Business plan

Of
Smart and Glamorous
 Business plan
Of
Smart and Glamorous

Submitted By: Effulgence

Md. Ahasanul Haque Khan Student Id: 021123010 Batch: 40

Nabanita Saha Student Id: 021123032 Batch: 40
Ahad Ali Student Id: 021123050 Batch: 40
Farjana Akhter Munni Student Id: 021123057 Batch: 40
Md. Mostafizur Rahman Student Id: 021123082 Batch: 40

Department of Bachelor of Business Administration (BBA)

Letter of Submitter

Faculty of Business Administration

University of Development Alternative

Dear Teacher,
With great respect we beg to state that, we are the members of “effulgence”. We have made a
Marketing plan on “Smart and Glamorous”. We hereby that this submission is our own work and
that to the best of our knowledge and belief it contains neither material nor facts previously
published or written by another person.
Please accept our report on behalf our work and oblige there by.

Yours sincerely:

-------------------------------------------------------
Md. Ahasanul Haque Khan
Student Id: 021123010, Batch # 40

-------------------------------------------------------
Nabanita Saha
Student Id: 021123032, Batch # 40

-------------------------------------------------------
Md. Ahad Ali
Student Id: 021123050, Batch # 40

-------------------------------------------------------
Farjana Akhter Munni
Student Id: 021123057, Batch # 40

-------------------------------------------------------
Md. Mostafizur Rahman
Student Id: 021123082, Batch # 40

Dedicated

To
Our Parents

Acknowledgement
As always, we want to thanks ALLAH for the wonderful world He created and for giving

mankind the ability to discover and share knowledge and wisdom with others.

We would like to give our heartfelt gratitude to the teachers ofFaculty of Business

Administration, University of Development Alternative, who is the inspection of our marketing

plan for helping and encouraging us in many ways to make our marketing plan a success.

Without hersupport the marketing plan would not have been a success.

We would never been able to finish our marketing plan without great support and enthusiasm

from our friends. We owe many thanks to our families for all of their support and

encouragement.

Finally we would like to thanks the department of Bachelor of Business Administration (BBA),

University of Development Alternative (UODA) for giving us permission to initiate this business

plan and successfully finish it.

Executive Summary

Young generation are very much aware about their attractiveness and now a day’s men are also

very much conscious about it. “Smart and Glamorous” men based salon smart and glamorous

has some objectives such as marketing objectives, corporate objectives etc. to achieve the

destination of “Smart and Glamorous”. The location of the salon is bashundhara. “Smart and

Glamorous” gave the salon there for giving better quality services and also for massive profit for

our organization. We have made a survey on various men based salon and find out some
important information that we have to focus. We have focus on generation wise customer, their

classes and also on business seasons. We have also analyses SWOT strength, weakness,

opportunities, threats. For the profit of the salon marketing strategy is very much important.

Some tactics we have apply whenever we gave the services according to their sections and also

made two sections according to their income level of the customer. We have focused on

marketing mixed because they are the key issues for effective marketing.

Introduction

1. Introduction
Young generation of men consider about their beauty due to changes in society. Educational
level, income, social class, occupation, relationship & feelings most affect to men to pay more
attention on their beauty. In the Dhaka city we have many competitor. Like, Persona Adams,
Biss Hair & Beauty, Damen Welt and Elegance.

1.1 Objective

Corporate Objective

The main objective of the plan is to create an effective businessconcept about “Smart and
Glamorous”. We want to generate the report accordingly how “Smart and Glamorous” are and
find out how to improve the “Smart and Glamorous”service.
“Smart and Glamorous” planning, beauty salon must develop a business plan that includes a list
of business objectives and goals. The goals and objectives will differ depending on the focus of
the beauty salon, one selling hair products are focus on sales and product availability, while a
salon offering styling and cutting will focus on services and customer experience.

Marketing Objective

• Increase customers by 5% per quarter.

• Decrease customer acquisition costs by 10% per year.

• Maintain positive, steady growth each month.

1.2 Scope
We have physically visited at Persona Adams, Biss Hair & Beauty, Damen Welt and Elegance to
gather information.

We have found that upper class, middle class peoples come tothose beauty salon. Most of them
are young. We have also noticed that more clients are business man, executive of private
company and students and they are very highly educated. At the same time there income is
sufficient.

1.3 Limitation
The limitations of us are as follows:

• We did not get sufficient time.

• People did not talk with us willingly.

• We did not get expert’s appointment.

• We have some limitation of money.

Company Profile
2. Company Profile: Smart and
Glamorous
The name of our beauty salon is “Smart and Glamorous”having a brand mantra“Look good,
feel good and be good”. “Smart and Glamorous”is a Bashundhara Residential Area based
business house since its establishment i.e. 2010.

“Smart and Glamorous” is a full-service gentleman's barber shop dedicated to consistently

providing world class men's grooming services to our clients, high quality products while
furnishing an enjoyable relaxing atmosphere at an acceptable price/value relationship.

