Since 2015, the New York-based franchise has been revolutionizing the skincare industry through personalized facials and top-of-the-line products at an affordable price.
In the seven years since Heyday’s inception, the skincare brand that focuses solely on facials has made impressive strides to upset an otherwise stagnant industry, providing tailored regimes for each client’s unique skincare needs. With the rise of social media and accessibility to see the newest trends in skincare, Heyday has found tremendous success in its customized approach, making its path to growth stronger than ever.
The New York-based franchise currently has 10 corporate-owned locations in New York, Philadelphia, and Los Angeles, and three franchisee-owned location in Bethesda, Maryland, Alexandria, Virginia, and Atlanta. Now, the brand is preparing for rapid expansion in markets across the country, with plans to open 300 shops by 2026. The road to success has been paved, and there has never been a better time to become a part of this emerging brand.
“Heyday is changing the way people think about skincare, and the demand and growth we’re seeing is incredible,” said Arielle Mortimer, Heyday chief operating officer. “People are eager for high-quality, personalized skincare services that, unlike traditional day spas, are more accessible and affordable. We have ambitious growth goals, but I’m confident we can meet them.”
Savvy franchise candidates across the country are recognizing the value that Heyday holds within the $7 billion skincare service industry and are eager to join the brand as it serves a growing number of clients across the country. Here are just a few reasons why.
1. The skincare industry is booming as consumers prioritize wellness.
In the COVID-19 landscape, more people are prioritizing their health and wellness than ever before. As an increasing number of people are choosing to stay in more often and make time for skincare routines in the evening, data from market research firm The NPD Group showed that more U.S. women are using skincare products compared to pre-pandemic times. In fact, roughly 40% of skincare users reported using products more often than compared to 2019.
A growing number of consumers are open to trying new products and are prioritizing ways to keep their skin clean, hydrated, and youthful, making this the perfect time for Heyday to enter any market. Offering personalized services and an array of top-of-the-line products, Heyday is on a mission to help clients change their skincare routines for the better.
It’s clear that any consumer can walk into a major beauty retailer and pick from a variety of products, but that same consumer may be left with lingering questions about quality, safety, and whether or not it’s suited for their own personal skincare needs. With Heyday, the products, professionals, and processes are all trusted, and every facial is tailored to the client’s unique needs. There will be no lingering questions when a consumer leaves after receiving a service or with their esthetician’s product recommendations.
2. The brand is preparing for explosive growth as units awarded tops 100.
With this young brand still emerging, the time to get on board is now. The foundation has been laid and the model has proven successful with its 10 corporate-owned locations and three franchisee-owned shops. And with these locations, consumer interest has been piqued — consumers want Heyday for their skincare needs, and the brand is ready to scale.
The franchise is currently targeting expansion in 54 major metropolitan areas, including Los Angeles, San Francisco, Seattle, Phoenix, Denver, Dallas, Austin, Houston, Chicago, Atlanta, Miami, New York, and Boston, among other large U.S. cities.
Scott Thompson, chief development officer at Level 5 Capital Partners, the investment group behind Heyday, emphasized the early growth phase of every business and how crucial support is during the early stages of growth to set the brand, and its owners, up for successful long-term expansion.
“We will always be operators first, but we also prioritize growing early-stage brands,” Thompson said. “We saw the potential Heyday has as a market-disruptor and wanted to nurture their top-notch products and services. In a short period of time, the brand has already crossed some impressive growth milestones and we are excited to see what the future holds.”
3. There is guaranteed recurring revenue from members.
The beauty of owning a Heyday location is that the franchisee is not tied to just one channel to generate revenue. In addition to offering in-person facial services, the brand also boasts an online consumer products site that benefits the individual locations and their owners. The recurring membership model encourages repeat customers, ensuring that a location has a built-in client base of returning customers. Services are affordable and easy for customers to book, but estheticians can also upsell services in the moment to provide a more catered, personalized experience, adding to the overall price tag of the facial without adding to the length of service.
Explained as the “Netflix for skincare,” customers sign up for Heyday’s monthly membership, which ranges in cost from $95 to $105, depending on the market. They can cancel at any time, but with this membership, they receive one facial per month, plus $20 off enhancements and 15% off products.
So far, the results of the membership model have been dramatic. “Prior to the COVID-19 pandemic, 30% of services were performed on Heyday members,” Mortimer said. “Today, that number is tops 50%.”
This stark increase in membership has helped stores maximize profitability and have more predictable revenue — making it easier to manage team members.
With all of the ways to bring revenue into a franchise, Bock stated that the opportunity for success is ultimately up to the franchisee.
“Owners have an opportunity to have a very profitable store with Heyday,” Mortimer said. “What’s more, they also have the opportunity to own a breakeven store if they don't put in the time and effort to develop teams and develop a loyal customer base. It's not as if you turn on the lights and your location is profitable. You have to put in the work, and you have to build relationships.”
4. An experienced leadership team provides top-tier support.
Franchise owners also benefit from the support of an executive team that boasts decades of experience building and growing nationally recognized brands. Heyday’s leadership team lends the support that new owners need in order to get on their feet and launch a successful business, that is then followed by continued assistance and training to help keep all locations thriving.
Mortimer emphasized that training is at the heart of Heyday’s mission, and that includes franchisee support. “I believe we're an education company,” Mortimer said. “If you have education as your mindset, you’re making a commitment to build an organization that’s focused on empowering clients, franchisees, and the whole system to meet everyone’s needs.”
Heyday’s startup costs range between $574,000 to $755,500, depending on which market the store is located. Other factors like design, configuration and labor costs will also impact the total investment. Click here to see the full cost breakdown.