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2007-08 Lamp Application Guide
Introduction
Editor’s Letter
Chapter Summaries
The Evolution Of An Industry
The State Of The Industry Report ‘06
Facts & Figures
The National Tanning Training Institute
Ultraviolet Light: An Introduction
Whether you are new to the indoor tanning industry or a seasoned veteran interested in expanding your size, location or knowledge, the annual LOOKING FIT® Fact Book an important key to your success. This 21st edition of the Fact Book is designed to be a ready reference guide so when you have a question, the answer can be found easily and immediately. It should be required reading for anyone serious about making their livelihood in this exciting business.
For more than 20 years, LOOKING FIT® has been by your side serving this exciting and growing market. We have been working for you—the indoor tanning salon operator—helping spread the good word about the benefits of sunlight. Over the years, we have provided you with the tools you need to make your business successful. We’ve shown you the latest products and services, while offering up sound business guidance for strategic growth.
As always, our mission is to help you increase the number of tanning clients in your salons. We pledge to do this through continued support of the indoor tanning industry through donations to the various associations, interaction with regulatory agencies, providing you with a venue to learn about new and innovative products and giving you the quality business ingredients necessary to complete your recipe for success.
This nearly 300-page reference source is a culmination of almost one year of research. The information contained within its nine chapters provides you with the most recent information regarding important industry news, trends, regulations, scientific research, lamp, lotion and equipment information. Information regarding UV, the tanning process and the FDA’s role in our industry also is included as well as business essentials including marketing information, selling strategies, industry training and certification and much, much more.
Of particular importance this year is the State of the Industry Report that recaps the 2006 tanning season. Last season was a pivotal one that saw industry consolidation, increased attacks from anti-tanning coalitions and changes at the salon level. These issues continue to make headlines in the 2007 season so turn to page 10 to read more.
Special attention should be paid to Chapter 3, which provides you with all the regulatory information regarding indoor tanning. Salon owners and operators need to pay close attention to proposed regulation changes at all levels—not only to make sure that compliance is met, but also to ensure a voice in the process. The proposal of additions or changes to regulations at the local, county and state level has become an increasing trend, especially in regard to teen tanning. It is critically important for indoor tanning professionals to be active in working together to keep watch of proposed tanning regulations.
LOOKING FIT continues to be your No. 1 source for industry information now and in the future. Realizing information is needed 24/7, we redesigned our Web site last year to be sleeker and more user-friendly than ever. The site features daily news, topics by category, industry links, a password-protected Buyer’s Guide, an option to enter the Top 250 Salons survey online, the Bizz Blog, easily accessible archives and much more. The site also features special e-books and downloads to keep salons on top of important topics in the industry. Included is the current issue of LOOKING FIT magazine.
We also unveiled www.tanresponsibly.com—a site is for tanning consumers that provides information about tanning, skincare essentials, health and nutrition, fitness and lifestyle, and much more. This exciting Web site helps consumers discover the latest information about tanning and the professional products what they need to perfect their tanning experience. The site also features special promotions, polls, contests and links to some of the most viewed sites on the Internet. Be sure to tell your customers about it.
A warm thank you goes out to every involved in this project, including our advertisers and those who contributed to the informative articles in each chapter. Use this Fact Book as a daily tool to help steer your salon on a successful course.
Wishing you a successful season,
 Judie Bizzozero Group Editorial Director
Chapter 1—Indoor Tanning
The 2007/2008 LOOKING FIT® Tanning Fact Book marks the 21st compilation of information written specifically for indoor tanning salon owners and operators. The Fact Book is found in nearly every tanning salon in the United States, and salon owners use the book on a daily basis for reference and as a teaching tool for new employees.
Nearly an entire year of work has gone into producing this Fact Book that provides salon owners and operators with the most up-to-date resource tool to help with the daily management of their tanning facilities and aid in long-term planning for growth and expansion. This chapter provides an overview of the Fact Book, as well as a detailed table of contents. You also will find information about the evolution of the U.S. indoor tanning market, a comprehensive State of the Industry Report, statistics supporting the growth and maturity of the industry and an introduction to ultraviolet light. This chapter also provides information about salon education and certification—one of the most important tools salon owners can have on their side. Each chapter thereafter contains specifics on many aspects of the daily operations of salon management. This Fact Book is designed to be a ready reference guide so when you have a question, the answer can be found easily and immediately. Chapter 2—The Tanning Process This chapter provides an overview of the tanning process and its effect on the body. Since the skin is the largest organ on the human body, it is a complex and hard-to-understand entity. And since a tanning unit affects bodily functions, it is essential that salon operators and employees understand the biological process by which the skin tans when exposed to ultraviolet light. By knowing and understanding this process, will you be able to train and instruct your employees and customers in the proper way to obtain golden tan. With the advancement of equipment technology, more suppliers are providing a wide selection of equipment choices. From traditional tanning beds to stand-up units these commercial choices can range from entry-level 30-lamp units to high-end units offering more than 50-plus lamps. This section takes a look at equipment specifics as well as specific maintenance requirements that ensure their longevity and performance. The chapter also examines equipment construction and the care needed to achieve maximum effectiveness and profits. An explanation of high-pressure tanning including its evolution, a comparison between low- and high-pressure and technical aspects surrounding it also are included for review. Chapter 3—Regulation Issues Despite how people feel about regulation, whether it is on a national scale as imposed by the Food and Drug Administration, or on a state or local level, it never