Gone are the days when Uber was just a brand confined to providing on-demand transportation solutions. Today, Uber has become the benchmark for all on-demand services. Uber has established so much of a connect with the industry and has heralded the lucrativeness of on-demand services. The intensity has given rise to a new phrase called ‘Uber for X’ where X can be replaced by any industry or service.
Parallel to this, the beauty industry is growing at an unprecedented pace. The availability of global brands beyond the borders of geography and the growing awareness about the different practices of massage and beauty therapy has elevated the beauty industry into a different realm in terms of consumption and revenue.
Combining the trend started by Uber and the growth of the beauty industry, there is a great potential market for on-demand beauty service-providing businesses. There are a few interesting statistics to prove the industry’s worth and its growth in recent years.
A Few Beautiful Numbers
- On-demand services are expected to grow at a Cumulative Annual Growth Rate (CAGR) of 52% over the next five years.
- A PricewaterhouseCoopers report states that the market for on-demand services on mobile applications and websites will reach a value of about $335 billion by 2025.
- Approximately $57.6 billion is spent by US businesses to develop such applications.
- 60% of customers from the USA are willing to pay extra to get their services delivered at their doorstep much similar to same-day delivery, Says a report of marketingprofs.com.
- According to Harvard Business Review, among the users who embrace on-demand services, 40% are millennials and the rest are between the age of 35 and 54.
- Except for a brief stint during the Lehmann Brothers Crisis of 2008 and 2009, the beauty industry has constantly been growing at above 3.5% every year for the past couple of decades.
- Zion Market Research states that the market for beauty salons is expected to be close to $200 billion by 2024 with a CAGR of 5.8%.
- There were about 65600 barbers, hairdressers, and cosmetologists and the 55000 skincare specialists. The numbers are expected to increase by 10% and 12% respectively by 2024.
- There were 113600 manicurists and pedicurists in 2014, and the growth rate for this field is the same as hairdressers.
These numbers talk about the high possibility of success for any business that provides beauty services on-demand like how Uber provides cabs. It is interesting to note that there are a few players like Glamsquad, Priv, StyleBee, and GlamUp that have started to provide beauty services at service seekers doorstep.
There is still a great market for any application that provides beauty services. As a business, there are a few strategies that you will need to consider before you embark on developing your Uber for beauty application.
Focusing on the User First
The greatest force that drives the success of on-demand applications is the needs of the user. It is important for the business to offer flexibility in date and time. This feature can put you way ahead of your competition. The facilities can also include scheduling and rescheduling of appointments and elimination of cancellation charges. To add to your marketing appeal, you can also introduce Happy Hours where users can enjoy discounted rates to boost demand.
We have seen beauty service applications like Priv provide hourly flexibility. Providing such features contribute to the marketing appeal of the brand and helps businesses reach essential heights.
Connecting the Service Providers
It is to be understood that any Uber for X is, in essence, a service of aggregation. Capitalizing on independent service providers can be a huge aid for your business. Bringing in freelance beauticians will not only expand the range of choices you give to your customers but also bring in more revenue.
In fact, your Uber for beauty can be used as an effective platform for freelancers where they can acquire clients. After service, a portion of their revenue can be taken as a Commission by your business. This service comes in handy for non-regular service requirements like new parents who will not be able to visit a salon, travelers, and brides.
Presenting a Wide Gamut of Services
Users expect aggregator-apps to provide multiple beauty services. The business can only grow if a trustworthy bond is established between your brand and customers. One of the many factors that contribute to the brand-image is the availability of services.
Isn’t it quite common for us to visit a mall or a superstore compared to a small shop? Similarly, the beauty services app should also be able to provide multiple beauty services.
It is to be remembered that beauty is not always cosmetic, sometimes it has a medical connotation too. Just like how there is a family doctor who can be consulted, your service also needs to have a facility to contact an expert who will be able to provide short-term solutions and expert advice. The consultation also helps grow the trust that customers have towards your brand which translates into better revenue. The consultations can be done using multiple platforms like telephone, video calls, and messages.
The growth of the on-demand industry and the availability of service providers for beauty services is quite evident and in black and white. It is up to a business to bridge the gap between these two in a sustainable and profitable fashion.
If you are an entrepreneur who would like to capitalize on this opportunity, all you need to do is to partner with the right technology provider. The convergence of curated data and the right technology platform is bound to result in a robust app that will spell success for your business. After all, who is going to reject the possibility of a good makeover, be it a person or a business?!