The salon is based on partnership business having 6 owners. The salon is in a commercial
building just beside the International school of Dhaka in Bashundhara Residential Area, having 6
types’ employees.They are 1 manager, 1 receptionist and cashier, 8 Operating Employees, 2
specialists, 1 security guard and 2 cleaners. Among the specialists, one will be a Skin Specialists
and one will be a hair specialists.

Services: We will offer a range of services consists of Hair Setting, Hair treatments (For
instance: Oil Massage, Spa Treatment, Herbal Treatment, Shampoo), Hair Coloring, Hair
Straightening, Party Makeup, Wedding & Reception Makeover, Facial services (Normal, Herbal,
Pearl, Gold, Fruit, Whitening, Oxygen, Ozone), Spa Service (Body Massage).

Infrastructure:our robust infrastructure provides us cutting edge in delivering services as per

the demands of clients.

Quality: Quality is the driving force for our organization that keeps us ahead of our competitors.
Our deft quality control analysts exercise comprehensive quality checks over every process so
that premium Services would be delivered to customers/ clients.

Customer Satisfaction: We are a beauty salon believing that customers’ pure satisfaction is a
true asset for any organization. Hence, our endeavors are focused to delight customers in all
possible way through quality products and matchless services. At Always Perfumes, we
understand customer’s preference and serve them accordingly.

Your Safety: We use SSL (Secure Sockets Layer) encryption technology to ensure a secure end-
to-end link. We will never share your personal information, including your email address, with
anyone or any company for any reason.

Location:Beauty is one of the prime concerns for the modern men’s and they are very much
sensitive and caring about it. Almost every men who has little affordability goes to nearby beauty
salon for their beautification. Among them who are affluent, they go to some renowned beauty
salon which are situated in different region of Dhaka city. Some of the beauty conscious men
travel a long way to go to their desired and proffered beauty salon. In case of beauty conscious
boysof Bashundhara & Baridhara they are one of them.

Providing an easily accessible location for the inhabitants of Bashundhara & Baridhara. This
segment of consumer especially the executives of reputed company (GrameenPhone) or the
students of private universities need to go to either Gulshan or Banani for the parlor works and
spa service. They need to cross the distance through tiring and time-consuming traffic. No beauty
salonsare in a convenient distance. Thus, we target them and locate our salon in their closest
reach that our customers will spend less time on traffic and get the best quality service to satisfy
their need.
Figure 2.1: Location

Physical Structure:Salon industry in our country has high intensity of rivalry, customers also
have high bargaining power though threat of substitutes & barraging power of suppliers are low;
but the threat of new entrants are moderateto capture the opportunity as beauty parlor business is
in the growing stage, we rent a 3,000 square feet shop in a commercial building just beside the
International school of Dhaka in Bashundhara Residential Area. The name of our beauty salon is
“Smart and Glamorous”.

Figure 2.2: Physical Structure

In lounge their have a reception and some furniture. Their also has opportunity for entertaining
the people by TV. After crossing the reception desk, here have some rooms for massage,
laundry, facial and special hair salon for Kids and teens. Two of them are used for massage, one
for laundry, one for Kids, one for teens and one for facial. In side of these departments there has
a hair salon with some chair. Front side of hair solon, here has a different part of the floor which
is used for retail store. It is the short description of those floor according with beauty salon.
Figure 2.3: Hair Salon
We will create enjoyable environmentfor our customers by which they can entertain themselves
with great pleasure. In our salon we will haveVirtual Hair Style Display and also with
refreshment services like TV, Wi-Fi. So while at our salon, our customers will enjoy every
second of their valuable moment. Our salon interior will also be innovative which will provide a
pleasing experience. Another reason to provide these things is to make customers consider that
they are not waiting.

Figure 2.4: Reception Desk

We will focus on several things in case of conducting the business like hygiene, quality and
perfection. We will hire two specialists who will revamp our parlor to a very high level. We will
also provide some othervalue added services. We will also focus on hygiene very strictly. For a
salon hygiene is a very important factor. To clean our hair cutting salon and other vital tools we
will use sterilize machine which are brand new addition of science. So the name of our beauty
salonrepresents the services which are totally exceptional from others and the tag line makes a
scenario of our superior quality. Thus, we can say that our salon “Smart and Glamorous” has a
very promising future.

Situation Analysis
3. Situation Analysis
3.1 Customer Analysis
Target Customer

Generation
• Kids&Teens (02-19 years)
• Young Gents (20-30 years)
• Adult Men’s (above 30)

Social Class
• Upper Middle
• Upper Lower
• Middle Upper
• Middle Middle
• Middle Lower

The Target Customer

• Residentsin Bashundhara Area.
• The executives of reputed company.
• The students of private universities & other Educational Institutes.
• Business Person.

Business Season
• Normal Days:
Evening time period have more demand.
• Seasonal Period:
Especially in Wedding Eid & Puja Salon “Smart and Glamorous” has inure sales.
Expectation of the customer
• Affordable price & convenience.
• Attractive environment.
• To enhance their beauty.
• Quality Dressing.
• Get flexible service for needed time.
• Free instructions.
• Pay more attention to customer needs & wants.
• Additional Service (Retail Store).

