Starbucks revolutionized their customers’ understanding of coffee. Instead of simply drinking a cup of coffee and leaving, Starbucks strives to create a culture with exceptional coffee and a community that enjoys the experience. A team of management specialists, called Cue Ball, now strive for a similar vision for their company MiniLuxe, a high-end nail salon trying to create a greater demand for their service.
John Hamel, a partner at Cue Ball, saw an opportunity to revolutionize the immense nail salon industry: with 65,000 salons in the U.S. and $10 billion in annual sales. Several steps were taken in order to differentiate MiniLuxe from any other ordinary nail salon. The first step MiniLuxe took in order to distinguish itself was making sure its hygiene was top notch. This ranged from using disposable tools to utilizing autoclave sterilizers and toxin-free polish. Next, the company made sure to give its 200 employees health insurance, paid time off, and a 401(k), creating a solid relationship between the company and its employees. Since scheduling an appointment is also a problem in the industry, MiniLuxe offers 24/7 online booking along with an online booking mobile app. Like Starbucks, Mr. Hamel is attempting to create a value proposition and build an experience around it.
With their prices at $20 for a manicure and $39 for a pedicure, MiniLuxe is more expensive than the average strip-mall. But coffee drinkers would have once thought it absurd to pay $4 for a cup of coffee. Mr. Hamel and the Cue Ball team hope to further expand without losing sight of its original goals. Learning from the Starbucks model and its mistakes, MiniLuxes will try to focus on execution and the overall experience.