Square has released its Consumer Beauty Trends report, uncovering consumer sentiment on the beauty industry and providing key insights that businesses can leverage in the year ahead.
The report has uncovered several key findings about communication, salon offerings, appointment booking patterns, consumer loyalty and more.
Automation and Communication is Key for Consumer Satisfaction
Consumers prefer businesses to use automation in various areas of their operations in order to receive the best customer experience.
Consumers have grown accustomed to interacting with businesses that use automation throughout their operations. Across all generations, consumers prefer that salons, barbershops and spas use automation by:
- 35%: Sending appointment reminders
- 34%: Booking appointments
- 20%: Managing customer loyalty program
- 18%: Tracking product orders
- 16%: Providing information on the products used during the appointment
- 12%: Using chatbots for customer service requests
72% of consumers also expect certain communications from beauty and personal care businesses:
- 50%: Appointment reminders whether via text or email
- 25%: Loyalty program updates
- 15%: Email newsletters
- 14%: Feedback survey or appointment review request
Consumers Prefer a One-Stop Shop
Consumers are turning to beauty and personal care businesses for offerings outside of services.
As consumers continue to prioritize beauty and wellness within their everyday lives, they’re interested in the following offerings outside of services from the beauty and personal care professionals they frequent:
- 21%: In-person classes
- 21%: Online tutorials
- 19%: At-home DIY boxes
- 13%: Live virtual classes
- 12%: Off-premise services
63% of respondents reported purchasing retail items from a beauty or personal care business.
Younger buyers are also more likely to purchase retail items:
- 83%: Gen Z
- 78%: Millennials
- 63%: Gen X
- 37%: Boomers
Gen Z, Millennials and Gen X have indicated that availability of products is a leading purchasing factor, so making products readily accessible during appointments is an easy way to drive consumer confidence and sales.
Appointment Booking Patterns are Consistent
Across the world, consumers have similar preferences in how they prefer to book appointments.
United States:
- 32%: Phone Call
- 22%: Online booking platform
- 21%: In-person
- 14%: Text message
Canada:
- 43%: Phone Call
- 20%: Online booking platform
- 17%: In-person
- 12%: Text message
United Kingdom:
- 29%: Phone Call
- 27%: Online booking platform
- 25%: In-person
- 10%: Text message
Australia:
- 31%: Phone Call
- 28%: Online booking platform
- 25%: In-person
- 8%: Text message
After booking an appointment, consumers then have different preferences in how they receive appointment reminders.
- 62%: Text message
- 31%: Email
- 23%: Phone calls
- 15%: Social media messages
Consumer Loyalty Has Varying Elements
Consumers take many factors into consideration when choosing and staying with providers.
Older audiences are the most loyal. Boomers and Gen X are the most loyal clients, citing they wouldn't switch providers for any reason, compared to their Gen Z and Millennial counterparts.
- 57%: Boomers
- 45%: Gen X
- 26%: Millennial
- 23%: Gen Z
What ultimately drives consumers to switch:
- 25%: Appointment times don't align with their schedule
- 23%: Overly long wait times to secure an appointment
- 23%: Preferred provider left the business
Consumers also have strong opinions about what would make them avoid certain beauty and personal care businesses, with differences across generations.
Gen Z:
- 40%: No website to view services, prices and customer photos
- 36%: No social media site to view photos and reviews
- 32%: Requires a deposit to secure an appointment
Millennial:
- 37%: Requires a deposit to secure an appointment
- 34%: No website to view services, prices and customer photos
- 29%: No social media site to view photos and reviews
Gen X:
- 42%: Requires a deposit to secure an appointment
- 23%: No website to view services, prices and customer photos
- 15%: No online booking options OR no contactless payment
Boomer:
- 44%: Requires a deposit to secure an appointment
- 15%: No website to view services, prices and customer photos
- 9%: No online booking options OR no contactless payment
You can read Square's entire Consumer Beauty Trends report on their website.
