Salon Franchising Offers New Opportunities in India
The beauty and wellness industry has gained a lot of momentum in the last decade. A study jointly conducted by industry body, Federation of Indian Chambers of Commerce and Industry (FICCI) and global consulting firm Pricewaterhouse Coopers (PwC) revealed that India’s wellness industry is poised to touch Rs 1,00,000 crore by 2015.
The Indian Salon industry stands at a staggering $2 billion mark and is expected to touch $3.5 billion by 2015. Glancing at the high growth pattern, private equity investors are eyeing the salon business and this has proven to be the key funding source for the salon industry’s growth. Today India comprises of 25 per cent organized salon market, which will increase its share to 30 per cent by 2015.
The backbone of the organized salon industry is an aggressive expansion of franchisees across the nation. The Indian Salon franchise ecosystem today has a support of over 5,000 franchisees. Franchise salons will stand to cover 25 percent of the overall organized industry by 2015 and will grow to be more than $1 billion. The report also presents the legal aspect of salon franchise in India, in which the implications of various laws are majorly discussed.
An online survey was also conducted to understand the salon franchisee profile. The survey result revealed that 44 per cent of the respondents reported that they are getting good returns and 30 per cent reported that the returns are excellent. Also, 60 per cent of the franchisees reported that they are interested in taking up an additional beauty salon franchise.