Booths Out, Teams In. Why Stylists are Returning to the Commission Based Model and Back to Strong Brands

For years, booth rental salons became popular business models in the beauty industry.
The concept seemed attractive: hairstylists could operate independently, set their own
schedules, manage their own clientele, and keep more of their service revenue.
But across North America, the salon industry is beginning to shift again.
More hairstylists are now moving away from the independent booth rental model and
returning to commission-based salon teams — especially within luxury salon brands
and structured franchise systems like Rootbar.

Why? Because many stylists are realizing that true long-term success requires more
than independence alone. It requires support, structure, marketing, mentorship, systems, and growth opportunities. Overhead is too much to compete with strong
branding and the clients are expecting the same look and feel.

How do we know? We are hearing horror stories of commercial booth owners begging
stylists to come join them as they see their renters fall off rapidly. Stories of desperate
Instagram DM’s at 1am circulating to stylists at different salons shows the booth rental
system is very constrained. We are also hearing the same cadence in our interviews.
Teamwork models are winning.

The Reality Behind the Booth Rental Model is that at first glance, booth rental can
appear financially appealing. Stylists often believe they will earn more money by
keeping a larger percentage of each service. However, many booth renters quickly
discover that running independently also means carrying the full responsibility of
operating a business.

That includes:
- Marketing
- Client acquisition
- Branding
- Social media
- Inventory management
- Taxes
- Scheduling
- Software costs
- Education expenses
- Product ordering
- Insurance
- Administrative work

Essentially, the stylist becomes both the service provider and the business owner. But
for many stylists, the reality becomes overwhelming. Stability and team environments
are looking extremely attractive again.

One of the biggest shifts happening in the salon industry is that many stylists are now
prioritizing:
- Stability
- Predictable income
- Team culture
- Work-life balance
- Career growth
- Leadership support

- Education opportunities
- Marketing support
- Client flow

Commission-based salon teams often provide all of those advantages. Instead of
managing every aspect of business ownership alone, stylists can focus primarily on
what they do best: delivering exceptional client experiences.

This shift is especially noticeable among younger beauty professionals entering the
industry today. Many new stylists are less interested in operating as independent
contractors and more interested in joining brands that offer mentorship, systems,
culture, and long-term career pathways. A good larger brand will have pathways for
their best employees.

The modern salon industry is evolving beyond the idea of isolated independent
operators. We are seeing the same thing across other beauty services like nail salons
and MedSpas.

Today’s strongest salon brands operate more like collaborative businesses with shared
goals, strong leadership, and operational systems that support the entire team.

In a commission-based team model, stylists often benefit from:
- Front desk support
- Established branding
- Marketing campaigns
- Client acquisition systems
- Ongoing training
- Team education
- Career development
- Culture
- Leadership mentorship
- Product support
- Operational infrastructure

These systems remove enormous pressure from the stylist.