A customer asked me yesterday what our price level system is all about. She wondered so here it is. Many years ago when I came into the industry I noticed stylists with pretty sad looking notes stuck on the mirror at their station. It was usually a hand witten note stating new pricing. Always based on a desire to earn more income, which is fine if earned. The practice continues today mostly in 1099 or booth rental salons. Under this status an owner is to have no say in stylist work ethics or decisions according to I.R.S. rules. Edwin Paul is and will always be a W2 company, which means I decide when prices change. In most cases a stylist will raise based on the attitude that they deserve it, rarely having anything to do with what industry experts suggest. Edwin Paul stylists must meet a set criteria before moving up a level. For example, a stylist will meet with me and say "I want to earn more money so raise my prices". Not so fast I say. First we must look closely at things. Is the stylist 90% productive? If so for how long? How long have they been a dedicated employee? Leader? Mentor? Do they have strong customer retention? Is their service amazing? Lastly, what have they spent on education in the last year? All Edwin Paul stylist's agree on paper that they must attend at least two significant events every year. Styles change often along with techniques. I don't want anyone falling behind thinking they know it all. Only after carefully researching these things is a stylist considered to be placed at a higher price level. It's always a tough reality check when I tell an employee they are just not ready because productivity is at maybe 60%. Fill your empty space and there is a huge raise in your future. Only when that is achieved and steady for a year may they move up. The last point I want to explain is that higher cost is not always better. Why? Because we are still the only salon in the Midwest that requires 4000 hours of hands on training before a stylist earns a chair and may begin building a clientle. That's above the states required 1500 hours. So even level one stylist's here have more education and talent than most who have been licensed for 10 years. I realize that some people think higher cost means better, and in some cases that's true but not always the case here. Yes, it is true that the stylist's at our highest levels are extremely talented, but even the youngest will always represent the top 5% of the industry. If not, you don't get to work here. Sincerely, Edwin Paul
