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Business Plan D&D Beauty Salon Essay

D&D (Dreams and Desires) Customize Beauty Salon is a unique salon of its kind. It tends to provide all barberry and cosmetology services under one roof in a unique way. What makes D&D so unique is its distinguish software. The software allows the client to see, realize and evaluate him/herself in a real time. It takes picture of the customer and instantly allows them to perform different functions, such as; try different hairstyles, change hair color, apply different types of facial hairstyle and for girls/women it allows them to apply wide range of makeup as well. The purpose behind such a unique idea is to fully satisfy the hidden needs and wants of the people which usually they are unaware of. Once they have the opportunity to realize and evaluate themselves there is more chance that the customer will leave as a happy customer. So using the same phenomenon we are going into the market with the different slogan “_No One Leaves unhappy_”.

As the work of a beauty salon does not ends up here, it requires professional and well experienced staff to provide customers the services exactly what they perceive in their mind and what the software had shown them. For that we are striving to hire two foreign qualified professionals initially. Along with their regular duties they will also train our local beauticians/hairdressers. Our distinctive D&D software will act as a competitive advantage for us, through which we are going to compete with the well established big giants in the beauty clinic industry. As no one in the industry is currently serving the customers with this mind set so it’s a kind of gap we have identified and we have prepared a strong strategy to fulfill these hidden needs and wants of the customers in the market.

The trend has shown that there is a boom going on in the beauty clinic industry, new salons are opening consistently and the current established brands are generating massive profits, so it’s a very good time for us to enter into the market with our unique selling proposition. To achieve our objectives we are seeking additional loan financing. Our capital structure will be 50% equity based and 50% external financing. Our 50% equity will be equally distribute among five owners of the company, however we will take a loan on 19% interest rate from UBL to fulfill our external financing requirement. The initial capital that is required to start our salon is Rs.4079500 hopefully by the end of year _ we will reach our break even. Our projected Income Statement shows that by the end of year 3 we will start earning substantial profits. Overall keeping in mind the industry and market attractiveness we are quite confident that future for D&D Beauty Salon looks quite bright.



Dream and Desire is a unique kind of beauty salon. It is one of the most innovative beauty salon which is going to revolutionize the entire barberry and cosmetology segment. This is the era of technology and Dream and Desire provides customers with a blend of classic service with updated technology.

At Dream and Desire we provide services to both males and females. Services include hair cutting, facial services; make up, waxing and a lot more services that are provided at any other beauty salon. We provide services for people from all genders and age. The innovation brought in by Dream and Desire is the addition of technology in the service. At Dream & Desire customers can have a look at their new looks before they actually get it. Customers can choose from different hair styles and cosmetology and then the specifically trained barbers and beautician at Dream and Desire would provide the customer with the required services.


Dream and Desire is a new company in the industry. It does not have a history but it will surely create history by revolutionizing the barberry and cosmetology industry by introducing technology in the industry. In the past companies only used to cut hair and provide cosmetology services to customers on the basis of what customer told them about what the customers requires or how he wants to look but now with the most innovative beauty salon Dream and Desire customers can actually see how they would look in different hair styles and cosmetic before even getting the service performed on themselves. Where as in the past customers only used to get their hair cut and they could only see their new look after they used to get the service performed on them. Before Dream & Desire, all beauty salon, small and big barber shops and salons all used to just provide services without the much needed, dreamt and desired technology.


_Our mission is to build the most innovative beauty salon in the industry. We at dream & desire are passionately committed at providing our customers with the most innovative barberry and cosmetology service that they can ever experience._


_Our vision is to revolutionize the barberry and cosmetology industry by making customers happy and satisfied through our D&D Software Beauty Services._


Dream and Desire provides all the services that any other beauty salon provides but the competitive edge that we have over other salons is the addition of technology. We can actually show the client how he would look after getting the service before even providing him services. At dream and desire we provide services and fulfill appearance desires of customers. Through our D&D software we can provide our customers with their pictures of what they would look like with different hair styles and cosmetics.

