I just read an NBC article online reporting that natural nails are becoming increasingly popular, while artificial enhancements are being requested by fewer and fewer clients. If the trend continues, the nail salon industry will have to do some creative thinking to keep their profits up.

With an increasing focus on greener products, a penny-saving economy, and a new fashion for natural nails, salons may see their revenues go down. According to the NBC report, analysts projected a 6% decrease in nail salon revenues for 2006, and this in turn may cause salons to lower prices until the profit margin is all but nonexistent.

The article states that 41% of an average salon’s profits come from natural nails, so the decreasing demand for these services will have a damaging effect on how much money salons and techs can make.

But there is hope. Quy “Charlie” Ton — owner of Regal Nails, Alfalfa Nail Supply, and T4 Spa — says that the answer may lie in going with the trend, and seeing if you could charge more for natural services by using organic, high-quality products.

It will be interesting to see what the next evolution of nail salon services will be. What do you think they will be? Or are you offering interesting natural nail services that bring in the kind of money enhancement services do? Leave a comment in Feedback.

— Tim