3.2 SWOT Analysis

A research method which includes to consider about Strength, Weakness, Opportunity and
threats use for to know about company internal and external factors which could be have good or
bad impacts on company planning and then organization can plan its strategy how to tackle with
those factors.

Simply speaking, SWOT Analysis is a useful technique for understanding your Strengths and
Weaknesses, and for identifying both the Opportunities open to you and the Threats you face.

In which: Strength and weakness are internal factors of the organization. And opportunities and
threats are external factors of the organization.
Figure 3.1: SWOT Analysis

Strengths:
Internal attributes of the organization that are helpful to achieve the objective.

• Good relationship with customers.

• Flexibility for new services.

• Attractive prices.

• Employer has more than 5 year work experience.

• Use new electronic instruments for treatments.

• Customers can easy to reach that place.

• Good customer loyalty.

• Good relationship among employers.

 • They have strong goodwill within Bashundhara Area.

• Excellent retail space.

• A wide range of services offered.

• Competitive prices.

• Provide additional Service.

• Well-trained employees with good hair cutting skills with a wide style repertoire, and
customer-focused business practices.

•
• Figure 3.2: Strengths
•

• Innovative services and new promotional strategies.

Weaknesses
When we say that organizations are like individuals, we mean that there are weaknesses in
organizations just like those of individuals. There are some features of “Smart and Glamorous”
which attribute to its weaknesses:

• Poor promotion campaigns.

• Minimum number of employees.

• Take more times for one customer.

• Higher current bill.

• Not going outside for dressing except bridal dressing.

• It’s difficult to get services in early morning.

• The struggle to appear continually on the edge in terms of fashion and style.

•
•

• Figure 3.3: Weaknesses

 •
•

• Large costs associated with a start-up company.

Opportunities

• Being a new player in the industry, it can try any strategy to gain a foothold in the
market.

• There are some bridal competitions or fashion show competitions to get more publicity to
the salon.

• Increasing sales opportunities.

• The wedding exhibitions.

• University of Independent University and North South University are located near to the
university.

• Increasing older population (they like to protect their younger looking as a result of
increase demand for salons).

• Increasing employment.

• Most of beauty salons are not focusing on male market.

• A steady growing market that is traditionally unaffected by the economic environment.

• Near to the high way.

 Figure 3.4: Opportunities

Threats
• Lower prices of competitors.

• Competition from already established chains.

• Increasing government income taxes.

• Increasing cost of cosmetics & other equipment’s.

• Increasing new taxes for beauty salons publishing banners.

• There is a technical movements & salon has to use new technology instruments & methods.

• Some traditional & technological beauty culture methods are expired.

• Increasing market demand for Auyrvedic treatments.

• Some famous beauty salons are using online website facilities for their business activities.

Figure 3.5: Threats

Marketing Strategy

4. Marketing Strategy
4.1Marketing Segmentation Strategy
“Smart and Glamorous”Consumers can be dividedand served in various ways based on
geographic, demographic, psychographic and behavioral factors. This process of dividing the
market into different groups of buyerswith different needs, characteristics, or behavior who
might require the same products or services is called market segmentation. The customers of the
beauty salon can be segmented according to service, income and age, which would help the
business tooperate more efficiently, because the customers can choose the segments according
totheir needs and hence the span of customers would increase. This will also help them toidentify
the segments with more demand and focus on the shortcomings of the others.The ways in which
this could be done are described below.

Service:A beauty salon provides many services and often it gets too crowded when all
the services are provided in one section. If the sections are created according to service
for e.g. shaving and facial in a different section, haircutting in a different section and so
on,the customers would know where to go and wouldn’t have to wait in the same
sectionovercrowding the place.
 Income:The beauty salon can have two separate sections, a spacious one with
membership for customers who prefer luxury with higher priceand the other one for
general customers, this would attract customers who prefer a low price services.

Age: The services is divided into three different sections, one for Kids and one teens
belowthe age of nineteen, one for young gent’s age and another forabove 30 years
customers. Young gent’s have get separate massage room. Thiswill help the customers to
socialize during a haircut. The Kids section could be decorated pictures of cartoon
characters and a television could be placed in that section whichwould only show
cartoons and the seating could be in the shape of a horse or an elephant.The section for
the young generation would be decorated with posters of football players, actorsand
musicians. There should be a very good music system which would play the latest rock
singles by the popular bands. The section for the middle aged should be calm and be
decorated with light colors, and the slow music from the 60’s and 70’s should be playedin
that section.

4.2Targeting Strategy

Targeting is the next step of target marketing process. In order to select appropriate segment or
segments to serve following steps must be followed.

• Evaluating attractiveness of each segment.

• Deciding how many and what segments to target.

Evaluating attractiveness of each segment

“Smart and Glamorous” is situated at Bashundhara Residential area. It is an urban area.