Our services include Hair Cutting ,hair styling , hair dyeing , hair streaking, threading ,bleaching, waxing, make up , bridal make ups for both grooms and brides, manicure ,pedicure ,consultation, face massage and all the other services that you find on any other beauty salon but with an assurity of how you would look after the service is provided to you. We provide an additional service of D&D software but at a very reasonable price as compared to other salons .This shows that we at Dream and Desire really want the customers to look as they have always dreamt and desired.

We use branded products for providing our services whether its bridal make up, party make up, hair streaking and dyeing and all the other services provided at our beauty salon are provided by branded products whether its scrubs, moisturizers , toners, hair color, wax, creams, hair masks, nail polishes ,gel and every other product used by our beauticians is branded.


Our business is currently in the building stage. A full-fledged business plan has been made for Dream & Desire but it’s not yet been implemented practically.


Our business is still in the building stage. We have a full-fledged business plan but we are still in the process of buying patents, copyrights and license for our business “Dream & Desire”. Dream & Desire is a partnership venture which is owned by 5 partners with each one having 20% ownership rights.


Currently we do not have as such any partnership but in near future we are hoping to build some of them with the people in the same or different industries. Once we see the early growth of the company we will definitely going to look for companies like different garment stores and other fashion related segments to build partnerships with them which will be sustained for longer run. We will provide them the facility of our D&D software which will enhance the level of their current services. Similarly in our salon we will promote their brand and in return we will ask them to promote D&D. So will build long term sustainable relationship with other companies once we are ready for the boom.



The beauty salon industry is mainly composed of small, independently owned salons. An average salon offers services such as haircutting, styling, coloring, shampooing and permanents. Other salons have expanded their businesses to offer services such as nail care, facials, makeup application, waxing, massage, tanning and other beauty treatments. Our services belong to the Beauty Clinics Industry. When we look at the industry we can see that there are a lot of hair salons and barber shops in Pakistan. In the past few years Pakistani people have become very beauty conscious especially the youth of Pakistan because of which the number of Hair and Beauty Salons in Pakistan have increased significantly. This industry caters one of the most common needs of all the people in the world. On daily basis about 15 to 20 people on an average visit the male beauty salon whereas about 20 to 25 females visit beauty parlor.

The industry is very crowded and it’s still growing. Both the number of beauty salons and the number of beauty conscious people are increasing in Pakistan. There are uncountable beauty salons in Pakistan but none of them provide an innovative service as we do so the industry that our services belong to is very attractive and its attractiveness is increasing with time. People were beauty conscious in the past too but now the number has drastically increased and more and more beauty salon have been opened especially a large number for men so the industry is quiet new. Even though there were barbers in the early eras but beauty salons in Pakistan a comparatively newer industry. Major players in the Beauty Clinics are Depilex, Nabila, however in Lahore some other competitors are, New Look, Alle’Nora, Samia’s, Muneeba, Elysium. There is no administrative or regulatory body to govern the practices of this industry so there is no statistical data available regarding the exact number of players in the market.


The number of beauty clinics in Pakistan has increased at a fast pace over the last few years. The size of this sector of service industry is still growing. Due to very low amount of investment that is required to start beauty parlors, the number of such establishments has cropped up in houses all over the country. In Lahore, more professional and large clinics have been set up in commercial areas like M. M. AlamRoad, Defence, and Main Boulevard Gulberg. Professional experts are currently operating approximately 15 large beauty clinics in Lahore. The beauty industry today encompasses far more than cosmetics and skin care products, though they are still a significant portion of the sector. A wide range of services and products are available to help us put our best face forward, and the beauty industry now also encompasses hair styling and hair removal, nail and tanning salons, massage parlors, shower and shaving products, perfumes, colognes and more.

