National Hair & Beauty Federation Bulletin Shows Mixed Growth in Hair Industry
The latest bulletin from the National Hair & Beauty Federation (NHBF) reveals an evolving landscape for the hair industry.
Hairdressers experienced a slight 1% growth over the last five years, marking the slowest recorded growth in the hair and beauty sector. In H1 2024, a net loss of -239 units was observed, although this was a notable improvement from the -604 unit drop in 2023.
Decline
High street locations, traditionally the backbone for hair salons, have seen a significant decline in occupancy, with a reduction of 982 units over the last five years. However, barbershops continue to thrive, maintaining their position as the fastest-growing category with an impressive five-year growth of 5,791 units.
Vacancy Rates
Vacancy rates for Hairdressers have increased by +0.5%, while Barber vacancy rates remained stable. The bulleting also highlights that hairdressers boast the longest average length of occupancy, increasing to 7.8 years from 7.3 in H1 2023. Independents dominate the industry, making up 98% of hairdressing businesses, reflecting the strong entrepreneurial spirit driving growth despite challenges.
Shifting Demands
This sector is evolving, and the trade must pay attention to shifting demands and locations, especially as larger brands like Barbershop by Timpson lead the growth in the category, adding three new stores this year.
Growing Sector
“Despite an unbelievably challenging context our sector is growing, albeit very slowly for hair. Salons are an integral part of all our communities, providing a hub for social interaction as well as a break from the pressures of everyday life. We are working closely with the government, training organisations and careers advisors to push the message that as a nation we need to collectively respect the importance of our sector, both for its financial contribution to the economy and to the country’s well-being. To secure its successful future we need to recognise and support hair & beauty roles as viable career options for young people,” – Caroline Larissey, NHBF chief executive.
Supporting Members
The NHBF is constantly looking at ways to support Members to have profitable businesses, whether they are a salon or single operator and have introduced Business in a Box to provide a step by step guide to starting, maintaining and growing. This includes worksheets, templates, and checklist for the requirements of operating a safe and legal business as well as advice and guidance on all aspects of futureproofing and running a successful business.
The NHBF Industry Statistics bulletin is based on figures provided by the Local Data Company, a Green Street Company.
For more information about how Business in a Box and the NHBF can help your business please visit: NHBF or follow on Insta @nhbfsocial.
