Did you receive the message of new price list from your hair vendor? The hair prices are rising significantly these two years due to the widespread of COVID-19.
At first, the prices raised due to the only shortage of lace in Vietnam and North Korea. But now also the raw materials for wigs and weaves is raising greatly due to the big shortage in India. So the final hair prices got another big raise correspondingly.
Your clients may understand the situation but won’t agree with the price raise from you. This post will teach you how to keep your clients and increase your total sales when your clients want to save money during such a special life situation.
Keep a Better Relationship with Your Clients
You may always put your clients at the first place, but when the hair prices rise the loyalty of your clients might come under pressure. This is understandable. Everything becomes more expensive nowadays, like food, energy and health cost. Your clients would be very careful in making decisions about how to spend their money. Money becomes the first and most important factor to consider for your clients now. So contact them, engage with them, and see if you can find solutions to help.
Your clients may turn to the cheaper options their vendors said same quality like you but cheaper than you. Your clients may find the real truth of poorer quality but considering the less money, they would accept it. This is bad for you.
There’re a couple of solutions, some require additional money, but many are possible without you spending extra cash.
Check Your Refund Policy
Money is hard-earned and your clients must make sure their money is worth the things they get. So be ready for some refund and change. Don’t make your clients think “all sales are final”. Make them believe they can take their money back or change for a new one if they don’t feel satisfied with the received hairs. Also don’t forget to protect your interests as a hair store.
“We launched this hair store because you deserve the best quality of affordable hair. When you are happy with the hair, we know we accomplished our mission.
There is a 100% no questions asked return policy of 30 days after the date of purchase when, despite our quality controls, you received the incorrect length, texture or color. Hair must be in the original state the same as it was sent to you.
You are free to select the method of shipping for the return shipment, but we always recommend asking for a tracking number. We refund the shipping charges only when the hair you received is not in accordance with the original order. Any hair extensions that have been altered, washed, or worn in any way will not qualify to be returned. Our after sales team is always available to advice you about how to bring back the hair to the original condition, but for altered products (bundles are unwrapped / extensions have been worn) all sales are final.”
Start with putting the interest of your client as your number one goal. That is what the client will see first and keep in mind. She will also understand in some circumstances you cannot accept returns.
Do the Unexpected, Share Special Offers
When the hair prices raise, nobody will expect to see lower prices. But when you have some hair you purchased before at a lower price, or when you have the budget to offer hair at a special price, do it. Negotiate with your hair vendor if needed to help you when you place a wholesale order. Make sure the offer is temporarily and your client is aware of this limited time. It shows you care about their wallet. Do not lower your prices to beat the competition but keep the prices at the required and profitable level and offer some extra discount.
Find New Clients
You might have your ideal client in a certain market segment, your special place on the hair market. But now the hair prices rise, it is a good moment to evaluate if there are other clients’ segments in need for your hair solutions. Perhaps you can find high earners like social media celebs, or in industries like tech that offers good salary. Use this moment to be innovative and search for new ideal clients.
Offer other payment solutions
Have you thought about payment plans, like Sezzle or Affirm? Or introduce a layaway plan, on which your client places a deposit on a hair product to “lay it away” for later pick-up when they are financially positioned to pay off the balance.
Clients might need more time to collect the money to buy hair, especially when the hair is more expensive. Offer them a payment plan that will allow them to buy the hair at today’s price level, without the risk for price increase in the future. Once they started with the plan, they will be loyal clients, also because you keep on investing in the relationship.
Review your shipping policy
You might offer free shipping now. The price for this service will lower your profit margin. Take these shipping expenses into account when you re calculate your new hair price. You could also offer the client free or lower shipping or courier charges as an option. Or keep your hair prices lower by charging for shipping. Consider reviewing the couriers you use, perhaps the national postal company is a cheaper solution, with one or two days more delivery days. Would that be acceptable for your client, to keep the hair price lower?
Minimum Order Quantity MOQ wholesale hair
When you also offer wholesale hair, you might have a MOQ to ensure clients really deserve to be considered as wholesale clients. Consider lowering your MOQ requirement. This will allow your wholesale hair clients to keep on buying your hair, but at a lower total order amount. Again, it shows you think of their interest and that will build loyalty towards your hair store.
Keep an eye on other online hair stores
Select the hair stores that compete with you for the same ideal clients. What are the actions they take now the hair prices rise? Do not copy them. After all you are unique and that is what your clients like in you. Learn from their moves and do better.
Avoid surprises from the vendor when hair prices rise
Make sure your hair vendor informs you in time for price increases of the hair extensions and wigs. Avoid you only see the updated prices when you place a new order. That is too late because you might have some client orders for the hair already. Agree with your hair vendor they will inform you in time. Check their terms and conditions about hair prices.
If you do not feel secure about the communications from your hair vendor, schedule a regular check of the current hair prices. It is bad hair prices rise; it is even worse when you discover prices have changed too late.
Keep your clients when hair prices rise!
See what you can do with the suggestions above to deal with the higher prices of the hair. Keep on selling your hair and wigs for competitive prices. Remember, the purchase decision of your client is not fully driven by money, but also by the total value they will get in return of the amount paid. Better service, nicer hair, a great relationship are all elements that your client will consider when she wants to buy hair, your hair!