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Hairdressing and Beauty Services in New Zealand - Market Research Report (2015-2030)

Kathrina Gonzales Kathrina Gonzales Melbourne, Australia Last Updated: July 2025 ANZSIC S9511NZ

Revenue

$1.6bn

2025-26

$1.6bn

Past 5-Year Growth

Profit

$XXX.Xm

Employees

13,351

Businesses

6,147

Wages

$XXX.Xm

Hairdressing and Beauty Services in New Zealand industry analysis

The Hairdressing and Beauty Services industry is navigating a significant transition period shaped by shifting consumer behaviour and evolving market dynamics. Over the past five years, declining discretionary income has led to a reduced frequency of salon visits, lower rebooking rates and increased appointment cancellations, eroding revenue stability and staff productivity. Over this period, industry revenue is expected to contract at an annualised rate of 0.3% through 2025-26, reaching $1.6 billion, with a further slight decline of 0.1% anticipated in 2025-26. Profitability has also come under pressure as heightened competition, rising operational expenses and increased price sensitivity among clients have compressed margins. Salons have responded with value-driven promotions, digital booking systems and targeted marketing to retain clients and mitigate volatility. Despite these challenges, growth in the core female demographic aged between 15 and 45 has provided a resilient customer base, supporting demand for essential grooming and advanced treatments. Rising health and appearance consciousness is fuelling the premium segment, with consumers seeking science-backed, sustainable products and holistic experiences. The industry is also experiencing structural change as flexible work arrangements like rent-a-chair models and independent contracting intensify competition and lower operating costs. Salons are increasingly investing in upskilling, technology and innovation to differentiate their services. While barbershops are enjoying a resurgence, evolving into community hubs and expanding the scope of male grooming.
The industry outlook is optimistic, underpinned by projected growth in discretionary income, easing inflation and steady wage gains. As consumers feel more financially secure, they're poised to increase the frequency of salon visits, opt for premium services and experiment with new beauty treatments, driving up average transaction values and supporting revenue stability. Salon chains are set to strengthen their leadership in the low- and mid-price segments by leveraging operational efficiencies, expanding their footprint and investing in digital platforms and customer experience. Sustainability will become a core competitive differentiator, with salons adopting organic and eco-friendly products to attract environmentally conscious clients and unlock new marketing channels. Meanwhile, the barbershop services segment will continue to rise, propelled by modern male grooming trends, multicultural influences and a strong focus on community and wellbeing. Salons that embrace innovation, personalisation and sustainability will be best positioned to capture growth opportunities and adapt to evolving consumer expectations, ensuring long-term resilience and relevance in a dynamic market. Overall, industry revenue is forecast to grow at an annualised 2.1% over the five years through 2030-31 to $1.8 billion.

Trends and Insights

  • Declining discretionary income is prompting clients to delay or cancel salon visits, reducing average appointment frequency and rebooking rates. In response, salons are adopting promotions, automation and targeted marketing to retain clients and revenue during periods of cautious consumer spending.
  • Steady demand for grooming, rising appearance consciousness and a growing female demographic support the growth of the hairdressing services segment. Expanding specialised services and bundling with beauty offerings boost loyalty, frequent visits and overall revenue in the industry's largest segment.
  • Salons in busy commercial areas gain increased visibility from high foot traffic, attracting more potential clients. This consistent customer flow fosters strong client loyalty, essential for sustaining long-term business growth and profitability.
  • The industry is highly competitive, with salons vying for customers through price, service quality and range of offerings. Customer loyalty and repeat visits are vital and salons offering unique or premium services can charge higher prices and improve profitability.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has declined at a CAGR of 0.3 % over the past five years, to reach an estimated $1.6bn in 2025.

Trends and Insights

Declining discretionary income has reduced the frequency of salon visits and bookings

  • Discretionary income has declined over the five years through 2025-26, prompting consumers to cut back on non-essential spending, like hairdressing and beauty services. This trend is evident across the industry, with clients prioritising necessities and delaying or skipping appointments for treatments like nail care, skincare and hair removal.
  • Additional trends and insights available with purchase
Hairdressing and Beauty Services in New Zealand
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

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

Trends and Insights

Discretionary income growth will unlock higher salon spending

  • Discretionary income is set to rise over the next five years, giving consumers more flexibility for non-essential purchases. The Reserve Bank of New Zealand (Te Pūtea Matua) projects that easing inflation and steady wage growth will further support household spending through 2026, likely boosting overall industry revenue.

Biggest companies in the Hairdressing and Beauty Services in New Zealand

Company
Market Share (%)
2026
Revenue ($m)
2026
Vivo Salons
66.0
Rodney Wayne Limited
49.5
Barber Shop Company
33.0

To view the market share and analysis for all 4 top companies in this industry, view purchase options.

Products & Services Segmentation

Hairdressing and Beauty Services in New Zealand
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Hairdressing services, Nail care services and Skincare services. Hairdressing services is the largest segment of the Hairdressing and Beauty Services in New Zealand.

