In your industry analysis, you need to provide an overview of the nail salon business.
While this may seem unnecessary, it serves multiple purposes.
First, researching the nail salon industry educates you. It helps you understand the market in which you are operating.
Secondly, market research can improve your strategy particularly if your research identifies market trends. For example, if there was a trend towards a new type of hair or nail service, it would be helpful to ensure your plan included offering such services.
The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the nail salon industry research and presenting it in your plan, you achieve just that.
The following questions should be answered in the industry analysis section of your nail salon business plan:
- How big is the nail salon business (in dollars)?
- Is the market declining or increasing?
- Who are the key competitors in the market?
- Who are the key suppliers in the market?
- What trends are affecting the industry?
- What is the industry’s growth forecast over the next 5 – 10 years?
- What is the relevant market size? That is, how big is the potential market for your nail salon. You can extrapolate such as figure by assessing the size of the market in the entire country and then applying that figure to your local population.