The Potsdam $6 Haircut

By Brady Fremont

Since Potsdam is a small town, I assumed there was only one place I could get my hair cut. As I was walking through the town, I realized there were a few places I could choose from. The place I chose was Main Street Barber Shop because they have six-dollar haircuts. The question I am proposing is how does this locally owned and family-run old time barber shop fare against the new style salons that have moved into town? Literally, right next door to the barbershop is a salon where I contemplated getting my haircut. The only problem was that they charged fifteen dollars per men’s cut. Could it really be true that the family-owned barbershop receives triple the customers as the salon? Even in this case, they would only be making slightly more income than the salon.

This question has importance in the community because what if the business was not successful? How would the people of Potsdam survive if there were no more locally owned family-run businesses in this community? So, to prove this point, I asked Patrick Austin of the Main Street Barbershop a simple question. How long have you been in business? The owner went on to describe to me that the barbershop has been in business since the 1940s, and family-run since the day it opened. So assuming that the shop is successful, which it sure is, it shows how important even a barbershop can become to the community. Almost 70 years of success, through recessions and great prosperity, the business is still there standing, and there is still a wait to get your hair cut.

This is where the six-dollar haircut comes into play. People realize that the quality of the both haircuts is the same. Why would someone pay triple the money for the same service? After getting my hair cut, at the Main Street Barber Shop twice since I have been at school, I have made my own observation and partial conclusions. Although the salon next door does do men’s cuts, it makes most of its money from female customers who want to get their hair constantly dyed and styled to keep up with the newest fad. The men, like myself, who simply want a plain old buzz cut style gladly give their six dollars to the local barbershop.

I also asked Patrick how it affects their business having a “pricier” salon next door. Unbelievably, he was eager to explain how it does not hurt their business at all. He proved my hypothesis correct: the salon has pretty much taken over the female part of the market and barely even put a dent into Main Street’s business. He even went so far as to explain they don’t even consider the salon a competitor as much as they are friends. At first, I could not believe how there would not be competition, but Patrick explained to me that the salon arrived, in 1995, and they have both stayed successful ever since. “If anything it attracts more men, having good-looking women right next door.” Patrick and his family are respected, long-time business owners from a tried and true community, born and raised in Potsdam. This is why people who respect the town have no problem staying loyal to getting their hair cut often at their shop.

During my interview with the owner of the Main Street Barber Shop, the question I asked how the business stayed successful on just $6 haircuts. The owner replied, “Exactly that, our haircuts are so cheap that people don’t mind getting their hair cut once or twice a month, more often than they would usually, The price attracts the customers, as well as the quality I guess.”

A barbershop for a man, especially one like Main Street, is more than a place to get a haircut. It is a gathering place for men to “shoot the shit” and keep up with all news around the local town, what the “word on the street is,” if you will. I asked my friend (Robert Ashlaw), who has also gotten his hair cut at Main Street what he thought of the environment while he was waiting to get his haircut. He explained, “I felt at home, it made me feel like I was a Potsdam local after participating in conversation.” I have also observed that the business is run even as a barter system at times. This is not a half-bad idea since “The Global recession has caused many countries and businesses to come up with new ways of handling their finances, the age old practice of bartering has made a significant comeback.” (Moshiri). Specifically, when I was in the shop, there was a large pumpkin out front next to the steps. After a friendly local stopped in, just to say hi, the man cutting my hair explained that a pumpkin was given to him for a free trim-up. Along with the pumpkin, he explained that a local egg farmer used to bring each employee of the shop a dozen brown eggs every time he wanted to get his haircut. The social aspect of the business is what everyone loves: that is, people enjoy the atmosphere and do not mind paying a price to those whom they believe are good people. “The idea determines your probability of success. And if you sharpen the communications-what we`ve seen and 8 to 50 percent increase in sales for small businesses, without spending any more money” (Schaffler). Basically the social aspect of your company can determine up to a 50% difference in sales. People will come back to a place, especially a barbershop, where they feel comfortable and enjoy getting their haircut. Making the local business seem like it is about the people and not about making money, actually helps them make money. Main Street is the perfect example because it is a stereotypical social barbershop where men like to spend time.

It also helps the business to use a specific type of marketing, which they use better than any other business I have seen. The technique of the “Target Market” is the market segment which a particular product is marketed to (Dictionary.com). In the case of the Main Street Barber Shop, I think it is very obvious: their target market is non-wealthy college students and local men. This is so important because “A product or service for everyone rarely reaches anyone” (“Small business benefits”, Business Source Complete). This barbershop reaches people who have almost the exact same things on their mind: girls, cars, and whatever else new happening in big city and flashy lights of Potsdam, New York. And when you enter the shop and sit down to wait, in the usually at least six-person line…that is exactly what you will hear them talking about.

This brings me to one of my next questions. Are the majority of your customer’s college students or local residents? To my surprise and without hesitation the owner replied local residents. He went on to describe that not only do almost all local male residents get their hair cut there, but most of the residents are friends. He said people stopping through get their haircut on occasion, but most of the income is directly from residents of Potsdam. They like it because they know Main Street is locally owned.
Works Cited

Ashlaw, Robert. Personal Interview. December 1st 2009

Austin, Patrick. Personal Interview. November 30th 2009.

Godin, Seth. Small is the New Big. New York: Penguin Group, 2006. Print

Kilkenny, Maureen. Nalbarte, Laura. “Reciprocated Community Support and Small Town-Small Business Success.” Entrepreneurship and Regional Development 11.3 (2009): p16, p231. EBSCOhost. Web. 12 Nov. 2009.

Occupational Safety and Health Administration. “Small Business Handbook.” OSHA. OSHA, n.d. Web. 18 Nov. 2009

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