist time: 2.5 hours at your hourly cost (salary or your own wage target)
- Products: approximately £15–25 in colour, toner, and developer
- Overhead allocation: e.g. £8 per appointment slot if your fixed costs are £1,200 per month and you take 150 appointments
If your true cost is £65, and you want a 40% gross margin, you should charge at least £108. Adjust based on your market position.
Researching Your Local Market
Once you know your floor price, research your area. Call competitors as a potential client, check Instagram, look at booking platforms. You are not trying to match the cheapest salon — you are finding where your quality and experience position you in the market.
Aim for the mid-to-upper range if you offer a premium experience. Clients will pay more for clear communication, punctuality, and results they trust.
Value-Based Pricing: What Makes Your Salon Worth More
Beyond costs, your price signals quality. A colour at £60 in a dimly lit salon feels different to the same service at £90 in a clean, welcoming salon with an online booking system and a confirmation email in their inbox.
Factors that justify higher pricing:
- Specialist training or certifications
- Premium products (Olaplex, K18, etc.)
- Online booking with 24/7 availability
- Consistent client experience — no missed appointments, automatic reminders
- Mixed bookings that let clients book multiple services in one flow
When and How to Raise Prices Without Losing Clients
Most salon owners leave prices unchanged for years — and slowly get squeezed by rising costs. A rule of thumb: review prices every 12 months, and raise by 5–10% annually to keep up with inflation.
How to handle a price rise:
- Give 4–6 weeks notice
- Be matter-of-fact: "We are updating our pricing from [date] to reflect the quality of service and products we use."
- Loyal clients rarely leave over a modest increase
- New clients have no reference point — they just see the current price
Use Your Booking Data to Price Smarter
The best pricing decisions come from data. Which services fill up fastest? Which ones take longer than expected? Which services do clients always add on?
With DoTheBeauty, every service you list includes pricing, duration, and category — and every appointment generates billing data you can review. When you can see which services run over time or use more product than expected, you can adjust pricing in minutes. Visit our pricing page to see which plan fits your salon.
Frequently Asked Questions
DoTheBeauty Team
Salon Software Experts
Our team consists of salon owners, beauty professionals and software engineers who share their knowledge to help you build a better salon business.