- August 29, 2021
- Comments: 0
- Posted by: admin
Beauty Brands is launching a new service that could plump up its revenue.
The Kansas City-based salon and spa chain rolled out dermal fillers and neurotoxin injectables services at its two Lee’s Summit stores earlier this month. It eventually plans to roll out the offering companywide, which could boost an individual store’s revenue by 25%, Beauty Brands CEO David Bernstein told the Kansas City Business Journal.
“My belief is that it has the potential to create more incremental traffic, clients and revenue than anything we’ve ever added to our business model,” he said.
The new service is part of Beauty Brands’ continual quest of looking for ways to evolve and remain relevant with consumers. Vice President of Finance Bettie Auch, who rejoined the company more than a year ago, pitched the idea to Bernstein. The more Bernstein thought about it, the more it made sense. Close family members have used these types of services, and there’s now a broader consumer interest.
“There’s less of a stigma around getting these types of services done. People are open about it,” he said. “Five to 10 years ago, it was a well-kept secret if somebody got Botox or dermal fillers.”
Beauty Brands’ customer surveys also confirmed it was heading in the right direction. Plus, adding medical aesthetics builds on its push to be a one-stop shop for beauty needs and its new tagline, “Your home for beauty.”
“Beyond the revenue opportunity, I think more than anything, it just creates another reason to visit. … It creates buzz and excitement as we evolve our brand,” he said.
Medical aesthetics services can create repeat customers and more regular visits. While customers stop in the store for Botox, they also might buy something from the retail section, such as makeup or a hair care product.
For Beauty Brands, it was critical to find a medical professional with an entrepreneurial mindset who could help the company grow the service. It found that trait in registered nurse Sarah Maxwell, who is the lead nurse injector and regional trainer.
Maxwell will be providing the services under the leadership and direction of Dr. James Mirable, an expert in non-surgical cosmetic treatments for more than 15 years. As Beauty Brands expands the offering, it will hire only medical professionals to perform the services, Bernstein said.
The Bernstein family built Beauty Brands from the ground up in 1995 and sold the company in 2013. At the time, Beauty Brands had 56 stores and 60 consecutive quarters of comparable same-store growth, Bernstein said. But the new ownership group took the brand in a different direction which ultimately led to a Chapter 11 bankruptcy filing in January 2019. Founder Bob Bernstein bought back the company in February that year, and about a year later, the Covid-19 pandemic hit.
“I don’t think it would have been possible to come out of it the way we did without the trust and expertise and faith that we had in one another,” Bernstein said.
With government mandates in place, the company closed for nearly two months. It survived taking one day at a time and navigating that day’s challenges.
“We got through it, and I think we’re stronger because of it,” he said. “It builds confidence that we can manage through a crisis. … Some of the things that you might face in the future, you say to yourself, ‘Geez, if we can navigate what we just navigated, we certainly have the ability to deal with just about anything and get through it.’”
Beauty Brands employs about 900 people and has 25 stores. For now, Beauty Brands isn’t focused on adding stores. It first wants to ensure its existing locations are as healthy and successful as possible; adding medical aesthetics is a key ingredient to its plan for success, he said.
“I’m really bullish about our brand. … We’re as viable if not more viable than we ever were. When you’ve got a model like ours that has such a strong service element, along with retail, and now we’re adding even more service elements to the model, I think it becomes even stronger as we go forward. … I think it has legs well into the future.”