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Hairdressing and Barber Franchises in Australia - Market Research Report (2014-2029)

Jayson Cooke Jayson Cooke Melbourne, Australia Last Updated: August 2024 ANZSIC OD4114

Revenue

$559.6m

2024-25

$563.5m

Past 5-Year Growth

Profit

$XX.Xm

Employees

2,901

Businesses

31

Wages

$XXX.Xm

Hairdressing and Barber Franchises in Australia industry analysis

Hairdressing and barber franchises have navigated significant challenges over the past five years. COVID-19 pandemic-induced restrictions caused significant disruptions, straining the industry’s performance. Subsequent falls in household discretionary incomes and an influx of DIY haircare tutorials, supported by social media, have hampered industry revenue recoveries. However, franchises’ offering of hair colouring services and the growing demand for barbers among men have supported revenue in recent years. Social hair trends drive industry sales, and the challenge of replicating these trends at home has propped up demand for industry services. Industry revenue is expected to have dropped at an annualised 1.3% over the five years through 2023-24, to $559.6 million. This includes an anticipated nosedive of 6.1% in 2023-24.

Trends and Insights

  • Economic uncertainty and falls in discretionary incomes have impaired the industry’s post-COVID recovery. Hair colouring services’ and barber shops’ resilience has mitigated tough market conditions.
  • Hair colouring and tinting services have seen a jump in demand, thanks to social media trends and advancements in hair colouring technology. The daunting complexity of at-home colouring and franchises’ use of less damaging products have bolstered rising demand.
  • Many hairdressing and barber franchises are based along Australia's eastern shore in New South Wales, Victoria and Queensland. This trend aligns with these areas’ population density and distribution.
  • Many hairdressing salons are privately operated. These businesses tend to have robust reputations built up by word-of-mouth, which encourage clients’ patronage.

Access hundreds of analysis and data

  • Market estimates from 2014-2029
  • Critical performance data and rankings
  • Detailed analysis of competitive forces and the external environment
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has declined at a CAGR of 1.3 % over the past five years, to reach an estimated $559.6m in 2024.

Trends and Insights

DIY haircare backed by social media tutorials and economic uncertainty has harmed industry revenue

  • Economic uncertainty has stifled industry demand. Consumer sentiment levels have fluctuated wildly, and have fallen over the past five years.
  • Additional trends and insights available with purchase
Hairdressing and Barber Franchises in Australia
Revenue (2014-2029)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Franchises will continue to face stiff competition from independent salons that offer tailored experiences

  • Franchises will be challenged to differentiate their brands in a crowded, increasingly saturated market. Independent salons can tailor their image and offerings to local tastes. For example, an independent salon in an upscale neighbourhood could focus on luxury services, whereas franchises, which are bound to a standard service catalogue, have limited ability to tailor their services.

Biggest companies in the Hairdressing and Barber Franchises in Australia

Company
Market Share (%)
2024
Revenue ($m)
2024
Just Cuts
200.0
Hairhouse Warehouse
175.8
Price Attack
57.5

To view the market share and analysis for all 6 top companies in this industry, view purchase options.

Products & Services Segmentation

Hairdressing and Barber Franchises in Australia
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Hair colouring and tinting services, Haircuts and Other hair-care services. Hair colouring and tinting services is the largest segment of the Hairdressing and Barber Franchises in Australia.

Trends and Insights

Hairhouse Warehouse and Price Attack drive hair product sales

  • Hairhouse Warehouse and Price Attack are two industry giants. Since these franchises mainly operate as retail outlets but also offer hair-salon services, the hair products segment’s revenue share is inflated.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

The industry encompasses franchised establishments that primarily offer hair-care services. This includes salons and barber shops that provide haircutting, hair colouring, hair styling and other hair treatments. Revenue generated from haircare product retailing is also included in the industry.

What's included in this industry?

