After personally experiencing this barber shop, I discovered the secret of its annual revenue exceeding 1 billion

I believe everyone knows the barber shop Youjian, which has a very strong Internet thinking and has done a good job in user experience and membership services. This article takes Youjian as an example to explore in depth how this company uses Internet thinking to operate. Let's learn and draw lessons from its success.

Not long ago, an industry leader recommended that I research the brand "Youjian", saying that this hairdressing company's Internet thinking is very powerful, especially its digitalization, user experience and membership services.

I was immediately interested and took some time to experience the service of Youjian. In the end, I came to the conclusion that Youjian is the Luckin Coffee of the hairdressing industry. The company was founded only 8 years ago, but it has opened 1,500 stores across the country, with an annual revenue of more than 1 billion and 8 million paying members.

This made me think deeply. Why is an ordinary barber shop so powerful? Another key data is that the frequency of consumption of Youjian members can reach 8.5 times a year. It is far higher than the average. Why are users willing to patronize so frequently? This is the question we will focus on today.

Based on my own experience and thinking, I will lead you to explore this company in depth and learn and draw lessons from its success.

1. What pain points does the “Excellent Cut” haircut solve?

Let’s first talk about what are the pain points of “haircut”?

So for me:

• First, I don’t like the forced sales and card application during haircuts;
• Second, I don’t like to wait in line for too long in stores;
• Third, I don’t like spending a lot of time communicating with the hairstylist every time I get my hair cut, and sometimes the communication is unclear.

Of course, there are other issues related to service and experience, such as poor barber skills, an opaque pricing system, and whether the prices are reasonable.

Combining my experience of having a haircut at Youjian this time, the whole process was very smooth and satisfactory.

1. The first step is to make an appointment online

I first make an appointment in the Youjian WeChat applet, which will show you the store closest to you based on your location, and then you can choose a barber (you can check ratings and reviews).

The entire reservation process was very internet-based, just like ordering on the Luckin Coffee app, very smooth. There was a small incident in the middle, my reservation number was out of date, and they called me to ask why, which made me feel very warm.

Of course, the main advantage of making an appointment is that you can avoid queuing in the store and arrange your time yourself.

2. Go to the store for a haircut

After I entered the store, someone greeted me with a smile and asked me if I wanted some tea and helped me find the barber I had made an appointment with. On the way there, they called me to confirm whether I had arrived at the store, and after I arrived at the store, they greeted me with a smile and provided service. After I entered the store, I felt the decoration and music inside the store, which made me feel very comfortable and stress-free.

Among hair salons of similar price, its service, experience and price are still very cost-effective. The whole store is not big, only 30 square meters, with simple decoration style, clean environment, and it is quite comfortable. The hairdresser will chat with me briefly, ask about my haircut needs, the nature of my work, the frequency of haircuts, etc. During the formal haircut process, the barber will not take the initiative to chat, which is true to the slogan "pure craftsmanship, only haircuts". I found some topics to talk to him, and the barber was also very talkative.

One detail is that I saw a special disinfection cabinet in front of me, where combs, scissors and other hairdressing tools are disinfected. This feels more professional and safer than community barbershops. The biggest highlight is that after cutting my hair, the barber will ask for my opinion and whether I am willing to save the hairstyle in my "hairstyle record". It is also explained that this record is private and can only be seen by the hairdresser you have made an appointment with, and it cannot be seen after the end.

This has an advantage. No matter which shop I go to for a haircut, the hairstylist can cut my hair according to the picture, which saves me the cost of communicating with the barber.

3. Checkout

I noticed that there was no cashier at the site. After the haircut, the customer went directly to the mini program to pay. He didn't recommend me to become a member at the site. I saw the paid member myself and asked him what discounts he had. He enthusiastically explained to me that the paid membership of Youjian only cost 19.9 yuan, and one of the membership benefits was a 10 yuan discount coupon, which I could use on the spot. So in fact, I became a member for 9.9 yuan.