was designed to be a thorn in the business owner’s side. The ultimate aim of regulatory agencies is to protect consumers from those who are out to make a quick buck at the expense and possible danger of the consumer. For those who are interested in providing secure, useful products and the longevity of the industry as a whole, regulations are a welcomed development. As tanning continues to be a part of image-conscious America, the FDA and state agencies continue to keep a watchful eye over the industry. Locating rules and regulations, especially those from federal agencies, can be a time-consuming and difficult task, and for this reason we have designed this section to help salon owners understand what the FDA requires and its role in our industry. It contains all FDA regulations that apply to indoor tanning. In addition, a draft of a model set of state regulations written by the Conference of Radiation Control Program Directors (CRCPD) also is included to give an idea of what typical state rules might include. In addition to these rules and regulations, salon owners and equipment manufacturers also should pay attention to the electrical testing laboratories. UL and ETL are non-profit testing laboratories whose goals are to protect the consumer. On Oct. 1, 2003, the FDA requested and was given the go-ahead to develop amendments to the U.S. performance standard for sunlamp products based on certain initiatives of international standards organizations concerning sunlamp products. This came after the FDA’s Technical Electronic Product Radiation Safety Standards Committee (TEPRSSC) heard a proposal Oct. 1, 2003, for rule changes associated with indoor tanning products. Current rules that are being considered for change include revised warning labels, addition of warning labels to all indoor tanning purchasing information, modification of the definition of eyewear, more stringent limits on eyewear effectiveness, adoption of maximum timer setting of 3 MEDs, and implementation of coding systems for sunlamps. Before final acceptance of any changes, FDA must submit a proposal for final acceptance. The public comment period has not yet been established. The Oct. 4, 2006 TEPRSSC meeting was canceled and has not been rescheduled. This chapter also includes the strict rules the FDA has made concerning protective eyewear. The FDA requires salons to provide this service to tanners; however, enforcing its use is another story. This section will provide you with the tools to educate your customers about the importance of protecting their eyes during the tanning process. Chapter 4—Tanning Lamps Tanning lamps are sophisticated products that emit ultraviolet light and may be considered the single, most-important component of the tanning unit. Only by understanding how they function and how they are built will you be able to provide the best level of service to your customers.
This chapter presents the most up-to-date lamp information and provides you with everything you need to learn how tanning lamps are made, including the differences between the many types of tanning lamps on the market today; how to care for them; and, when and how to replace them in order to be compliant with the FDA. Chapter 5—Ancillary Services Ancillary services help salon owners ride the economic ups downs of the tanning off-season. Many services remain popular year-round and allow salon owners to leverage their existing customer bases and use much of their same operating models. The indoor tanning salon can play host to a number of ancillary services that can help add additional revenue from a minimal investment of money and staff. This chapter contains an analysis of the practical considerations of adding ancillary services to your mix or cross-promoting with other businesses in your area. Even if your salon only offers tanning, don’t underestimate your future growth. As the total salon concept becomes more widespread, it may be necessary for you to provide additional services to maintain an edge over your competition. Information about skincare, nails, body wraps, hydrotherapy, light therapy, massage, fitness, sunless tanning, video, day spa amenities, travel and nutritional supplements are examined. Chapter 6—Lotions And Skincare For more than a decade, lotion was the fastest-growing segment of the indoor tanning industry; however, lotion sales have started to even out in the past few years as consumers opt for more reasonable price-points. Targeted marketing and a full understanding of their benefits provides salon owners the ability to capture year-round profits with lotions and skincare offerings. Again, it is important to remember that time is a precious commodity, and consumers are looking for a one-stop shop for all their skincare needs. This chapter identifies lotion trends, the importance of quality skincare and clears up misconceptions about the most common ingredients found in indoor tanning lotions. This section also includes tips on merchandising and display, selling strategies and inventory control, and a section focusing on salon necessities required to keep a tanning salon ahead of its competition. Chapter 7—Salon Insurance This chapter is dedicated solely to the issue of salon insurance and provides you with the latest information on liability and legalities in the indoor tanning salon setting. Be sure to read this section carefully and evaluate your salon’s insurance program. If you are not insured, consult an insurance specialist before disaster strikes and your business suffers. Chapter 8—Salon Operations And Procedures Operating a successful indoor tanning salon is no easy task, especially for those attempting it for the first time. Though daily procedures may seem like second nature to the seasoned professional, the new salon owner may find those tasks a little overwhelming. This chapter contains the main operational procedures salon owners must use and understand in daily operations. Although some details may vary slightly, depending upon location and business goals, there are some basic steps to use as guidelines. Sections included on salon management, operating costs and revenues, hiring good employees and salary issues. Other sections include detailed information about advertising, marketing, promotion, and computerization. This chapter also examines expansion, securing loans, writing a business plan, cost analysis and choosing the right name and location for your salon. Use this chapter as your business tool to stay ahead of your competition. Chapter 9—Franchising & Business Strategies This chapter examines franchising, which is gaining more and more momentum in this industry. The chapter contains an in-depth look at franchising and also provides solid business strategies for all tanning salon owners and operators. Sections include franchising, mega salons, securing loans, writing a business plan and planning for a successful salon.Chapter 10—Buyer’s Guide & Directory This chapter features the 2007/2008 Buyer’s Guide & Directory that provides the most up-to-date directory of manufacturers and distributors of indoor tanning and spa equipment, products and services. The guide includes Web site and e-mail addresses, company descriptions and a handy cross-reference category listing to help locate supplies quickly.
