2004 Fall

Opinion

Election 2004 James Britt

Steven DiManni

Hair To The Chief! (the politics of hair)

It’s The Advertising, Stupid!

pg. 4

pg. 18

Technologies

News Makers

Professional Development

Meet Richard Farrell

Pfeiffer on Modern Manegement Tools

President & Founder of Farrell Hair Replacement

pg.12

pg. 8

The National Hair Journal

VOLUME 8 N O. 31

THE PROFESSIONAL PUBLICATION OF HAIR REPLACEMENT & RESTORATION AND SKIN HEALTH

www. friend or foe.com At the 12th annual scientific meeting of the International Society of hair restoration surgery, Dr. Walter under delivered a presentation at the opening session entitled, "The Internet: friend or foe?"

The question is a good one. Entering the search term “Hair Loss” into leading search engine Google, delivers 4,730,000 hits. "Bald" delivers 7,160,000, the first of which, sitting proudly at the top of the page, is headed "Bald R Us." It describes itself as, “The bald man's club for millions of hairless men who love being bald and who reject Rogaine, Propecia, transplants, wigs and the Hair Club for Men.” Behind the home page of Bald R Us, lie links to 13 other websites all dedicated with defiant pride to being bald.

For the most part, these links are humorous and do not attempt to denigrate, attack or embarrass hair replacement and hair restoration providers. But unfortunately, any well intentioned site can attract people with a grudge, unscrupulous competitors and the

spiteful. And this is what appears to be happening here. What might have been a tongue in cheek celebration of baldness as characterized by ‘Bald R Us,’ ‘Bald Guys Motorcycle Club’ (Mission – to promote baldness and motorcycling and the ability to be bald and ride motorcycles at the same time) and ‘Chauves de France’

(Our association has good influence on young people who are lossing their hair.

Don' t be sad because of your baldness, be happy! ) is now in danger of deteriorating into yet another negative environment which is no fun to visit at all. We have seen this with some

Topless Clients Get Free Lunch Lodi,CA,08/04 – Wednesdays are special at Gary's Uptown Restaurant and Bar. That’s when owner Gary Arnold, hosts his special ‘Bald Lunch.” The dining room was full as he told The National Hair Journal how he charges customers according to the amount of hair on their heads. If they have lost half of their hair, for example, they will only be charged 50 percent of the menu price. If they are totally bald, they eat for free! What about headshavers? No problem. Bald is bald says Gary and whether you have shaved your head or lost your hair through male pattern baldness, you will still get your discount.

Gary, who is bald himself, told The Journal that he got the idea from a store he read about which gave special deals to people who were losing their hair. So

Indian Wigs Inflame Rabbis New York , NY, 04/04 - A group of Jewish leaders, led by Rabbi Yosef Shalom Elyashiv, caused pandemonium among Orthodox Jewish women by declaring that wigs made in India from human hair are unacceptable. Their concern stemmed from the fact that the hair often comes from Hindu temples where it is sacrificed

when he opened his restaurant three months ago, he decided to do the same.

The dining room has been packed ever since. Gary calls it a "win-win" situation.

Bald patrons get their own menu too, with specialties like filet of snapper, flat iron steak and chicken fettuccine. Wednesday used to be Gary’s slowest day; not any more. He describes the scene as looking like “an advertisement for Hair Club.”

The Journal contacted Hair Club for their assessment of this threat. A company spokesperson, speaking on condition of anonymity, commented, “This had to happen one day. We must be careful not to over-react, but of course we are watching this very closely. However, in the spirit of conciliation, we are prepared to offer Mr. Arnold free hair, compliments of Hair Club; He can claim it any day of the as part of a religious ceremony. That would make it idolatrous according to Orthodox teaching. Orthodox women are obliged to adhere to a strict code of modesty that does not allow them to show their hair after marriage. In order to comply, they are obliged to wear headscarves or a wig. For most women, a human hair wig is considered more natural and comfortable, but in an attempt to follow the Rabbi’s orders, they nonetheless t rushed to buy synthetic wigs, while others checked the origins of theirs before abandoning them.

of the online forums and chat rooms where a constructive dialogue is overpowered by complaints, personal attacks and destructive behavior.

So the question remains unanswered, and perhaps will remain unanswerable for the next several years while the Internet matures and a civilized code of conduct begins to form. In the inter im, established media such as magazines and broadcasting are likely to provide a more reassuring context for people seeking reliable hair loss information.