Hair productsHair colouring and tinting servicesHaircutsHair stylingHair washingBlow waves servicesHair treatment servicesHair extension services

Companies

Just CutsHairhouse WarehousePrice Attack

Purchase this report to view all 6 major companies in this industry.

Related Terms

BALAYAGEFADEDIY HAIRCARE PRODUCTS

Industry Code

ANZSIC 2006

ANZSIC 9511 - Hairdressing and Barber Franchises in Australia

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Economic uncertainty and falls in discretionary incomes have impaired the industry’s post-COVID recovery. Hair colouring services’ and barber shops’ resilience has mitigated ...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Hair colouring and tinting services have seen a jump in demand, thanks to social media trends and advancements in hair colouring technology. The daunting complexity of at-hom...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Many hairdressing and barber franchises are based along Australia's eastern shore in New South Wales, Victoria and Queensland. This trend aligns with these areas’ population ...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Many hairdressing salons are privately operated. These businesses tend to have robust reputations built up by word-of-mouth, which encourage clients’ patronage.

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Hairhouse rebranded with leadership changes in 2018, and has focused on providing service-oriented customer experiences as well as its retail offerings. Hairhouse has enhance...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of Just Cuts's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Hairhouse Warehouse's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Price Attack's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for 3 additional companies

Detailed analysis

  • Description and key data for Just Cuts, and factors influencing its performance in the industry
  • Description and key data for Hairhouse Warehouse, and factors influencing its performance in the industry
  • Description and key data for Price Attack, and factors influencing its performance in the industry
  • Description, key data and performance trends for 3 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Australia's stringent Work Health and Safety Act 2011 has equipped hairdressing and barber franchises with guidelines for maintaining clean, infection-free environments. As t...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Industry profitability has risen due to a strategic shift towards hair products and colouring services with high profit margins. This focus has helped franchises overcome com...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Hairdressing and Barber Franchises industry in Australia in 2024?

The market size of the Hairdressing and Barber Franchises industry in Australia is $559.6m in 2024.

How many businesses are there in the Hairdressing and Barber Franchises in Australia industry in 2024?

There are 31 businesses in the Hairdressing and Barber Franchises industry in Australia, which has declined at a CAGR of 1.2 % between 2019 and 2024.

Has the Hairdressing and Barber Franchises industry in Australia grown or declined over the past 5 years?

The market size of the Hairdressing and Barber Franchises industry in Australia has been declining at a CAGR of 1.3 % between 2019 and 2024.

What is the forecast growth of the Hairdressing and Barber Franchises industry in Australia over the next 5 years?

Over the next five years, the Hairdressing and Barber Franchises industry in Australia is expected to grow.

What are the biggest companies in the Hairdressing and Barber Franchises market in Australia?

The biggest companies operating in the Hairdressing and Barber Franchises market in Australia are Just Cuts, Hairhouse Warehouse and Price Attack

What does the Hairdressing and Barber Franchises in Australia include?

Hair products and Hair colouring and tinting services are part of the Hairdressing and Barber Franchises industry.

Which companies have the highest market share in the Hairdressing and Barber Franchises in Australia?

The company holding the most market share in Australia is Just Cuts.

How competitive is the Hairdressing and Barber Franchises industry in Australia?

The level of competition is high and increasing in the Hairdressing and Barber Franchises industry in Australia.

Related Industries

Widen your competitive advantage with related industries

Competitors

  • Department Stores in Australia
  • Hairdressing and Beauty Services in Australia
  • Hotels and Resorts in Australia

Complementors

  • Specialist Medical Services in Australia

International industries

  • Hair Salons in the US
  • Hair & Nail Salons in Canada
  • Hairdressing and Beauty Services in New Zealand
  • Hairdressing & Beauty Treatment in the UK
  • Friseur- und Kosmetiksalons

View all industries in Australia

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Australia include:

  • Australian Bureau of Statistics
  • Australian Taxation Office
  • Australian Securities & Investments Commission

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.