Business Idea

Start A Hair Extensions Shop

About

Starting a hair extensions shop requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell hair extensions, or selling hair extensions online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a hair extensions shop ➜

Key stats

market size
$7.4B
starting costs
$43.6K
gross margin
25%
avg product price
$75
time to build
7 months
growth
Email marketing
business model
E-Commerce
time investment
Full time

About

Starting a hair extensions shop requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell hair extensions, or selling hair extensions online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a hair extensions shop ➜

Key stats

market size
$7.4B
starting costs
$43.6K
gross margin
25%
avg product price
$75

 

time to build
7 months
growth
Email marketing
business model
E-Commerce
time investment
Full time

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $35 $3,250
Employee & Freelancer Expenses $0 $5,500
Equipment & Supply Expenses $525 $5,500
Website Costs $232 $6,500
Business Formation Fees $5,600 $20,400
Retail Business Expenses $0 $16,150
Inventory Expenses $350 $14,750
Software Expenses $150 $3,044
Advertising & Marketing Costs $75 $4,786
Other Expenses $0 $300
Total Startup Costs $6,967 $80,180

Successful Businesses

Business URL Rank
Laced Hair lacedhair.com #150,685
The Hair Shop thehairshop.com #173,869
ZALA zalahair.com #203,364
Mayvenn store.mayvenn.com #207,781
Zala zalacliphairextensions.com.au #320,324
Hidden Crown Hair Extensions hiddencrownhair.com #336,776
ABH AMAZINGBEAUTY HAIR amazingbeautyhair.com #403,731
Brazilian & Peruvian Human Hair Extensions, Remy Hair Extensions dynastygoddess.com #520,123
Virgin Hair Extensions and Brazilian Hair Bundles diamonddynastyvirginhair.com #568,236
halocouture.com halocouture.com #618,847
AiryHair airyhair.com #626,538

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Meaningful business connections You never know who you will meet or get to work with for your hair extensions shop. This could be the start of an incredible business opportunity!
High customer retention rates Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your hair extensions shop becomes an integral piece of their every day lives.
Easy to encourage "impulse buy" In the hair extensions shop, you have a much higher chance of encouraging your customers to buy on impulse - you can easily alter the price, placement, packaging, and promotional value to influence the decision of your buyer.
Control of workload With a hair extensions shop, you get the unique ability to choose how little or how much you want to work. You also have the freedom to decide which projects you want to work on, and can turn down the ones that do not interest you.
Unlimited income potential With your hair extensions shop, there is no cap as to how much income you can make. The stronger your business skills and the more energy/time you put into your career, the more you'll make.
Cons Description
Motivation of employees If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.
Longer Sales Process A hair extensions shop can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.
Low margins The gross margins for your hair extensions shop are typically around 25%, which can make it more challenging to incur new expenses and maintain profitability.
High employee turnover In the hair extensions shop, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.
Taxes As a hair extensions shop, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.
Niche Market A niche business is not necessarily a bad thing, in fact, it can be the key to your success. However, it can be more challenging and time consuming to find the perfect niche market and target audience.

Marketing Ideas

  • 1

    Word of mouth

    The most tried and true way to grow a hair extensions shop is through word of mouth - some entrepreneurs would say it's more important than all social media.

  • 2

    Advertising on social media

    Social media advertising is one of the leading ways to get the word out when it comes to hair extensions shop.

    There are various different Social Media platforms available to you. Some may be more critical for your marketing efforts than others, however, it's important to have an understanding of what's out there and available to you.

    Learn more about advertising on social media ➜

  • 3

    Pay Per Click Advertising

    Pay-per-click (PPC) is a performance-based marketing method that allows you to show specific ads for services or products oriented to a very defined target, with the goal that the user visits your website or landing page.