Running a salon is an increasingly costly venture, thanks to fast-rising inflation and expensive overheads. With 21% of businesses reporting losses, it's only logical that they adapt to a competitive market by raising prices. But how exactly should salons navigate a price hike? Three industry leaders, David Cassidy, Lorenzo Colangelo and Diane Marsh, share their perspectives on reviewing and adjusting prices in 2026.
David Cassidy, Palette & Bristle: Price Hikes Should be Subtle and Intentional
“I haven’t sat down and mapped it all out yet, but I do see a small adjustment coming, particularly for new clients booking with me personally. Part of that is strategic: I want to encourage new guests to explore the wider Palette & Bristle team, not default solely to me, and a price differential can help guide that naturally without any hard sell. One thing I’ve always stood by is that I don’t ‘announce’ price rises unless a team member is moving up an experience level. I know a few people compare it to supermarkets – Tesco certainly doesn’t send out a memo when the price of milk goes up – and for us, keeping things low-key has always worked. I also prefer to make changes mid-year. When the days are brighter and people feel less stretched, even small increases land more gently. In terms of how we set our prices, it’s always a balance. Yes, the reality is that rising operating costs and inflation have to be accounted for; a business can’t absorb everything. But I’m also really conscious of what feels acceptable in our local market. A price list shouldn’t shock your clients – it should reflect your value while still feeling fair and grounded. Do I think annual increases are essential? Not necessarily. They need to be justified, intentional, and in line with where your brand is going. Winning Southern Hairdresser of the Year at the British Hairdressing Awards recently is an honour and, of course, it reinforces the value of the service we offer, but for me it’s still about sustainability, not ego. Price rises aren’t about cashing in; they’re about keeping the business healthy and the team progressing.”
Lorenzo Colangelo, The Gallery: Strategically Raising Prices Helps to Restore Balance
“Our prices will be rising in 2026, as they do every year. This isn’t an emotional decision; it’s a strategic necessity. The costs of running a salon increase annually, and if you want to maintain healthy profitability, pay your team well and reinvest in the business, you simply cannot freeze your prices. I appreciate how difficult price increases can feel – especially if you haven’t reviewed them for a long time. We’ve been there ourselves many years ago, but waiting too long only makes the eventual jump bigger and more uncomfortable for both you and your clients. We always implement our increase in April at the start of the financial year because it aligns with business planning and client expectations. Customers understand this; in fact, after 30 years in the industry, I know they expect it. We look at inflation, the Consumer Price Index, and our own KPIs. My target is a 10–12% net profit margin – a benchmark I believe is fair and sustainable. Rising costs in recent years have pushed us below that ideal, so our 2026 rise will help us catch up and restore balance. We always inform clients at their appointment before the increase. It’s courteous, transparent and gives them the option to move to another talented team member if needed. Most stay with their stylist, because they value consistency. My advice to any salon owner is simple: if you’re not reviewing and raising prices annually – strategically, not through guesswork – you’re putting your business at risk. Data tells you everything you need to know. Don’t be afraid of losing a few clients; be more afraid of losing your business by standing still.”
Diane Marsh, House of Sassoon: Hairdressers Should Charge For Value
“We review our pricing annually, usually around October or November. The costs involved in running a business continue to rise – from the prices set by our product houses to the general increases affecting everything from utilities to everyday essentials like serving coffee. Because our suppliers adjust their prices annually, this gives us a clear benchmark for determining how much we need to adjust ours. The overall cost of living and operational expenses have increased significantly, and we must account for these changes to continue delivering the high level of service our clients expect. It’s also important to us that our team members have the opportunity to grow financially. Annual price adjustments help ensure we can offer fair salary increases and remain competitive as an employer. We also have to factor in the yearly adjustments to the national minimum wage, particularly for our apprentices who are just starting their careers. Our clients are always informed well in advance so they know exactly what to expect. The exact percentage of the increase varies from year to year and depends on the additional costs we’ve had to absorb during that period. With our tiered price structure, if someone prefers a lower price point, they’re always welcome to book with another talented team member within a different price level. Hairdressing is a skilled profession that requires years of training, dedication, and ongoing development. It’s important for us, and for the industry as a whole, to charge appropriately for the quality, expertise, and time that goes into every service we provide.”