Therefore we can see there is an adequate population in that area.

• Males: From 2 to 20 years old

Segment size and growth: As this is an urban area we can see lot of schools and
university situated in that area. There are lots of school Kids in that area.There are lots of
 teenage school students in this area because there are many schools and extra classes can
be seen. Therefore large enough to serve. We can serve them by providing special
packages.

Structural attractiveness

Threat of intense segment rivalry:We can provide many beauty culture services
for teenagers. This service is provided by not only beauty salons but also other
hair cutting saloons. Therefore we can find more competition in this market. But
other beauty salons rarely provide this service. Therefore we can attract more
customers by offering attractive Kids and teen hair cutting packages than other
salons.

Threat of substitute product:There are many products in the market that

teenagers can use themselves without consultation of a saloon.

Threat of new entrance: There is a possibility to attract new competitors in hair

cutting. Because it is easy to start hair cutting salons as it required law capital.

Threat of growing bargaining power of suppliers: They must buy various

products such as face wash, cleanses, scrubs, packs, etc. the demand for this
product is high. Therefore supplier’s bargaining power is also high.

Company objectives and resources: The main objective of this saloon is to become the
leading part of the beauty salon market in this area. Kids hair cutting is not a relevant
service for hair salons. It is an additional service. But in order to diversify services they
provide we can introduce Kids hair cutting as well.

• Males: above 20

Segment size and growth: As this is an urban area, huge density of males can be seen.
The most peoples of executives of reputed company, students of private universities and
 Business Person.If they can provide beauty treatments for males they can attract adequate
market.

Structural attractiveness

Threat of intense segment rivalry: The target of many beauty salons is females
market. Therefore there is less competition among beauty salons for male market.

Threat of new entrance:If one salon start to provide beauty cultural services for
males other salons may also start to provide this service.

Threat of substitute products: There are cosmetic products for males in market
nowadays.

Threat of growing bargaining power of buyers: As there is less competition

bargaining power is law for male market.

4.3 Selecting the Market Segments

There are several patterns of target market selection. For this salon we choose Selective
specialization method.

Kids
Male
Above 20
Male
Above 30
Male
From 20 to 30

Bridal dressing
Facials
Hair cuts
 Special university package
Tattoos

Facials for adults

Skin treatments
Hair dyeing
Massage

Facials for male

Hair cutting
Tattoos

Hair cuts

Figure 4.1: Selecting the Market Segments

4.4 Life Cycle
The product life cycle is a model that attempts to map the stages of growth and decline by a
product to help create appropriate marketing and sales strategies. While it is designed to analyze
individual products, it can also be useful for understanding the life cycle of a single-product or
single-service business. We are analyzing a salon in terms of the product life cycle can help us
develop and update strategic plans as it passes through different developmental stages.

All product categories have a specific life span called the product life cycle. Many factors, such
as competition and technology, affect brands and their product life cycle. Nevertheless, brands or
products typically go through five stages of growth: development, introduction, growth, maturity
and decline. The life cycle of a product is associated with marketing and management decisions
within our businesses, and products or services .Each stage has its costs, opportunities, and risks,
and individual products and services differ in how long they remain at any of the life cycle
stages.

Figure 4.1: Life Cycle

• There increase the number of customers.

• Our Salon’s costs can be reduced.

• As new generation is more aware about their style so that sales can be increased.
• Due to increased number of services, our profitability will begin to rise from the start.

• Now a days, there is increase the popularity.

• Competition begins to increase with a few new players in establishing market.

So we can say that our saloon is on growth stage in the industry.

Marketing Programs

5. Marketing programs
According to Lancester and Reynolds The four P’s of the marketing mix are Product, Price,

Promotion and Place, but when it comes to service marketing 3 new P’s are added which are

processes, people and physical evidence. They are the key issues that should be focused on for

effective marketing.
Figure 4.1: Marketing Mix

5.1 Product
The Product is the first thing that customers scrutinize in order to know its benefits decide
whether they should buy it or not. In the case of “Smart and Glamorous”, the product is a
service. Kotler suggests that the product should comprise of many elements which include
variety and quality which are both applicable to thisservice. The Beauty salon already has a
variety of services, but to mingle in the minds of individuals, it also have trained barbers, hair
loss therapy, shower, massage, retail store and locker facilities, a separate section which is just
for hair styling and a comfortable waiting roomin order to gain popularity. The following are the
descriptions of how these strategiescould help the beauty salon:

• Trained barbers:The employees are trained properly by professional so that their work
is perfect and appreciated by the customers. If the customers are satisfied they willreturn
again and recommend the service to their acquaintances.

• Hair loss therapy:Hair loss is a problem that many individuals face and always try
tofind a solution for it. Doing some research on the proper nutrition for hair and using
somenatural products used abroad by individuals to solve this problem, a therapy can be
developed which will attract many customers.