Many people now treat their beauty ritual as an escape from the hustle of the information age, whether it’s a few minutes spoiling oneself with a high-end product or a full day at a luxury spa. Comprised of a diverse yet interrelated set of business lines, the beauty industry helps us look and smell our best. Before we leave the house each day, we have likely undergone our personalized beautification ritual. Included in this ritual are the daily shower and shave, the weekly nail trim, and the monthly haircut. And increasingly we are taking a more holistic view of our health, and our beautification ritual may now include a periodic massage and trip to the spa. But our concern with our appearance is hardly anything new; indeed the beauty industry has been expanding and growing for all of recorded history. For the interested entrepreneur this continuing growth and evolution offers a diverse menu of opportunity.


Quality and skilled employees familiar with energy work and oriented to a soothing spiritual disposition.

Use very good quality beauty products. Preferably imported and branded.

The atmosphere of the clinic has to be according to the taste of targeted customers.

The charges for different services should be set keeping in mind the price charged bythe competition.

Establish trust within the community that each customer’s needs will be taken care of during every visit.

Easily accessible location.

Effective advertising.

Ensure good quality of service at all times, and be consistent.


Industry participants are those whose services include salon. Salon services concern hair styling,haircutting, coloring, shampooing and permanents, nail care, facials, makeup application, waxing and other beauty treatment.


The salon business is notoriously competitive and has really transformed itself in recent years. Previously, salons paid little attention to their decor and focused mainly on keeping it attractive and neat with good basic hairdressing furniture. Today, many of the leading salons are investing in proper interior design and product showcasing to build their retail income streams alongside their hairdressing and beauty services. Hair is an essential part of look gorgeous and one should pay extra attention to it to steal the show. In Pakistan the hair trends in (2012) there’s an absolute feast of looks. There are different hair trend like The Bob, Long and Wavy, Classy Ponytails, Straight Traces.


Effective marketing campaign is necessary to invite clients for a newly established beauty salon.

For launching an effective marketing campaign we need to find some the following things.

Market segmentation and Target Market

Buyer behavior

Competitor analysis


Segmentation is a paramount to any businesses success. Identify the marketing segment for the product and explains why this segment was selected.


Demographic segmentation involves dividing the market on the basis of statistical differences in personal characteristics, such as age, gender, race, income, life stage, occupation, and education level. D&D Salon, for example, segment on the basis of age groups such as teenagers, young adults, and mature adults.

D&D Beauty Salon will be targeting three dissimilar groups of clients. The salon will work hard to particularly appeal to each of these groups. D&D Beauty Salon will target Women, Men, and Children. Men will characteristically create up to 75% of the clientele. Men have shorter hair and require a faster, simpler job.

D&D Salon will gear toward women who cannot meet the expense of an upscale salon. There is not often a dissimilarity in quality of an upscale salon comparative to a family hair salon other than a upscale salon will tend to pamper you more, only accepts appointments, and the salon itself is generally a bit plusher. Someone who is financially responsible as opposed to someone who likes lavishness will support a family style salon. Young mothers and children will also be welcome in our salon. Typically, children are disreputably complicated when it comes to getting haircuts.

D&D Salon will be a laid-back environment where children can have fun while they are waiting and we will work with parents to compose children while haircuts are performed. Where you advertise is as important keeping several factors in mind when looking for the client. Our segments is the people who visits beauty and hair saloons irrespective of their age and gender Take a good look at your business you should always know where you should advertise and this works to your advantage if your goal is to get customers out of what would normally be your target group. The social media is always a great place to advertise so as another place, often overlooked, is high school and college and university newspapers, fashion magazines.

Expected customers are following

60% male

25% females

15% young children with mother


VALS (“Values, Attitudes and Lifestyles”) is a proprietary research methodology used for psychographic market segmentation. Market segmentation is designed to guide companies in tailoring their products and services to appeal to the people most likely to purchase them.

According to VALS our customers will be

Innovators: These consumers are on the leading edge of change, have the highest incomes, and such high self-esteem and abundant resources that they can indulge in any or all self-orientations. They are located above the rectangle. Image is important to them as an expression of taste, independence and character. Their consumer choices are directed toward the “finer things in life.”