LOOKING FIT—Serving You For 22 Years Industry statistics reveal that 30 million people tan indoors in the United States each year. With more than 25,000 indoor tanning facilities nationwide and another 20,000 businesses that offer indoor tanning, the potential client base in enormous. No one can deny that the indoor tanning industry is a wonderful success story and is an industry that has withstood the test of time. Taking shape in the late 1970s, many in the United States called it a fad. Nearly 30 years later, it has survived skeptics and cynics and evolved into a viable, growing industry. Since the early days of the industry, LOOKING FIT® has been by your side. This year marks LOOKING FIT’s 22nd year of serving this exciting and growing market. For more than two decades, we have been working for you—the indoor tanning salon operator—helping spread the good word about the benefits of sunlight. Over the years, we have provided you with the tools you need to make your business successful. We’ve shown you the latest products and services, while offering up sound business guidance for strategic growth. We provide those tools through LOOKING FIT® magazine, monthly e-newsletters, The Fact Book, the National Tanning Training InstituteSM, Tanning Tours™, LOOKING FIT® Online, Indoor Regulatory Conferences and our past International Tanning Trade Expos. In 2006, we introduced the Bizz Blog—an industry-specific site of well thought-out, planned and reported stories and opinions. A thoughtfully written blog about the indoor tanning industry by a person with daily involvement in said industry is a valuable way to spend some time learning what is new and important, let alone revealing what other people in the industry are saying about the topics of the day. LOOKING FIT is proud to be the FIRST industry magazine to bring this fun and exciting information source to you. We also are happy to have guest bloggers who bring specific industry knowledge on varied subjects essential to the growth of your business. As always, our mission is to help you increase the number of tanning clients in your salons. We pledge to do this through continued support of the indoor tanning industry through donations to the various associations, interaction with regulatory agencies, providing you with a venue to learn about new and innovative products and giving you the quality business ingredients necessary to complete your recipe for success. That being said, we created a Web site specifically for your customers—www.tanresponsibly.com. Customers can log on and find handy tanning tips, the latest trends and answers to many questions regarding sensible, moderate and responsible tanning. Judging from the great consumer comments on the blog (“The Bright Side”) and our Web exclusive articles, we know we’ve designed a place where tanners and others interested in your salon’s professional services are going for information on tanning, fitness & lifestyle, health & nutrition, skincare, movie reviews, sunsign predictions, etc. LOOKING FIT® will continue to be your No. 1 source for industry information now and in the future. Feel free to contact us at: LOOKING FIT® Magazine 3300 N. Central Ave., Suite 300 Phoenix , AZ 85012 (480) 990-1101 Fax: (480) 990-0819 www.lookingfit.com
The U.S. indoor tanning market emerged nearly 30 years ago and has evolved into a viable and socially accepted industry with an estimated worth of more than $5 billion at the retail level. There are more than 25,000 indoor tanning facilities nationwide and another 20,000 businesses that offer indoor tanning. Describing the U.S. indoor tanning market is an enormous task. In fact, one would be at fault if they did not refer to it as an evolution—a series of gradual changes that result in an improved product and industry. Before we examine the U.S. market, let’s first take a look at indoor tanning’s European roots. By all accounts, the concept of indoor tanning was a German innovation. A number of companies brought forth highly engineered tanning units to the European market, which helped spur interest overseas. Indoor tanning immigrated across the Atlantic to the United States in 1979. In fact, the first UVA tanning beds introduced in the United States were very basic and just the bottom of the beds. Yet, UVA tanning was not the first form of tanning to interest the American market. During the late ’60s and early ’70s, UVB tanning booths had been the norm; however, by the late ’70s they gradually fell from favor. Industry experts agree that one reason for its decline was the fact that unless exposure was carefully controlled, the effect of UVB radiation was more often a sunburn than a tan. The primary problem was UVB tanning units could not deliver what was promised by those marketing them. In addition, UVB tanning also came under attack for safety reasons by the Occupational Safety and Health Administration (OSHA) and often was too expensive for cost-effective cosmetic use. Therefore, the major task at hand during the late ’70s was to educate the public about the differences between UVB and the newer UVA technology. Many equipment manufacturers—past and present—have influenced or continue to influence the U.S. tanning market. Some of those companies include Sun Ergoline, SCA Wolff System, ETS, Klafsun, PC Marketing, Montego Bay, uwe, International Tanning Equipment/HEX, CMC/Sun Capsule, SMI Sontegra, SonnenBräune, Dr. Müller, AUVL, TanAmerica, UltraSun, Ultrabronz, Megasun, Royal Sun, Sunbronze, Hapro, ProSun, Celsius, Puretan® International, Alpha Industries, Future Industries, Simply Tan, ACN, Dr. Kern, Vitasun, Tanses, KBL, Sol-America, Heartland Tanning, Sportarredo, Sunvitale and International Tanning Technologies. Advancements in equipment helped indoor tanning to gain popularity between 1981 and 1982. During these years other manufacturing companies became involved in the industry that really helped to get the word out that tanning was not just a fad. By 1983, the industry saw an explosive growth to the point of where thousands of machines were being built. Much of indoor tanning’s initial growth resulted from its increasing popularity within the health and fitness industry, where existing facilities added a tanning unit or two to create a new profit center. It wasn’t until 1982 or 1983 that free-standing tanning salons began to become widespread nationwide. In 