• Shower & Locker facilities:After a haircut, taking a bath is a necessity, and the way
back home is a hassle, when someone has a tight schedule. If the salon provides a shower
facility, then the customers can take a shower and then go anywhere they want to.
Theclothes they wear during the haircut have hair all over it after the haircut. The
customerscan keep fresh clothes inside the lockers which are in a separate room, and after
theshower they can wear them and leave. They can even go to any occasions from the
salon.This are help them and they will recommend this service to their acquaintances.

• Separate styling section:The hair styling section are a separate section, where
thecustomers can come and the staff responsible for that section would provide them with
acatalogue, from which they can select a style that suits them and the staff there would
set their hair in that manner. This are earn some extra revenue for the shop, and if the
work done is good, it will also help “Smart and Glamorous” gain popularity. Customers
on a hurry can just come, style their hair and go to any occasions.

• Comfortable waiting room:The waiting room should be well decorated, with a

television and magazines. This are help thecustomers pass their time if they have to wait
and they will return if the experience iscomfortable for them.
5.2 Price
The price in this business is a huge factor, because the competitors are always tryto give a lower

price. Lower price is always an advertisement itself. Many services could be combined together

and offered at a lower price. However it is an effective tool to drawthe attention of people. It

could be used in various ways, such as:

• ‘Buddy’ Discount: Many people like to take their friends or colleagues to the salon, so

that they can gossip during the haircut. ‘Buddy’ discount is a discount provided when

customers arrive with friends or colleagues, and they both need a haircut or any other

service. This will make the customers bring their friends or colleagues with them, which

will help the hair salon.

• ‘Family’ Discount: Sometimes fathers often accompany their sons for a haircut, this

happens usually when their Kids are young and both get haircuts or other services.

‘Family’ Discount is provided to families who come together to the hair salon and each

use a service. This will attract the middle aged individuals.

• ‘Weekend’ Package: This is a package which will consist of a haircut, shave, manicure,

pedicure, facial, full body massage and a coupon from a nearby restaurant. This will

attract many customers who are idle during the weekends.

• ‘Wedding’ Package: This will consist of haircut, shave, hairstyling, manicure, pedicure

and facial for a Bridegroom on all of the wedding rituals and for five of his

acquaintances. If there are more people then there will be additional charges. This

package will be beneficial because nowadays this is a trend in this country.

5.3 Promotion
This is focused on the methods used to make the people aware and interested about the services
provided by the beauty salon. The customers coming to a hair salon are usually, the people living
nearby the location of the hair salon. The objective of the promotion in the initial stage, to the
educate people, about the services of the hair salon to the residents of the area where the hair
salon is situated. This could be done in various ways, using:

• Advertising: Advertising is defined as any form of paid-for media used by a marketer to

communicate with company’s target audience. Common media placements for
advertisements include newspapers, magazines, radio, television, online, in-store,
billboards, and other out-of-home placements.

• Personal selling: Personal selling uses face-to-face communication to persuade buyers

tomake a purchase. “Smart and Glamorous” are promote a product orservice through
their attitude, appearance, or special knowledge of the product.They encourage the
consumer to try a product, with the hope of a future sell.

• Free haircut in the first week: The beauty salon are provide free haircut for the first
three days after its opening, and the customers are provide feedback about the service.
This are help “Smart and Glamorous” gain publicity and also help them realize their
shortcomings.

• Posters: Poster, mentioning about the initial free service have to be put up on most of the
walls, in the area surrounding the location of the beauty salon.

• Leaflets: Leaflets and brochures should be sent inside the popular newspapers to the
people living in the area where the hair salon is located at.

• Banners: Banners should be put up near schools, colleges and universities in the area
surrounding the location of the beauty salon.

• Newspaper and Magazines: After the inauguration, advertisements about the facilities,
package deals and discount should be published on newspapers and popular fashion
magazines.
 • Internet: “Smart and Glamorous” has its own web site
(http://www.smart+glamorous.com) by which “Smart and Glamorous” promotes its
services. From this web page people can know any information about their services,
price, company profile etc. Also they are send direct mail to the customer account for
inform about new product. And also they are use Social—networking site like Facebook,
yahoo etc. for their advertisement.

5.4 Place

The location should be given the highest priority when marketing a beauty salon, because it helps
to decide the market targets and the price. The location is best if it is a residential area, with a
few schools, colleges, offices nearby, for publicity. The residential area would always be a best
option because most people get a haircut, massage in the beauty salons which are near to their
house. Bashundhara was the best option because it fits all the criteria’s. Though it has many
beauty salons, the separate styling section is missing in most of the beauty salons in
Bashundhara. People are often reluctant to style their hair in the same section where they had
finished getting the haircut, because they are uncomfortable with the scraps of hair flying around
in the haircutting section.