The Bauman Medical Center in Boca Raton recently received powerful coverage in Men's Health magazine; coverage that is worth many times any web site exposure. It appears in a trusted medium with a respected editorial format. Hair Club also benefited from a feature article last July in a respected publication, in this case The New

Sculptra OK’d To Fill Faces It’s been used in Europe for over 5 years, but now it’s likely to change the way many people stay young-looking in the US. It’s called Sculptra and it’s a “facial-filler,’ a new kind of medication that stimulates skin cell growth and restores plumpness and tone to tired or wasted facial tissue. Technically, it is FDA approved only for the treatment of AIDs patients, but if overseas experience is anything to go by, it is likely to find an eager audience among men and women who are concerned about wrinkles, tired-looking skin and other signs of aging. Sculptra is made by Aventis, SA and is available only by prescription, but off-label usage is expected to be widespread.

FALL 2004

Hair Club Announces New Hair Transplant Team.

Boca Raton, 07/04 - Hair Club, President and CEO, Steve Hudson has invited Dr. Jon Gaffney, a plastic surgeon from Beverly Hills, Dr. Roy Jones and Dr. Dan Didocha, to head the company's hair transplant programs. "These specialists will provide leadership .as Hair Club continues to expand its hair restoration and hair replacement offerings," said Hudson.

“They are an excellent addition to our senior team." Like Hair Club founder Sy Sperling before him, Hudson is, “Not only the President, but also a client.” In fact, he was one of the very first Hair Club clients to receive a follicular unit transplant. "I can personally attest that this procedure invigorates you with your own real, growing hair," said Hudson.

"This is an excellent permanent solution for people like me with minor to moderate hair loss or for people with more significant hair loss. Hair Club's website states that it is the company’s philosophy, “To provide the most objective analysis and recommendations for what is best for each individual's situation.” The new medical team will bring the company one

HAIRLOSS.COM WINS THE GOVERNOR CUP

July 4 2004 - Hairloss.com victorious two years running in Vermont's largest polo tournament. After a four day playing period against five other New England teams, the final game was tied 6-6 with 30 seconds to play in the last chucker. From out of the pack of ponies, Hairloss.com's captain, Leo Benjamin, emerged to score the winning goal with a neck shot from 60 yards out. According to a number of spectators, this was one of the most exciting games ever played in Sugarbush, Vermont

2 The National Hair Journal Fall 2004

The industry speaks its mind It isn't just my imagination. For some time, I have sensed that retailers and wholesalers alike were being more outspoken about the direction the hair management market was going in. But this was just among themselves. In this edition, Richard Farrell goes one step further and publicly outlines his goals and criticisms in a characteristically outspoken interview. An equally energetic point of view will be found in Steve Dimanni's feature article, "It's the Advertising, Stupid."

What everybody seems to be saying is it's time for the hair-management industry to insist upon higher standards and more contemporary imagery. And who could disagree at a time when the industry has lost touch with the youth market… and therefore, with its future. It's time for fresh blood; new ideas. So feel free to send us your own thoughts and suggestions. If they make sense, or might provoke someone else to do something sensible, we’ll print them. It's time for a hair-management makeover!

High Society – The National Hair Society is off to a good start. We will be sending membership kits to the first wave of new members in the next few days. The Hair Society is your public voice, your roadmap to suppliers and resources and your professional clubhouse. If you have not yet joined, do it now!

You’ll find a Membership Application on page18.

Hair Club for Hippopotami!- The response to our Hair Club for Cows article was so great - and we had so much fun doing it - that we’re inviting readers to submit their own cartoons to keep us laughing. If it’s good, we’ll put it in the paper. If it’s really good, we’ll put it on the front page. If the picture is great, but there is no caption, send it in anyway and we’ll run a competition to get other people to send in tag lines. The winner will get a National Hair Journal mug with the cartoon on it!

The last frontier - For the longest time, hair was like Alaska; the last unspoiled, natural wilderness. Finger and toenails were painted in more and more intricate designs. Teeth were whitened, veneered and capped. Crow’s feet were Botoxed.

And body tattoos went from arms and chests to just about anywhere. But hair remained largely untouched.

This intrigued me so four years ago; I accepted a consultant position at a national jewelry company. My purpose was to explore whether we could bring jewelry to hair. I wanted to find out if hair was indeed an important part of someone’s persona as I had been claiming all these years and fundamental to their selfimage. Interestingly, the first project (small gold clip on butterflies) became one of the top sellers, eclipsing brooches and earrings. This summer, crystal extensions are the hot thing. Also known as Hair Blings, these jeweled hair extensions are showing up in the hair of trendy teens, fashionable young professionals and entertainers eve ry wh e r e .

Great Lengths says that their ‘bling’ sales have doubled in the last year. From a distance, they look like sparkling diamonds or small points of light in the hair. And because they are bonded to the hair, they move and sway with the wearer. Women love them. So I do not want anyone to tell me that hair is not important or that is not exciting. Or that it is not where new styles and trends happen.

Hair is where people express them-

selves, have fun and sometimes get a little reckless!