Trends and Insights

Hairdressing services expand as core offerings adapt to changing client needs and preferences

  • Hairdressing services, including haircutting, styling and colouring, remain the largest revenue segment because of consistent consumer demand for essential grooming and self-expression. This segment benefits from frequent repeat visits and ongoing client loyalty.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Industry providers mainly offer hairdressing or beauty services, like nail care, facials or make-up applications.

What's included in this industry?

Products and services covered in the Hairdressing and Beauty Services industry in New Zealand include Hairdressing services, Nail care services, Skincare services, Hair removal services, Barber shop services, Tanning services, Make-up services and Hair restoration services (excluding hair transplant services).

Companies

Companies covered in the Hairdressing and Beauty Services industry in New Zealand include Vivo Salons, Rodney Wayne Limited and Barber Shop Company.

Purchase this report to view all 4 major companies in this industry.

Related Terms

Related terms covered in the Hairdressing and Beauty Services industry in New Zealand include laser hair removal , premiumisation , rent-a-chair and skinimalism .

Industry Code

ANZSIC 2006

ANZSIC 9511 - Hairdressing and Beauty Services in New Zealand

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

Declining discretionary income is prompting clients to delay or cancel salon visits, reducing average appointment frequency and rebooking rates. In response, salons are adopt...

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 (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • 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

Steady demand for grooming, rising appearance consciousness and a growing female demographic support the growth of the hairdressing services segment. Expanding specialised se...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025

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

Salons in busy commercial areas gain increased visibility from high foot traffic, attracting more potential clients. This consistent customer flow fosters strong client loyal...

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 2025

Tables

  • Number and share of establishments in each region in 2025
  • Number and share of revenue each region accounts for in 2025
  • Number and share of wages each region accounts for in 2025
  • Number and share of employees in each region in 2025

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

The industry is highly competitive, with salons vying for customers through price, service quality and range of offerings. Customer loyalty and repeat visits are vital and sa...

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 2020-2025
  • 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

The industry is highly fragmented, with most businesses operating as small, independent salons rather than large chains. This structure makes it challenging for individual ow...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Vivo Salons's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Rodney Wayne Limited's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Barber Shop Company's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of revenue, market share and profit margin trend for one additional company

Detailed analysis

  • Description and key data for Vivo Salons, and factors influencing its performance in the industry
  • Description and key data for Rodney Wayne Limited, and factors influencing its performance in the industry
  • Description and key data for Barber Shop Company, and factors influencing its performance in the industry
  • Description, key data and performance trends for one additional company

External Environment

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

Analyst insights

Formal qualifications aren’t legally required for hairdressers or beauty therapists, but apprenticeships and certificates are widely pursued to improve skills and job prospect...

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 (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

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

Rising purchase, rent and utility costs, fewer client visits and lower rebooking rates erode profitability for most mid-market salons. Even premium services can’t fully offse...

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 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

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 (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

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

What is the market size of the Hairdressing and Beauty Services industry in New Zealand in 2025?

The market size of the Hairdressing and Beauty Services industry in New Zealand is $1.6bn in 2025.

How many businesses are there in the Hairdressing and Beauty Services industry in New Zealand in 2025?

There are 6,147 businesses in the Hairdressing and Beauty Services industry in New Zealand, which has grown at a CAGR of 3.0 % between 2020 and 2025.

How may import tariffs affect the Hairdressing and Beauty Services industry in New Zealand?

The Hairdressing and Beauty Services industry in New Zealand is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.

How may export tariffs affect the Hairdressing and Beauty Services industry in New Zealand?

The Hairdressing and Beauty Services industry in New Zealand is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.

Has the Hairdressing and Beauty Services industry in New Zealand grown or declined over the past 5 years?

The market size of the Hairdressing and Beauty Services industry in New Zealand has been declining at a CAGR of 0.3 % between 2020 and 2025.

What is the forecast growth of the Hairdressing and Beauty Services industry in New Zealand over the next 5 years?

Over the next five years, the Hairdressing and Beauty Services industry in New Zealand is expected to grow.

What are the biggest companies in the Hairdressing and Beauty Services industry in New Zealand?

The biggest companies operating in the Hairdressing and Beauty Services industry in New Zealand are Vivo Salons, Rodney Wayne Limited and Barber Shop Company

What does the Hairdressing and Beauty Services industry in New Zealand include?

Hairdressing services and Nail care services are part of the Hairdressing and Beauty Services industry in New Zealand.

Which companies have the highest market share in the Hairdressing and Beauty Services industry in New Zealand?

The company holding the most market share in the Hairdressing and Beauty Services industry in New Zealand is Vivo Salons.

How competitive is the Hairdressing and Beauty Services industry in New Zealand?

The level of competition is high and increasing in the Hairdressing and Beauty Services industry in New Zealand.

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 New Zealand include:

  • Statistics New Zealand
  • New Zealand Company Register
  • Ministry of Business, Innovation & Employment

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.

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