5.5 Processes
Lancester and Reynolds describes processes as the efficiency of the process in the delivery of the
service. The customer satisfaction is determined by the processes of the service and this can be a
vital issue. The processes are include many aspects, such as:

• Hygiene and safety: The equipment’s used for the service are sterilized before use, they
should be changed after every month and the hair salon must be kept clean all the time.
 • Quality of the salon: Haircutting, shave and massage should always take time, the need
of the customer should be analyzed by the employee and the work should be done
perfectly, so that the customer is satisfied with the services. People are often irritated
when they have to wait, but since the focus is more on customer satisfaction, if the
customer receives a satisfactory salon he will recommend the salon to his acquaintances.
If the work is good, then customers will wait if they have to, to get that service.

5.6 People

Service is a two way process, the output also depends on the cooperation of the customer. The

employees are well trained and experienced to identify the needs of the customer. They also have

the ability to make suggestions to the customers, and hence they need to be updated every day

about new hairstyles. They also analyze the mood of the customer and not make too many

suggestions and ask for feedback after cutting one area. They be very friendly and talk to the

customer and try to become close to them, but at the same time also concentrate on their work

and the mood of the customer because some customers prefer a quiet environment.

5.7 Physical Evidence

Lancester and Reynolds describes physical evidences the service firms attempt to give some

form of tangibility. This can include the interior and exterior decoration, the uniform of the staff,

the receipt they receive after the payment and the brand name for the hair salon. They could

concentrate on the following aspects:

• Interior and exterior decoration: A flashy and colorful exterior decoration will make the

people think that the beauty salon is expensive and hence there will be a loss of many
 customers. Light colors are used for the exterior decoration and the interior decoration should

create a homely atmosphere and hair salon should be spacious.

• The uniform of the staff: The uniform of the staff also be light colored and the name of the

beauty salon is written in black color on the uniform, for the customers to notice and the

name of the staff should also be written on the uniform, so that parts of the service stay in the

sub conscious mind of the customer.

• Membership cards: They can also provide customers, with membership cards which will
give them some extra privileges, like discounts, or gifts on certain occasions after a raffle
draw.
•

Strategy and Implementation

Our primary focus on the next year is to incorporate our existing services into a full-scale salon
concept. We will leverage our skills and reputation and our highly visible new location to
increase our client base with more extensive marketing campaigns. We will continue to provide
great service, and will track our sales and marketing goals as we go. We will work with our
independent stylists to ensure a consistent level of quality and customer service.
Competitive Edge
“Smart and Glamorous” will be a place to enjoy a relaxed atmosphere, where the whole person
is taken care of. Unlike a typical salon, we will provide not only basic hair care and products for
hair health, but also hair replacements, massage, and assistance in maintaining care greatly. Our
competitive edges are:
• Skilled and experienced staff
• Help for all hair types (thick, thinning, balding, and anything in between)
• Full-scale salon, not just hair care
• New location, with high visibility
• Existing client base of owners and stylists

Marketing Strategy
Our new location will provide easier access and greater visibility than allowed by our present
space. The surrounding area is growing rapidly, and we will be able to reach target market, as
well as increasing walk-ins. There is an increasing trend among well-off couples for both to use
the same salon, although not necessarily at the same time. We will use our services for each
gender to "pull in" spouses and partners seeking quality hair, skin and body care. One of the best
ways to market “Smart and Glamorous” is to satisfy clients. When a client leaves our business
with a new look, he or she is broadcasting our name and quality to the public. Many of our
clients will be referrals from existing clients. Therefore, our strategy has been to use the yellow
page ads and television, to inform people. We will be adding some new, targeted marketing
strategies to supplement our existing ones.

Sales Strategy
We provide the highest quality services. We will also provide products that were used on
the client, and will encourage the person to continue using the products to aid in maintaining the
services local. Our sales strategy relies on continuously high quality, prompt service in a pleasant
atmosphere, where clients are treated as people, not heads of hair.
We will offer every client complimentary coffee or tea while they wait. All of our staff will be
trained to be discreet and compassionate toward our clients. We will also make them available by
appointment for non-standard times, if a client cannot come in during regular hours, or wants a
consultation when no other clients are around. We will also offer special discounts and
promotions to build the client base in our new location, including 10% discounts when clients
refer new customers.

Position details
We will have six types of employees. They are manager, receptionist & cashier, Specialists,
operating employees, security guard and cleaner. Besides these each of the investor will have some
of the posts. The posts are managing partner, administrative manager, human resource manager,
marketing manager and financial manager.

Performance appraisal:
We will take different performance appraisal techniques methods. We will use some techniques like
BARS (Behaviorally Alternation ranking method), Paired comparison method & Forced distribution
method. The appraisals will be done by the immediate supervisor, Peers, Rating committees, Self-
ratings, Subordinates, 360-Degree feedback. We will try to get rid of problems like unclear
standards, Bias, Strictness/leniency, Halo effect & Central tendency.
8. Risk analysis
8.1. Foreseeable risk
High expected profit will encourage other new entrants to come to the industry.
Already established competitors may show high resistance.
Competitors may try to copy our business plan.
Competitors may try to capture our beauticians by offering higher payments.
Unpredictable political situation of the country is another threat to our business. Political
instability has always hampered business of all types in Bangladesh.
8.2. Unforeseeable risk
A sudden change in government policy about business or tax can hamper the operation.
The natural calamities may suddenly take place and that will hinder the operation.
Economic downturn can hamper overall income level.
Sudden trend change is a great challenge for the business.

