How to Work Up Your Salon Retail Sales Percentage

How does your salon retail sales percentage affect your overall bottom line? Most salon businesses don't yet know the importance of carrying out this comparison, and therefore, are not utilizing their salon retail space to its full potential.

Do you feel that you could be getting more but are not sure what more to do to get your desired result? One of the things you can do is to understand your retail to sales percentage (RTS). This knowledge can give you more insight into generating more profit when linked to your overall revenue.

What You Will Learn In This Article?

After reading this article, you should be able to recognize the importance of retails to sales percentage, how RTS relates to your overall revenue, and what steps to take to turn up your salon retail profits.

Jump To The Section You Like

  1. Calculating Retail to Sales Percentage
  2. Implementing the Percentage of Sales to Total Revenue
  3. How to Increase Your Retail Sales Percentage to Overall Sales
  4. Conclusion

Calculating Retail to Sales Percentage


What is retail to sales percentage, and how does it impact your salon business? Retail to sales percentage is the number of retail sales divided by your total revenue multiplied by one hundred. This can be calculated for a given period as weekly, monthly, or yearly.


Some people might ask how this can affect their overall revenue.

It enables you to analyze the various contributions of other departments in the salon to your final revenue for starters. For instance, if you offer facials, manicures, hair care services, and retail, knowing the retail to sales percentage will give you the departments' revenue contributions to the profit margin.

But that's not all…

RTS also helps you make accurate projections for future revenue by giving you an idea of what each department within your salon can bring.

But more importantly, you can immediately know if your retail products are taking too little or too much of your salon space. Hence, you can decide to increase or reduce your space usage according to your revenue projections.

Implementing the Percentage of Sales to Total Revenue


You might want to know how to use the percentage of sales to total revenue to allocate your resources to increase your revenues.

Where do you start when comparing the percentage of sales and total revenue for your salon?

You have to find a healthy balance between the retail department and other departments within the salon so that you don't underutilize or over-allocate your space.

How to Increase Your Retail Sales Percentage to Overall Sales


The knowledge of retail sales percentage can help you increase your overall sales by showing you the areas you're lagging. One such field can include basic knowledge of retail selling, which should be implemented by every retail department.

But the truth?!

Most retail sections don't follow these know-hows. However, here are some important steps you can take to improve your retail processes.

1. Clients Needs

Know your clients and their challenges. This will ensure that you stock up your salon and recommend the right solution for their specific needs.

2. Promote

Design promotions and campaigns to encourage your client to purchase your product. This is a nice strategy if it is a product that solves a common problem for many of your clients.

3. Display

Arrange your products strategically, making sure they are not cluttered and make them visible from as far as possible. Also, make sure your product labels are facing the clients' angle of view.

4. Train Staff

Pass on your recommendations properly among staff, including the front desk, such that the required product information is easily accessible to close out retail sales.

5. Stay Tuned

Update your product knowledge and be an expert at recalling it in an instant.

6. Show Care

Be genuinely interested in the results of your retail product for your clients.

Then Follow-up to know if the product they bought entirely solved their issues. Also, use it as an opportunity to intimate your clients with other product offerings.

How Can You Calculate Your Sales Revenue?

To get your sales revenue for a particular period, multiply the number of products sold and the selling price.




In all, salon retail sales percentage can be increased when you follow simple retail industry best practices.

Following these proven steps will add more revenue to your overall bottom line but, more specifically, help you utilize your space effectively to achieve your projected revenue goals.

If you have any retail sales tips and suggestions, please do not hesitate to drop it in the comment section below.


NRF | Small Business - National Retail Federation

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U.S. Retail Sales | 1992-2020 Data | 2021-2022 Forecast

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