1984, the indoor tanning market literally exploded. Dozens of importers, distributors and manufacturers of equipment seemed to spring into existence overnight, but demand still outweighed supply. This period of rampant growth lasted well into the mid-’80s. In fact, by 1985, there were more than 70 manufacturers of tanning equipment in America or the U.S. offices of foreign companies or U.S. importers of foreign tanning equipment. In addition, there were in excess of 500 distributors in the United States. The industry was very cosmopolitan and many people were making money. According to industry veterans, the 1986 drop in the equipment market was attributed to the indoor tanning industry growing too quickly and too much profiteering from undesirables in the industry. As a result, competition became keener, forcing equipment manufacturers to become more progressive and updated. Between mid-1985 and 1987, times were still profitable for the indoor tanning industry. Salons saw the typical slump in business during the summers, and some of the less stable manufacturers vanished as quickly as they had come into business one or two years before. Yet, the overall tenor was still strong. But 1987 was a year met with mixed reviews from equipment manufacturers. After the previous few years, 1987’s more moderate expansion was disappointing to many. However, one factor playing a role in the lower growth rate was an ongoing decrease in the overall price of new tanning equipment-a trend that had been in motion since the end of the so-called boom period. Another area that affected the U.S. tanning market involved the influx of toning. During the late ’80s toning facilities were popping up nationwide and adding tanning to their offerings. This phenomenon spurred increased equipment sales and made the industry even larger. However, when toning dropped off in 1988, it dropped hard, flooding the market with a huge surplus of used tanning equipment. The next few years were lean ones for equipment manufacturers and contributed to the cleansing of the industry. As the opportunists were cleaned out, companies cut back on their overheads and consolidated their interests. Equipment manufacturers were not the only ones to feel the pinch. Many distributors and tanning salons closed shop because their owners did not know how to run a business or plan for their future. Many other companies emerged, only to close shop because they expanded too quickly and were caught with a lot of overhead when the market dropped. Interestingly, most of the companies that have survived have been very conservative. The adage of having to walk before you can run is quite true. As the ’90s approached, the industry experienced a rebirth. The companies that had survived the ’80s now had their sights set on the future of tanning and began providing state-of-the-art tanning equipment and products. The new millennium ushered in more technological advancements from equipment manufacturers. However, many agree that sales suffered somewhat after Sept. 11 when salon owners, and the rest of the nation, held back on large purchases. With the 2007 tanning season securely underway, we can look back at the evolution of an industry and be proud of where we are today. There are leaders who have weathered the storms of time and economics and set the standards by which other companies have learned to follow. Today, the indoor tanning industry is a viable business with suppliers working toward a common goal of sensible, moderate and responsible tanning.
As of press time, the 2007 indoor tanning season was well underway. In fact, the majority of salons reported that the season began earlier than usual—December 2006—and remained strong throughout January thanks to the unusually mild weather. It will be interesting to see how February’s recordsetting blizzards, ice storms and below-average temperatures affected salon traffic in the first quarter. Colder weather usually makes tanning more appealing to customers; however, horrible weather and road closures made it difficult to travel anywhere from Colorado to New England. Looking forward, it is important to have a firm understanding of all the events that shaped the industry over the past year. There is no denying that the indoor tanning industry is standing at a crossroads, and many of its players are trying to predict which road will take them to the Promised Land. Needless to say, the 2006 season was a pivotal one, and everyone from salon owners to manufacturers, distributors to allied companies all played an important role in the future of our industry. Recapping ‘06 The State Of The Industry Report ’06 was published last September and provided a comprehensive analysis of the season. The report took an in-depth statistical look into a number of issues that influenced the industry as a whole and provided a detailed analysis of what was occurring at the salon level. The report examined specific areas affecting the entire industry. Some areas such as weather, war and economy were uncontrollable, while others such as how to market, provide services and stand together as an industry were controllable.
Since 2001, tanning salons nationwide have endured some tumultuous times. Every year, we hoped and prayed that the next season would be the season to lead us out of the lull. While the past few seasons have been difficult for many, it appears there might be sunlight on the horizon. While interviewing salon operators and industry vendors, it appears that the 2006 season started out stronger and earlier than years past. There was optimism and a renewed sense of excitement from veterans and newcomers alike. Many operators I spoke with agreed that rediscovering marketing and knowing when and how to change directions was the secret to their success in 2006. Once again, many salons cited a flat to average year; however, the same amount claimed they had a higher than average year. It appears that location, business models and marketing tactics had much to do with the success or failure of some salons, in addition to the aforementioned uncontrollables. Industry Consolidation There is no debate that the industry has trudged through a valley for the past five to six years; however, many veterans agree that there are signs of a climb out of that valley. Many of those signs point to a number of things, one of which is industry consolidation.