Experiencers: These consumers are the high-resource group of those who are motivated by self-expression. They are the youngest of all the segments, with a median age of 25. They have a lot of energy, which they pour into physical exercise and social activities. They are eager consumers, spending heavily on clothing, fast-foods, fashion, music, and other youthful favorites, with particular emphasis on new products and services.


Geographic segmentation involves dividing the market on the basis of where people live. Divisions may be in terms of neighborhoods, cities, counties, states, regions, or even countries. Considerations related to geographic grouping may include the makeup of the areas, that is, urban, suburban, or rural; size of the area; climate; or population. For example, D&D salon will focus on identifying potential user segments in areas where there are potential customers

It is based on variables such as customer concentration and macro-economic factors; we will be targeting the residents of Gulberg, GOR, shadman, defense, model town, faisal town.

As these areas are near to the place where we will be operating and people residing in these can afford these services


Segmentation is based on the perceived value or advantage consumers receive from a good or service over alternatives. Our customers will be satisfied because of our uniqueness Thus; markets can be divided in terms of the quality, performance, image, service, special features, or other benefits we will provide to our customers.


To design our salon around the emotional buying patterns of the consumer, We have to go beyond simple design. We must incorporate the vision of environmental psychology. We have to match the best-proven practices of successful service providers and marketers inside the beauty industry.

The salon of today and of the future, must combine elements of dependable science, blended with wishful thinking to create an alluring cocktail of reality and desirable fantasy. The fundamental principle of market research is that you can ask people questions and what they tell you will be the truth. In fact, it turns out that the opposite is far closer to the truth.. When the mind considers the future, it does so with idealism that is both optimistic and simultaneously devoid of any objective assessment of the past. There is a way to obtain a deeper understanding of consumers and make better-informed decisions. Humans have virtually lost the ability to appreciate the present, so wrapped up are we in dwelling on the past and wondering about the future.


The unconscious mind is the real driver of consumer behavior. Understanding consumers is largely a matter of understanding how the consumer’s mind operates.

The saying ‘first impression’ applies to more than just the visual when a consumer enters a salon. It is also important in verbal communication with a consumer.


Humans like animals, interact and respond to their environment far more than we are aware of at a conscious level. If we want to change people’s behavior, the first thing we can do is change the environment. Changing the environment is uniquely powerful in changing behavior. There is no greater single influence. If we want to know why someone does or doesn’t buy, we have to understand how the environment shapes behavior. To maximize sales or impact of communication, the environment has to be right. It is not a revelation to learn that music and lighting can affect our mood and as a result, our behavior, the extent to which both can cause people to spend more is surprising.



Knowing Your Enemy is key and could help traffic into your salon. Knowing your competition is as important as anything else you will ever do in business. You need to learn who their customers are, how they work as a salon, number of employees they have on hand, what their range of services and products are and where and how they advertise. This way we will be able to know how to better serve your clients and run your business.

Major competitors are the following



New looks


Tony and Guy



Skill at what we do, good customer service, and creating a pleasant environment for our customers will be important to implementing our business plan.


We are unique from others, our customized style of beauty and our software’s is unique of its own kind there is no other such saloon operating in Pakistan

D&D wants to set itself apart from other beauty salons that may offer only one or two types of services. Having come from such a salon, they desire all of the services that we are proposing. Although the focus of D&D is hair services, we do wish to offer our clients the convenience of these other services in one location.

There are a number of salons. But they are mainly in the very high income parts of our city and surrounding areas. We do not intend to compete with these we wish to offer a middle ground for those clients who can’t quite afford those high-end luxury salons.

Our business atmosphere will be a relaxing one where clients can kick back and be pampered. Soft drinks will be offered to clients as they enter for service. Televisions will be located in the waiting and hair-drying area area


Our marketing strategy is a simple one: satisfied clients are our best marketing tool. When a client leaves our salon with a new look, he or she is broadcasting our name and quality to the public. Most of our clients will be referrals from existing clients.