A business organizational chart is a pictorial synopsis that depicts the reporting structure of the
individuals who represent a business. A standard organizational chart is typically narrower at the
top, where the most senior company member is symbolized, and fans out below in representation
of subordinates and their peers within the establishment. The beauty salon organizational chart
functions as an outline of how the business intends job responsibilities to flow within its internal
structure.
Salon Owner
Not necessarily trained in cosmetology, but a business professional nonetheless, the beauty salon
owner resides at the head of the organizational chart. While specific day-to-day responsibilities
vary based on the individual salon, the owner primarily concerns herself with customer service,
human resources and financial details. The salon owner makes hiring, marketing, property,
inventory and design decisions, while staying involved in staff licensing and business
certification requirements. If the salon owner is a licensed cosmetologist, she also styles hair and
executes other beauty processes for which she is appropriately trained.
Salon Manager
Reporting to the salon owner, a salon manager provides orientation to the salon staff, explaining
operational procedures and functions, which are based on company policy. The manager works
with staff members to improve performance and ensure quality service while maintaining
cleanliness and customer satisfaction. In cooperation with the salon owner, the manager also
analyzes personnel records, requisitions supplies, participates in disciplinary procedures and
assists in resolving customer complaints.
Stylists and Technicians
Hairstylists, nail technicians, color specialists, estheticians, trichologists and makeup artists
commonly work as peers within a salon, reporting to the manager, though some organizations
have senior and junior-level stylists or technicians, based on experience or tenure. Each performs
his own specialty service and recommends the services his peers provide, as his customers
require.
Receptionist
A salon receptionist reports to the salon's manager and answers the telephone, schedules
appointments, greets customers, explains services to callers and visitors, and operates a cash
register. Because the receptionist is usually the first person a customer encounters at the salon,
she is responsible for creating a comfortable and welcoming atmosphere. For this reason, she is
held accountable for the entire reception area, including its arrangement, organization and
cleanliness.
Salon Assistant
The salon assistant provides additional support to the staff through taking responsibility for
laundry, handling retail sales, sterilizing equipment, sweeping floors and even preparing clients
for services. Client preparations that a salon assistant may execute without possessing a
cosmetology license include offering a salon robe, draping for services or even shampooing the
hair. Assistants may report to the manager or to other staff members, such as hairstylists.
Recruitment:
In case of recruitment we will also follow some techniques. We will hire two specialists, eight
operating employees, two cleaners, one managers and one security guards. At first we will hire two
experienced and renowned hair and skin specialists. Afterwards we will have internal recruiting with
the help of those specialists in case of measure and hair dressers. But the person who will be
recruited must need to have 4 years’ experience at least. Besides we will hire one trustworthy
person who will act as both cashier and receptionist we will also hire two managers, four cleaners
and two security guards and will take the help of external recruiting process.
Training & development:
We will hire two hair stylists who will have higher degree on haircut. And afterwards they will teach
the rest of the employees about all the skills that they have learnt. Besides, the stylists will also get
involved in hair cutting and some other process.
Leaves and holidays:
The leaves of the employees will depend on some issues. We will have a weekly holiday on each
Sunday. But during the peak times of the business like different festivals, government holidays and
peak period of marital ceremony (November to February) it will be kept open. Each employee can
take 15 days leave in each year without the peak periods of the year. Each employee will have the
festival and religious holidays too. Besides, the emergency conditions like sick leave and death of
the relatives and some other emergency conditions of the employees will also be considered.

