Beautiful Britain 2016 | Page 4

2016 IS LOOKING GOOD On balance, 2015 was an encouraging year for our industry, and 2016 looks set to have strong potential. The encouraging signs of growth we reported last year have started to take effect, with two-thirds of you more optimistic than you were a year ago - mirroring the increased confidence levels that SMEs across the country are reporting*. The sustained improvement in market conditions has meant that over two-thirds of you have seen an increase in the amount that customers are willing to spend on hair and beauty regimes, and customers are visiting more frequently. Both men and women are treating themselves to a range of hair and beauty treatments more regularly than they have at any other point in the last five years. As a result, although treatment costs remain relatively low compared to their peak in 2012, average annual spend is up. Comparing a basket of treatments reveals that average annual spend is up 23% for men and 20% for women, boosting revenue significantly. However, a slight North/South divide in terms of the confidence levels of smaller firms has been reported on by media recently - business confidence is lower in the North East, Yorkshire and Scotland compared to southern parts of the UK.** This is echoed in our Beautiful Britain findings, with optimism amongst hair and beauty professionals second lowest in the North East, and hiring intentions in the North East and Yorkshire amongst the lowest – with only 17% and 14% planning to increase headcount respectively. *http://www.ibtimes.co.uk/consumer-spending-growsbritish-shoppers-are-less-confident-2015-1542168 ** http://www.bbc.co.uk/news/business-35341148 04