Consolidation, mergers, buyouts and closures are common occurrences in a maturing market. In 2006 industry insiders predicted that consolidation would continue in larger saturated markets but not in smaller, rural markets that didn’t have the populous to support bigger salons. They also agreed that the number of first-time salon owners continued to increase in 2006. Industry experts agree that the indoor tanning industry traditionally has a 20-percent attrition rate, which means some salons will survive and others will not. Additionally, the trend of mega-salons, chains and franchises acquiring independent salons continued in 2006 in certain regions. On the other hand, independent salons reported average growth and some are in the middle of expanding existing salons or opening more locations. The “thinning of the herd” concept came true for many in 2006 including salons, distributors, suppliers, manufacturers and allied sectors. Decreased margins and intense competition made the season especially difficult. Some industry veterans closed their doors or sold out, while others are mapping out a plan for survival in 2007. Even large manufacturers and full-service distributors were affected in 2006; however, they held their market share thanks to solid salon relationships and offering equipment, lamps, lotions, parts, supplies, customer service, financing and new Web-based programs. As an industry, we need to embrace the consolidation that has occurred to a degree. The face of the U.S. tanning industry has changed dramatically since last season, and it is time for new leaders to emerge and take the industry to the next level. Leadership needs to generate passion and excitement, and the new leaders will bring bright ideas. The U.S. Market Nearly 30 years after being labeled a passing fad, the $5 billion U.S. indoor tanning industry still is providing golden tans to approximately 30 million Americans each year.
There are approximately 25,000 professional indoor tanning salons and another 20,000 locations such as health clubs, spas, video stores and beauty salons that have one or two tanning units. The highest number of tanning salons per capita are found in the Midwest and Southeast, with Ohio, North Carolina, Michigan, South Carolina, Illinois, Indiana and Florida having the most salons. The majority of indoor tanning facilities in the United States are small businesses, and more than 50 percent of them have female ownership, compared to 25 percent of businesses in other industries, according to the U.S. Census. Indoor tanning also provides jobs for approximately 160,000 employees annually. It is important to note that the indoor tanning industry is similar to many service industries in that there is a low-entry level in terms of capital outlay. It takes between $300,000 and $250,000 at minimum in initial investment to outfit a standard 10-room salon properly in today’s market. In 1982, the initial investment was about $30,000. Additionally, there is no mandatory education required to run a tanning salon except in those states that require mandatory certification. The byproduct of this is that when times get tough inexperienced business owners with relatively low capital investment are prone to fail no matter the state of the industry. They need the business expertise to ride out the tough times. If not, competition will take business away. The majority of free-standing tanning salons have at least 10 rooms with three to five levels of tanning and a sunless unit; however, the past few years have seen a shift toward larger salons with more space and services. A typical 10-unit salon may feature one big bed, two midrange or premium beds, a UV standup, five entry-level beds and a sunless unit. [Note: These are conservative estimates since mega-salons house 20 or more tanning units in one location.] Statistics for 2006 reveal that 63 percent of salons reported an average single-session price of $7 or more; only 3 percent charged $5 or less. Lotion sales in 2006 saw a dramatic shift to the mid-range price-points with 80 percent of salons reporting that lotion sales accounted for 10 percent to 30 percent of their monthly revenues. Only 14 percent of salons reported that lotions accounted for 30 percent or more of monthly revenues. This number is down from 45 percent the previous year and confirms the fact that consumers are looking for more affordable deals. However, only 6 percent of salons reported that lotion sales accounted for less than 10 percent. This number is down from 35 percent in 2005. Today’s professional salon owner also brings a higher commitment to his or her business. They entered the market with sound business models and financial acumen. This translates to more maturity of ownership, experience and stability. Many salons have failed over the years because of absentee ownership. Successful salon owners keep their fingers on the pulse of the industry and are in the salons to oversee business. Marketing To Your Customer Nearly 300 million people live in the United States. As an industry benchmark, we estimate that 10 percent of the U.S. population will tan indoors annually, which means that more than 30 million Americans will frequent a professional tanning salon in 2007.
For years, the average indoor-tanner profile has remained constant—the majority falling in the 18-49 age group; 70 percent of which are women—50 percent of which are ages 20-39. Over the years, there has been a continued increase in tanning with women ages 40-49 as traditional tanners move into this age bracket. Add to the fact that more men are visiting salons because they want a golden tan and are becoming more educated about the importance of professional skincare products. However, salon owners need to take notice of the baby-boomer tanner born between 1946 and 1964. While we have addressed this subject in past issues, the oldest boomer turns 60 years old this year. This means they have different tanning goals and skincare needs. In fact, statistics indicate that baby boomers spend $4 out of every $10 on beauty. Boomer beauty could and should be a “revenue beast” for the tanning facility. Add to that the fact that today’s customer demographic also contains one of the highest service-based spending groups—a combination of the baby-boomer generation and the maturing Generation X group born between 1964 and 1980. Emerging onto the tanning scene is Generation Y—the generation born between 1978 and 2000 that accounts for approximately 76 million Americans. According to Wikipedia, economic materialism seems to be abundant with Generation Y. This spending group is obsessed with clothing brand names and chains like Abercrombie and Fitch, American Eagle Outfitters, Armani Exchange, Dolce and Gabbana and Juicy Couture and possessing expensive electronic devices such as iPods, high-tech cell phones, digital cameras and laptops. This group is the offspring of the first generation of U.S. indoor tanners. Salons should take special notice of this segment and market accordingly. Evaluate your databases and print a report that outlines who is buying what and how you can increase the dollars-per-customer ratio by creating a reason for tanners to come to the salon. Create tanning packages that require customers to adjust their schedules to you as opposed to the other way around. Offer 30 days of tanning for a certain amount of money because it requires a new purchasing decision in 30 days. The promotion doesn’t work to your advantage if you sell 30 tans for a certain amount of money because the customers feel they have to use every single session. Ancillary Services Can Increase Profits Ancillary services can help salon owners buck the difficulties of the tanning off-season. These add-on services remain popular year-round and allow salon owners to leverage their existing customer bases and use much of their same operating models. The indoor tanning salon can play host to a number of ancillary services that can help add additional revenue from a minimal investment of money and staff.