In the future, you can enjoy 15% off on haircuts, which means you can save about 8 yuan each time. In fact, you can earn back the membership fee very quickly. In addition, there are online mall discounts, membership points and other benefits. You can redeem some supplies, birthday haircut coupons (30% off), and finally a privileged experience card. You can share the VIP qualification with 3 friends (except for the 10 yuan discount).

This fission method is very similar to Huazhu’s gold membership privileges, so it is very cost-effective to apply for a VIP membership.

2. Innovation of “Excellent Cut”

So where is the innovation of Youjian? It accurately solves some of the pain points of customers and standardizes the management process as much as possible.

1. O2O model

It completely uses the online Internet or O2O method to solve the entire reservation, payment, queuing and evaluation. What are the benefits of this method? First of all, it screens customers with online consumption habits. In addition, barbers do not need to go to the cashier, and payment can only be collected online, so the operation and management efficiency of the entire store will be improved. It also brings convenience to their franchise model and management. Hairdressers do not need to promote card applications, they only need to improve their skills, cut more hair, and win good reviews.

2. Standardized processes

From the time a customer makes an appointment online to the time they enter the store, the hairdresser greets them with a smile, pours water, communicates their needs, and puts on bangs stickers and scarf paper, a series of processes can be standardized to keep the customer experience as consistent as possible.

3. Record of hairstyle

Although this is just a small innovation, hair style communication is a pain point for customers. Each communication takes time. When the hairstyle that customers are satisfied with is stored in the customer profile, it not only obtains customer preference information, but also makes it easier for customers to get the same hairstyle in different stores, reducing the communication time with hairstylists and improving efficiency.

4. Membership Model

In the past, members of the hairdressing industry were all recharge members. In recent years, the reputation of hairdressing has been bad, many of them have run away, and customers are afraid. However, Youjian has 1,500 chain stores across the country, and it has introduced an open, transparent, low-threshold membership payment mechanism into this traditional industry, which is also a great innovation.

The biggest purpose of membership is to lock in customers. Spending 9.9 yuan can achieve this goal, and the account is easy to calculate, so customers can see at a glance that they will not suffer a loss. Membership benefits include 15% discount, birthday coupons, inviting friends to experience, etc., forming a way of communication and fission among users. This method encourages users to become loyal members, accumulates user data and assets, and facilitates the national expansion of the brand.

Of course, its innovations include the above points, and there are many more. Digital store management is its great advantage. In terms of human resources, it pays five insurances and one housing fund for hairdressers, which is also a rare innovation in the industry. At present, it has also launched ladder business products such as orange styling, and extended products such as shampoo and hair mud. From service to retail, this may also be its development trend.

3. Final Thoughts

Hairdressing is a very traditional industry. We have seen Youjian create a new model after using Internet thinking to transform it. And from the data, 1,500 stores, 8 million paying members, and annual revenue of over 1 billion are a miracle. But the core of its success is also very clear. It has clearly declared war on the industry's ills and only cuts hair, not promotes sales. From the beginning, it has connected online and offline through digitalization, and achieved standardization and scale through digital management.

Always emphasize user experience, smiling reception, pouring water service, and cordial communication. Then lock in user loyalty through super membership. In terms of O2O business model, user experience and membership service, Youjian has performed well in the hairdressing industry. This shows that for a company to succeed, the most important thing is to meet user needs and provide innovative solutions to encourage users to continue to consume.

The success of Youjian is the best example. Of course, the success of an enterprise is no longer a single-dimensional success, but a systemic success. It requires the cooperation of models, products, services, users, and experience. At present, we can also see that enterprises are paying more and more attention to the operation of members. Various successful cases have also proved that only by locking in high-value users (super users) in the enterprise can the stable growth of the enterprise be guaranteed.

Author: Yan Tao WeChat public account: Yan Tao Sanshou