No major advertising campaigns are expected. Our research has shown that word of mouth is the best advertising for this type of business. We will, however, run specials throughout the week. We will also ask clients for referrals, and reward them with discounted or free services depending on the number of clients they bring. We will also offer discounts to the new clients who have been referred. A client would simply refer new clients to us, and we will place a card in a box for each client he or she brings. The more they bring, the more chances they have of winning the free services

Our marketing strategy is the key to our success:

Emphasize our name and unique services through advertising.

Focus on the convenience of our location.

Build community relationships through unique and quality service, friendly and caring atmosphere, and establishing absolute dependability of our services.


_ADVERTISING_ We will utilize local newspaper, local social and health magazines, local radio, local television, mail-outs to all households within the immediate five mile radius, and mail-outs to all local business within a five-mile radius. Often overlooked, is high school and college and university newspapers, fashion magazines.

_INTERNET_ we will have a comprehensive website and on social media such as face book page and twitter. We will also add our salon placed on Google maps. The social media is always a great place to advertise so as another place

_ALLIANCES_ this type of advertising will be implemented once we have grown beyond our break-even point. We will also form advertising alliances with any business with whom we share common business goals. We will also implement mutual perks with our business and restaurant neighbors which will aid in local visibility. Advertising promotions with certain clothing brands such as Stone Age, outfitters, cross roads and in the ladies clothing we will alliance with Rang ja and wardah clothing and in ladies foot wear we will alliance with Heels.


We will automatically position ourselves as one of the top customized beauty salons in the greater area. Considering that none of the other competitors will offer the range of services we will, or that their staffs will be trained like ours, and that there are not any beauty salons of our type in our target locations.


Our pricing strategy will not be similar to that of our competitors. We will not charge over, or substantially under, standard prices for our services. We will be implementing a price penetration strategy


We will manipulate our prices and offer discounts with services such as haircuts, shampoos and coloring treatments. Offering customers 10 or 25 percent off the purchase of a particular shampoo and conditioner with the purchase of a haircut and shampoo combination can help move merchandise and increase our service sales. Customers can be tempted by the desire to take the salon experience home with them and, with discounted prices on premier products



Dream and Desire has 5 founders who are also going to be the member of the board of directors. They would have the voting power for any decision that has to be made. All the five founders of Dream & Desire are Business Management Students with corporate experience. The founders are also going to act as operational managers who are going to visit the salon according to their shift times. Marketing and Finance Manager are also going to be hired for promotional and financial purposes respectively.

Operational Managers are going to lead a team of stylists, beauticians and barbers. There is going to be one assistant operational manager for Male customers and one for female customers. The male assistant operational manager is going to lead a team of a signature stylist ,top stylist and two barbers and the female assistant operational manager is going to lead a team of a signature stylist ,a a top stylist and two beauticians. Operational managers are also going to deal with the activities of the staff.


The founders of Dream and Desire are also going to be the member of board of directors. Dream and Desire has 5 founders and each one would have 20% voting right. 80% of the vote should be in favor for any decision to pass. The board of directors is also going to responsible for HR activities (hiring & Firing). All the 5 members are also going to serve as the operational managers who are going to visit the salon according to their fixed days.


Our resource person Mr. Rashid Hussain will assist us in implementing this project so he and some of our other teachers will act as Board of Advisors as well. We will seek help and guidance from them time to time. Other than there is a person, Mr.Nasir who has been successfully running his hair salon, he has helped us a lot in this project and he will further assist us in implementation phase of our project.


The company is owned by 5 founders who are equal stock holders of the Dream & Desire. The sister concern of the board of directors is the board of advisors who advise the board on different issues mostly when the board or the owners are facing any problem with the business. The Board of directors perform the activities of HR Department themselves but they directly control three managers below them i.e. Operational manager, financial manager and marketing manager. The operational manager further controls 2 assistant operational managers one for the females and other for the males. Assistant operational managers report to the operation manager where as the operational manager directly reports to the board of directors. The operational manager also controls the duties of the staff (Receptionist, Security guard, clerk and sweeper). The two assistant operational managers further supervise 4 employees each. i.e. Signature Stylist, Top Stylist and two beauticians or barbers on each male and female case.

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