Even if your salon only offers tanning, don’t underestimate your future growth. As the total salon concept becomes more widespread, it may be necessary for you to provide additional services to maintain an edge over your competition. Some of the most popular ancillary services include sunless, hydrotherapy, day spa amenities, light therapy, skincare, nails, body wraps, massage, fitness, video, travel and nutritional supplements. Salons must identify what add-on services will work for their business models. Explore new ideas and determine whether they fit into your salon concept and design because today’s busy clients are looking for a one-stop shop for all their needs. For the past six years, the sunless segment has been the king of add-on services. The sunless boom began in 1999 and took off in 2000 as a way for salon operators to reach new generations of tanners and open doors the doors to an emerging market. In 2006, salons reported that sunless sessions continued to be popular, but session prices were dropping due to increased competition. According to results from LOOKING FIT’s 2007 Top 250 Salons survey, 35 percent of U.S. tanning salons offer at least one automatic sunless booth and 10 percent offer sunless airbrush or HVLP/turbine tanning. This number was down from 2006, but it should be viewed in terms of sunless unit sales versus sunless session sales. Sunless equipment manufacturers reported continued interest and steady sales as many salons added sunless. They also noted that many chains and franchises added sunless to their business models. In terms of sunless session sales, salons reported around the same number or higher as last season. Many cited that sunless sales, once again, helped salvage a flat year. On the negative side, many salons were slashing prices or using scare tactics to increase sunless sales. This only hurts the industry, as we are now fighting for mass-market sunless dollars. We are battling a huge anti-tanning coalition that now includes the cosmetic giants and medical associations. We must market these services as a compliment to UV tanning or an alternative to tanning for those individuals who cannot or should not tan indoors or outdoors. The Economic Picture As with any business, there are various uncontrollable factors that affect its success or failure. In 2005, those factors included the war in Iraq, weather, increased gas prices and an unstable economy. Those same factors, as well as increased interest rates, a stock-market rollercoaster and more unrest in the Middle East, affected the 2006 season.
Add to that the fact that many salons and suppliers were still recovering from the 2005 hurricane season that slammed the Gulf Coast region hard. Consumer spending was down in 2005 and 2006, and many tanners cut back on the little luxuries to save money. However, a number of smart salon owners realized that you can’t market a luxury during a recession. They shifted to a value-driven marketing plan that basically said: “Can’t go on vacation this year? Take a break at my salon.” By doing this, they retain customers and can upsell them when the economy picks up. Many of those same salons carried that plan forward in 2006 and found new and innovative ways to get more people in their beds, so to speak. From “Friday Night Couple’s Tanning Night” to “Tans For Cans”, salons cashed in on some creative promotions. They also used these promotions to service their databases and target a specific buying demographic. So, since tanning is considered a personal lifestyle choice, let’s take a closer look at consumer spending in 2006 and how affected the industry. In July 2006, the market research firm Datamonitor said the American lifestyle was speeding along at a forever quickening pace making the role of personal care products and services in our everyday lives more important than ever. The company found that the two key factors driving the self-indulgence market were a general population with a growing disposable income, and growing levels of everyday stress. Specifically, the report concluded that Americans’ greater income is allowing them to upgrade to premium products and services when they treat themselves, and their rising stress levels are increasing the frequency with which they purchase self-indulgent products and services. The report also stated that the boundaries that once separated premium and mass-market products and services are being redefined, creating a mid-market “affordable-premium” category and a “super-premium” segment. In conclusion, the report forecasted greater growth for the U.S. personal care market than for the general U.S. marketplace. Marketing savvy salon owners should have picked out the following key words: self-indulgence, everyday stress, treat themselves and upgrade to premium products. Isn’t this what the tanning experience is all about? Isn’t that what we’ve been selling for nearly 30 years? Anti-Tanning Coalition Last year brought an increase in proposed tanning legislations and anti-tanning campaigns, and it looks like 2007 will be no different. In fact, salons reported that anti-tanning campaigns affected their 2006 season by 16 percent. This number is up from 10 percent the previous year.
The indoor tanning industry was besieged with anti-tanning propaganda from the media and medical communities. The two biggest issues in 2006 were underage tanning and salon’s making health claims. Add to that the introduction of HR 4767, otherwise known as The Tan Act. The bill was introduced to Congress by Rep. Carolyn Maloney (D-NY) and Rep. Ginny Brown- Waite (R-FL), and pushed to require the FDA to conduct consumer testing to determine the appropriateness of the current labeling requirements for indoor tanning beds. It also would have required FDA to hold public hearings, solicit comments from the public and report to Congress the determinations it makes in the study. The bill died in committee; however, many view the federal proposal as a sign of increased aggression toward indoor tanning. The bill was reintroduced Feb. 8, 2007 by Maloney as HR 945 — The Tanning Accountability and Notification Act of 2007. The Academy of American Dermatology (AAD) and other medical associations also are teaming up with cosmetic and beauty companies to wave the anti-tanning stick in the public’s eye. Just look at Cosmopolitan magazine’s 2006 multimedia anti-tanning crusade. Did you know it was co-sponsored by Neutrogena? The indoor tanning industry has a tough road ahead fighting multimillion-dollar public relations firms touting the so-called evils of tanning. We need to band together as an intelligent unified voice and spread the Good News about moderate, sensible and responsible exposure to sunlight. This is the only way to take the ammunition out of the hands of the anti-tanning coalition. Additionally, the anti-tanning drum is beating earlier and louder each year. The American Academy of Dermatology (AAD) launched a highly calculated anti-tanning consumer campaign Oct. 18, 2006 targeting the indoor tanning industry. The campaign, which targets teenagers, consists of public service advertisements (PSAs) in which teens warn their peers against indoor tanning. This aggressive campaign began national distribution during October 2006, and consists of television, radio and print advertisements. The AAD’s campaign speaks to teens in a language they can understand— instant messaging (IM). Approximately 53 million American computer users exchange IMs, many of whom are teens, and the Academy developed the campaign specifically to target this demographic. Furthermore, the organization is working with Miss Maryland 2006, Brittany Lietz, to help reach its target group—teenage girls. Lietz is a skin-cancer survivor and faults indoor tanning for causing her disease. She won her state pageant with a skin-cancer awareness/ anti-tanning platform. Spread The Good News Tanning critics will continue to beat their drums; however, it can be countered largely by the mounting studies favoring sensible, moderate and responsible exposure to light in a controlled atmosphere.
