Taking away the pain of hair removal
Hair removal may be fashionable but it scares many because of the fear of pain. But the world is moving on, especially in body care, and there is now an alternative that can take that fear away. A franchise to take away the strain of thinking up a business from scratch and which takes away the pain of achieving beauty.
DepilConcept is a Portuguese brand created in 2007, to make permanent hair removal and phototherapy treatments available to everyone, as well as to provide personalized treatment programs at a smart cost. DepilConcept uses Diode Laser and IPL technologies for permanent body and face hair removal. The IPL technology also allows for body and face photo therapies, such as thread veins, blemishes, acne, wrinkles, sagging and rosacea. Besides the variety of treatments, DepilConcept positions itself as the only provider of Laser Hair Removal which provides a Guarantee Certificate for its clients, giving assurance of high quality and efficiency of its services. Since 2017 DepilConcept has introduced its own cosmetics brand, Concept+, that ensures a higher quality of provided services.
Strategy for development
Franchise Development Manager Kamil Miciałkiewicz says that “the international strategy for developing the DepilConcept network is to increase the freedom of comfort with safe and painless treatment of permanent hair removal in locations with over 40,000 inhabitants.”. He observes that these treatments are becoming one of the “basics in maintaining hygiene” therefore the brand is witnessing “a rise in the number of both male and female clients.” Each franchised salon is given territorial exclusivity in a given location.
Miciałkiewicz emphasizes that DepilConcept is concentrating its efforts on developing their franchisee entrepreneurs in an “investment model”. This, he explains, means that “we make estimates as regards future locations for our partner at the time of the opening of the first salon which means that we are setting out a clear business path for our owners with a forecast of the level of profitability. This, he says, means that new franchisees are able in one year to open 2-3 prospering salons. Asked about plans for 2023 Miciałkiewicz reports that it is to reach 85 salons in Poland. Currently the brand has 73 and it has opened 6 new salons in the first quarter of the year.
He feels that the brand has a number of features that make it stand out on the market. First of all size; it is the biggest network for permanent hair removal in Poland with 12 years experience in Poland and 16 in Portugal. The brand already has a 2% market share of the rapidly growing beauty market in Poland and employs over 300 staff, including franchisees, managers and beauticians. Additional stability is also inherent in the fact that the business is not seasonal as the treatments can be delivered all year round. Since the business actually increased its turnover during the pandemic and in 2022 inflation and the war in Ukraine it achieved its record takings show how resilient it really is. And its not over-dependent on location as it secures its clients via the internet and through recommendations rather than depending on “off the street” traffic.
Second, it is part of an international cosmetics chain which started in Portugal and is now represented in Brazil, Serbia, Czechia, Slovakia, Ireland, the UK and the Netherlands. The business has enjoyed stable growth in sales. More than 50% of the brand’s network Franchisees are already on their second term of contracting with the first converting into a fast return on investment and providing stability.
Tried and tested
The offer for potential franchisees, he argues, is comprehensive. It includes “complex support with the opening of the salon in terms of operation, procedures, service standards and the actual treatments.” It also includes comprehensive marketing support online and in the media. Management support is also offered in the shape of a monthly business analysis oriented towards increasing profitability of the business, tips on making improvements to increase effectiveness and regular training and meetings.But “all franchisees manage their own business and have to keep their own accounts, deal with tax and social security, employ staff and meet the costs of the salon.” Each franchisee has a mentor assigned by the franchise. That know-how, says Miciałkiewicz enables two devices in the salons to generate an income of close to 75,000 Euros.
Obviously franchisees are most interested in the bottom line, admits Miciałkiewicz. The track record of salons suggests that they can make up to 5,000 Euro profit per month with a turnover of 15,000+ Euros. They are also interested in the costs of operation and the investment outlay and fee structure, “especially whether we insist on a percentage share of the profits or of turnover, which we don’t”. “They also ask whether we assist with manager and beautician recruitment, which we of course do. “ The fact that the beauty market is such a booming one and that DepilConcept already has a sizable share of it also attracts their attention, " he argues. Some of the potential franchisees are investors looking for a safe business that will enable them to diversify and have another source of income.
Asked about DepilConcept’s vision of who should be the candidates to take up their franchise Miciałkiewicz believes that “commitment” is key, regardless whether the franchisee is to be a salon manager, owner or investor. “It is the level of engagement which seems to be an indicator of success rather than the size of city or location within it”. They do not need the franchisee to have experience in this particular line of business as “we provide comprehensive training for partners and employees alike, but we do demand participation in training and meetings. It really does not matter what the previous professional experience was, whether it was in a corporation or if it’s a Mum returning to work or if this is to be the first business experience to date. What matters is openness, the ability to communicate and for the franchisee to trust us” he sums up.
Over 170 salons in Portugal, Poland, Brasil, Serbia, Ireland,UK, Czech Republic and Slovakia.
Support for franchisees
Certified technical, commercial and management initial training
Periodic operational follow-up
Periodic visits to Master Franchisee premises
Annual brand convention
Constant telephone and email support
Up to 50,000 EUR initial investment
60-100 square meters space with nearby parking, preferably close to other services such as banks or post offices
10 years contract duration
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