Madison Reed builds on successful omni-channel approach

By Cassandra Stern & Simon Pitman

- Last updated on GMT

© cagkansayin / Getty Images
© cagkansayin / Getty Images

Related tags omnichannel Consumer trends retail Hair care

Direct-to-consumer beauty players ruled the waves during the COVID-19 Pandemic, but as consumers flocked back to physical stores after lockdown many players in this category found themselves racing to realign their retail strategies.

Amy Errett, CEO and Founder of direct-to-consumer haircare player Madison Reed, opens up about how the company’s approach to omnichannel retailing has proved to be pivotal to its ongoing success.

The hair color specialist benefitted significantly when consumers switched to home color as many hair salon doors were shuttered during the Pandemic, but the business always had a diversified retail model to fall back on, allowing its customers to embrace professional hair coloring services at home or in the salon.

Hair color solutions for all budgets

Now, with the cost of living crisis biting hard, many consumers have adopted a more mixed approach to hair color, using a combination of home color and professional color services to make their household spend go further. And thanks to its mixed retail approach the business has once again well positioned to meet these needs.

“Our business is truly omnichannel – we have a thriving DTC business, 87+ owned and operated Hair Color Bars across the country and a thriving wholesale business at Ulta Beauty, Amazon and select Ulta Beauty at Target, Target and Walmart locations,”​ said Errett.

The fact that consumers turned to home hair color solutions during the Pandemic also underscored how consumers will not go without coloring their hair, a factor that has been hugely beneficial to a business like Madison Reed.

Consumers will not give up on hair color

“One thing we learned during the pandemic and beyond is that women are always going to prioritize coloring their hair,”​ said Errett.

“We know that our guests are modern women who value convenience, flexibility and results and want to color their hair on their own terms, without sacrificing results or quality of ingredients, which is core to our mission.”

Explaining in more detail about the business model, Errett underscores how Madison Reed can meet its customers at every step in their hair color journey, whatever the trajectory might be.

“For those who want to have their color applied by a licensed professional, come visit one of our 87+ Hair Color Bars nationwide,” ​said Errett.

“If you prefer to color on your own schedule, use that same salon-quality color from the comfort of your own home.  The beauty in our model is we are everywhere you need us. Madison Reed’s Hair Color Bar presence has grown seven-fold since 2020, with 87 Hair Color Bars in the U.S and over 250,000 appointments in H1 2023 alone.”

Convenience, affordability and results

Errett also explains about how the company’s philosophy has been built around providing high-quality hair color that is convenient, affordable and made with formulations that its customers can feel good about. This means that the company does not use ammonia, resorcinol or PPD, and chooses to enrich with conditioning and strengthening ingredients like argan oil and ginseng root extract.

“We know that our guests want to achieve consistent and excellent results regardless of where they are – in their hometown, traveling for work, or on vacation – and being a Madison Reed client means access to a network of Madison Reed Hair Color Bars across the country and convenient booking through our mobile app,”​ Errett said.

This approach has helped cultivate a loyal consumer base, because consumers can rely on the key elements of high quality, convenience and results, but that loyalty is not something the business takes for granted.

“To show our appreciation, we recently expanded our series of membership and rewards programs, making it more convenient and affordable for customers to get gorgeous hair color, at home or at one of our Hair Color Bars nationwide,”​ said Errett.

“What’s also unique is how we treat our colorists. Historically stylists have not been set up for financial success. To change this trajectory and uplift the industry, I pay my colorists up to three times more than the industry average, plus 100% of healthcare benefits and opportunities for career growth within the company.” 

Moving forward, Errett believes the company’s model is working because of its mixed approach strategy - and will continue to do so for the same reasons.

“We will continue to grow our omni channel presence…the future is bright for Madison Reed.”

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