The ITA and a handful of salon operators are doing their best to fight state tanning legislation, but they need help. Salon owners also can help at the local level. The UV Foundation also is working on some groundbreaking studies that will lend credibility to the benefits of tanning. Additionally, Don Smith and Pat Reykdal work tirelessly to spread the Good News about the benefits of tanning and the role of vitamin D in overall health. Their Good News articles appear in LOOKING FIT and can be downloaded online for salon owners to review. Tanning salon operators need to be ambassadors for our industry now and in the future. Clip out positive articles wherever you see them and post them in your salon’s lobby or in the tanning rooms. Educate your employees about explaining the benefits of responsible tanning properly so as not to overstep the FTC and FDA boundaries. The following statistics were calculated from the overall Top 250 Salons survey responses across the country. Click here to view full-size graphs
Salon operators make the first and most important impression on potential clients. They are walking billboards for the business and reflect the professionalism of the enterprise. If a client isn’t greeted by a knowledgeable and professional operator, even the cleanest facility, greatest equipment and most amazing line of lotions isn’t going to change that first impression. The operator is the gateway to the entire tanning experience. Formed in 1992, The National Tanning Training Institute has trained more than 19,500 indoor tanning professionals. Today’s salon professionals realize the importance of certification and can use it to their advantage. In addition to running a more successful business, training and certification provides them with the tools to educate customers and potential customers about the benefits of achieving a tan in a sensible, moderate and responsible manner. NTTI’s mission is to provide the indoor tanning industry with valuable, affordable and convenient training for tanning salon owners and operators. The mission of education is simple— to improve the professionalism and reputation of the indoor tanning industry. The solution is also simple—for tanning salon operators to promote educational training in all aspects of their businesses. Formal training teaches salon personnel how to recommend proper exposure times for each tanner and it also helps them to understand the technical aspects of indoor tanning. In June 2001, NTTI became the FIRST indoor tanning training program to offer an online option for industry certification and training. For the first time, salon owners and staff had the ability to become certified online, on their own time schedule. The NTTI Online Learning Center makes learning more accessible because it removes the physical boundaries of the classroom, reduces class scheduling restraints and offers easy access to industry training via any online computer. It is especially appealing to those salon operators that, for some reason, cannot attend regional distributor trainings or trade expos. All courses are available online 24/7 at www.tanningtraining.com and provide a complete range of information. This year’s Top 250 Salons surveys reveal that 98 percent of salons have participated in some type of salon certification program. This number is encouraging since only 82 percent of salons participated in certification six years ago. Additionally, 99 percent of salons participated in ongoing education and 99 percent provided customers with educational materials to better understand the tanning process. NTTI is committed to providing the indoor tanning industry with valuable, affordable and convenient training for salon owners and operators. NTTI Course Offerings Basic Tanning Certification
This course provides salon owners and operators with an effective and inexpensive way to earn the crucial certification needed to successfully operate a tanning facility while staying competitive in an evolving industry.
The course covers the most current information regarding UV, skin anatomy and physiology, exposure schedules, photosensitivity, and state and federal regulations, along with numerous other topics related to the technical aspect of indoor tanning. The material is presented in a manner that is practical and comprehensible to salon owners and operators. NTTI’s online Basic Certification is recognized in all states except Oregon, Louisiana, New Hampshire, North Carolina and South Carolina that require in-classroom training. In addition to in-depth coverage of the topics above, the program also includes a training manual, discussion on handling daily operational standards and a final exam. Successful participants in the course are issued a certificate of completion from NTTI. Salon Operation And Procedures
Managing and operating an indoor tanning salon is not a simple task. Although the daily procedures may seem like second nature to the experienced professional, the novice salon operator may find them overwhelming. This program addresses the daily operational procedures salon owners must use and understand. Although some details may vary slightly depending upon location and business goals, the program offers solid, effective guidelines.Sunless Airbrush/HVLP Technician
This course is designed specifically for the airbrush or HVLP technician. Based on research and tests conducted by leading manufacturers of sunless-spray systems, this course takes the technician from setup to application while discussing technique, safety, pricing and more.Introduction To Sunless Tanning
This introductory course covers the basics of sunless tanning. It is designed to help salon employees address customer needs and promote this increasingly popular service.Lotions And Skincare
This course highlights the importance of quality skincare and clears up misconceptions about the most common ingredients found in indoor tanning lotions. The course includes merchandising and display tips, as well as a section on necessities needed to keep a tanning salon one step ahead of the competition.Call (800) 529-1101 or visit www.tanningtraining.com to view all the educational opportunities.