Salon Employee Personal Development

Plans.
The Salon Employee Personal Development Plan (PDP) is designed to capture agreement
between you and your salon employees on key areas of learning and professional development
and should detail how these learning needs will be supported.
The Salon Employee Personal Development Plan is your route to increased staff productivity
and profitability -via- an approach of Training Needs Analysis which follows an easy to
implement staff appraisal system.
When this approach of (1) Performance Appraisal, (2) Training Needs Analysis, (3) Personal
Development Plan is implemented with knowledge and integrity you will develop a powerfully
strong and loyal salon team who grow creatively, professionally and productively.
Our Salon Performance Appraisal pack includes all three points above for each salon trade as
below:
* Trainee Stylist Personal Development Plan
* Hairdressing Apprentice Personal Development Plan
* Graduate Stylist Personal Development Plan
* Senior Stylist Personal Development Plan
* Salon Receptionist Personal Development Plan
* Salon Manager Personal Development Plan
* Beauty Therapist Personal Development Plan
* Nail Technician Personal Development Plan
The Personal Development Plan is issued following an in depth:
* Salon Employee Appraisal and a
* Team Training Needs Analysis.
It is impossible to build a Personal Development Plan without first carrying out the above two
steps.
A salon manager must encourage innovation and creativity but must also consider business
growth.
A Personal Development Plan will include development objectives agreed for the following
reasons:
* To acquire skills or knowledge to enhance performance in their current and future positions.
* To acquire sills or knowledge to address anticipated changes to the current position or market
conditions
* To acquire skills and knowledge to address career aspirations of the employee where it has
been agreed this will benefit both the individual and Your Salon
The Personal Development Plan should include the following for each objective in the plan:
* What will be learned
* How will this be achieved
* What resources / support will be required
* What will the success criteria be
* Target dates for review and completion
The Personal Development Plan should be kept by the employee and the Salon Manager will
ensure it is used and updated.
The continuing success of Your Salon depends directly on the performance of each individual
team member. You should do your part to invest in the future of the business and give all the
support you can to your employees in order to ensure growth.
Our Salon Staff Personal Development plan sheets are free with the purchase of our Performance
Appraisals.
aRE YOU READY ?
salon business skills
• Salon Managers Academy
• Salon Mega-Manager
• Salon Super-Stylist
 • Salon Business Accelerator
• Salon Managers Guide
• Stylist Column Builder
• Articulate for Trainees
Salon Human Resources
• Chair Rental Agreement
• Salon Employee Contracts
• Salon Staff Appraisals
• Employee Handbook
• Salon Job Seeker CV's
Salon online Resources
• Salon Website Goals
• Salon Website Marketing
• Salon Email Marketing

Financial Information
7. Financial Information
“Smart and Glamorous”

Budget Forecasting Plan For 2015

Sector Tk. Tk.

Income (Before 2015) 1500000
Expenses
Telephone Bill 6000
Current Bill 25000
Water Bill 10000
Cosmetics 75000
Transport 10000
Technical Equipment 90000

Total 216000
Employees Expense
Salary 50000
Bonus & Commission 12000
Employee Incentive 16000

Employee Benefit 13600

Temporary Labor 5000

Total 96600
 Advertising Cost
Storefront design 16500

Magazine 65000
Newspaper 60500

Sector Tk. Tk.

Internet advertising 42000

Special Offers 30000

Bill board 150000

Leaflet 5000

poster 10000

Banner 12000

Cable TV 50000

Word of mouth 16900

Total 457900

Promotion

Free gift 24500

Loyalty Card 50000

Total 74500

Marketing Research

Analyst fees 77500

Total 77500

Public relation
 PR Campaign Support 110000

Total 110000

Other 50000

Total Expenses 1082500

Profit Before Tax 417500

(-)Tax 10% 41750

Profit After Tax 375750

Three Year Budgetary Plan

Annual Income Annual Expense Annual Profit

2012 3,00,000 2006000 100030

2013 3,70,000 2285000 220060

2014 4,05,000 2125000 681000

 Chapter 8

Recommendation

8. Recommendation
 • Our management systems is very much unique.

• “Smart and Glamorous” provide good Services by using modern technology.

• The cost of our beauty salon is reasonable.

• The staff of “Smart and Glamorous”is too much expert.

• We will focus on hygiene and clean in case of conducting the business.

• “Smart and Glamorous” havea retail store for beauty product with shopping facilities.

• All beauty salon services are available in Smart & glamorous

So the future of “Smart and Glamorous” is very much bright.

Chapter 9

Conclusion
9. Conclusion
The main purpose of our business is to provide the best beautification experience for today’s
man. We not only focused on trained employees to achieve this but we will incorporate unique
environment with lots of facilities that can be enjoyed by our customers. For us our saloon will
not be place for just for consuming our service rather here they will come to enjoy, take pleasure
and relax while getting the service. For our salon “Smart and Glamorous” service is not just a
service it is an experience to be enjoyed.
“Smart and Glamorous” Beauty Salon earlier said that it has in mind lots of growing ideas
with professional styles of what customers will expect in order to gear towards customers’
satisfaction as well has the business achieving its goal. Since this is a must, entrepreneurial skills
is needed to be among the top money makers of the business. As come to the report, “Smart and
Glamorous” will succeed in all their challenges which faces once it becomes privatized once
again. However, their mission and responsibilities is to accomplished customers’ satisfaction as
well as to meet organizational goals. Though, the challenges faces isn’t too a big problem.
Reason being, “Smart and Glamorous” Beauty Salon is much more confident of their company
to represent the best possible options and solutions of their employees.
In effect, since “Smart and Glamorous” Beauty Salon is owner control, they set their own
reputations and policies that will govern various aspects of their business. In other words,
customers will get their needs and wants satisfied (customers satisfaction).
Last of all we have figure out that if we provide quality services to the customer, we can achieve
the destinationof “Smart and Glamorous”.
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Appendices
• Physical Structure of“Smart and Glamorous”.

• Price Catalogof“Smart and Glamorous”.

• VIP Price Catalogof“Smart and Glamorous”.

• Hair Style Catalog of“Smart and Glamorous”.

• Leaflet& visiting cardof Super “Smart and Glamorous”.