To understand the tanning process of the skin, it is essential that you—the salon owner or operator—understand light and how it works. The influence of light on the development and life-sustaining effects for mankind is not a simple concept. People and animals always have been subjected to various physiological responses due to the effects of sunlight. With the passage of time, researchers are finding that light, whether it be natural or its artificial equivalent, plays a part in many significant physiological and biochemical reactions. To understand the full consequences of light, it is necessary to have an understanding of the electromagnetic spectrum—a spectrum of a continuous range of radiation spreading from cosmic rays, up through the ultraviolet, visible and infrared regions to radio waves. Measuring Light Light is a wave-form energy source measured according to the size of its wavelength. A wavelength is the distance between the crests of two consecutive electromagnetic waves and is measured in nanometers. A nanometer is equal to 0.000001 millimeter, which is onemillionth of a millimeter. The solar radiation reaching the earth is made up of rays of varying wavelengths.Visible Light One portion of the spectrum is visible light, which first was discovered in 1665 by Sir Isaac Newton. At that time, it was thought to be one band of light, but later it was found that it was a combination of many colors. And now, in a rainbow or when a beam of light strikes a prism, it’s apparent that it truly is a combination of many different colors. The multicolored rays spring forth as red, orange, yellow, green, blue and violet. These are known as visible radiation. Visible radiation is that portion of the spectrum between 400 nm and 750 nm.Ultraviolet Light Ultraviolet light is not visible to the human eye. It is defined as that part of the spectrum below 400 nm. The ultraviolet spectrum can be further divided into four bands: UVA, UVB, UVC and UV Vacuum. UVA rays are the longest ultraviolet rays, while UV Vacuum are the shortest. Since different ultraviolet wavelengths produce markedly different physiological and therapeutic effects, these groupings are based on general biological and physical effects of radiation from each region.UVA Light The UVA range abuts visible light and often is referred to as near-UV or “black light.” UVA1 covers the region of 320 nm to 340 nm; UVA2 covers the range of 340 nm to 400 nm in wavelength. UVA light acts primarily to darken melanin pigment granules already present in the skin tissue. In the amount permitted in indoor tanning, it causes little or no perceptible erythema.
Because UVA tans with little or no danger of sunburning, the development of equipment utilizing primarily or exclusively UVA emissions revolutionized the indoor tanning industry. This light accounts for the majority of the UV output of low-pressure equipment and virtually all of the output in high-pressure units. UVB Light UVB is the middle region between 280 nm and 320 nm. It is commonly known as the erythemal UV and is also the band that converts ergosterol in the skin to vitamin D. In addition, ultraviolet light in the UVB range is the light that is predominantly responsible for stimulating increased melanin production. Unfortunately, it is also the range of light that generally causes sunburn, or erythema. For tanning purposes, UVB light is important in stimulating melanogenesis, but its level must be carefully controlled. In most low-pressure indoor tanning lamps, UVB accounts for 2 percent to 3 percent of the total ultraviolet output of the lamp. In high-pressure units, it is usually filtered out altogether due to the high-output level involved. UVC Light UVC radiation constitutes by the wavelengths between 160 nm and 280 nm, and because of its proven effectiveness in killing single-cell organisms is called germicidal UV. The shorter wavelengths produce ozone in air (oxygen).
Solar radiation in the UVC range is absorbed almost entirely by the carbon dioxide and ozone in the atmosphere. That’s just as well, considering that even short exposure to any quantity of UVC is very harmful to the eyes and causes severe sunburn. Generally speaking, the shorter the wavelength, the more potentially dangerous the ultraviolet radiation. One place where radiation in the UVC range can be found is in the arc of a welding torch. For that reason, optical damage caused by UVC light is sometimes referred to as “welder’s eye.” UVA and UVB light can cause similar skin and eye damage, but much higher levels and much longer exposure times are required. Vacuum UV The fourth band encompasses all wavelengths below 160 nm to the X-ray region and is called Vacuum UV because its radiation is readily absorbed by the gasses present in the atmosphere. Therefore, the only place it exists is in a vacuum. It is not produced in tanning equipment.Infrared Light Infrared light is invisible to the human eye. “Near IR ranges 700 nm to 1,000 nm; while IR measures 1,000 nm to 3,000 nm. Infrared light is felt as heat. Most infrared light is absorbed by the atmosphere as well, and there is not much danger to the skin from its rays striking it.Electromagnetic Spectrum Let’s look at spectrum in relation to a person standing outside receiving the full effects of sunlight. In reality, the wavelengths of radiation that bombard the body are essentially those supplied by the sun after its rays have been filtered by the atmosphere. An important part of the atmosphere is the ozone layer which removes a significant portion of the radiation under 290 nm. By removing those wavelengths of radiation, the ozone layer screens the most harmful rays from reaching the earth. This is why there is increasing concern over its depletion in recent years from man-made chemicals.
In consequence, the solar radiation reaching the earth’s surface consists mainly of the following: - Ultraviolet light principally in the range of 280 nm to 400 nm (UVC, UVB, UVA2 and UVA1).
- The visible spectrum in the range of 380 nm to 770 nm.
- The near infrared from about 770 nm to 1,000 nm.
- Wavelengths longer than 1,000 nm which amount to about 20 percent of the solar radiation.
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