When we look at our future as hair-managers, the ball's in our court. We have to be part of today's lifestyles too!

Skin Club? - It was only a question of time. Just as there are hair management centers today to advise men and women about maintaining the health of their hair - and replacing, restoring or regrowing it when it begin to thin - so we are now beginning to see skin management centers as well.

You might have expected department stores with their trained sales staff, or beauty salons with licensed cosmetologists to spearhead this development. But in fact it is coming from an altogether different and perhaps more serious direction. A number of pharmacies have started to introduce skin-care centers in their stores. Brooks pharmacy in New England has opened six ‘Derma Care’ skin-care centers, staffed by dermatologist-trained consultants. The focus is on skin health, not cosmetics and make-up techniques. In case you think this is a new marketing concept, nothing could be further from the truth. Skin-care centers have been part of the personal care market in Europe for many years and have crossed the Atlantic and gained a firm foothold in Canada. In a personal i n t e rv i ew on page 17, Tim Pfeiffer reveals that his hair center in the Midwest also offers skin-care services.

Is there a Skin-Club just over the horizon?

Follicular Boomers – You gotta watch the demographics. In 2001 the first wave of baby boomers will hit age 65 years.

The children of the boomers are now heading into their 20’s. We’ve all seen the numbers, but what do they men for us? Well, healthcare needs will explode, that’s already well documented. But so will feel-good, look-good products and therapies. Boomers are not ready to look old. This will be a time of huge opportunity for smart planners. We must make hair part of the good times, the pleasure of being healthy and fulfilled; things boomers do not want to leave behind.

That’s too big a job for our small industry to do alone, so we should associate ourselves with other self-expression products and use their ‘halo.’ Just as people express themselves through their clothes, their music, even the cars they drive, so we should make hair another part of their daily treats. Our mission is to celebrate hair, not lament it.

In the next issue – We will be taking a look at the products offered by the people at International Hair Goods. In our opinion, the company is too demure about its new technologies. Retailers who attend IHI seminars are often surprised by the products on display, some of them hot from the Aderans research labs in Japan, so we thought we’d lift the curtain and share some of them with you. We also talk with Scott Walmsley about New Image’s new automatedordering software. Look for this interview in the ‘Technology’ section. All that and more will be coming your way in December – see you then!

Editor in Chief Christopher L. Webb

3 The National Hair Journal Fall 2004

It’s Never Too Late …to ask a question!

Jim (The General) Toscano

n the most recent National Hair Journal, you may have seen an article stating that we were looking for 10 salons to do field testing of bonding products. Well, we’ve already started getting participants, but imagine my surprise when I found we are getting as many questions from stylists still having problems with some of the bonding adhesives and methods of application as we are receiving requests to be a test site. Let me try to answer a few of these questions right now.

I

The first is very basic. How do you choose the right type of bond for your client? It’s a good question. There are many variables to consider when choosing the correct bond, but the key fact is - you've really got to know your client. Ask as many questions as you can think of - from skin type, to the medications he/she may be taking.

Ask about lifestyle and any other information you think may be useful.

The more you know, the more informed you will be when deciding the bond that will best suit your client.

Here's an example: I have a client who has a very oily scalp. I could not get his scalp "degreased." Believe me, I tried everything. After discussing different bonding methods with him, I advised against a soft bond. I knew it wasn't a good option for him. But, he wanted to try it anyway. Guess what; it only lasted 2 days. The only bond we've found that holds for him is lace support tape around the perimeter and in the front, or the tape "with the holes."

Understand, he is an exception to the rule. Most clients can be soft bonded.

Another subject I've been asked about is soft bond adhesives. Several stylists have told me they won't use this type of adhesive because it seeps out from under the base or up through the lace and gets stuck in the hair. My answer to this is, "Less is best." You must use numerous thin coats as opposed to thick coats of adhesive. That is usually the only reason soft bond adhesive will seep out into the hair.

Cleaning your client's scalp may also be the reason a bond doesn't work.

Are you getting every bit of adhesive off their head and out of the hair system? This means every bit of adhesive - not most of it. Are you exfoliating your client's scalp? If you aren't exfoliating, you aren't removing the dead skin cells and the adhesive will not adhere properly to the scalp. Is your client's scalp red or breaking out? This could be from the cleaner, not the adhesives. Are you following all the proper procedures in cleaning and bonding? There are questions you need to ask yourself before you decide not to use an adhesive. If you want to study my previous bonding articles to check specific bonding techniques in back issues of The National Hair Journal, you can contact subscriptions@nationalhairjournal.com or call The Journal at 626-320-1044.

Have you had similar experiences?

Have you had a client who is a bonding nightmare?

Email me at jamestoscano@msn.com and let me know what problems you're having.

Also let me know of any "tricks" you've found to solve your problem.

In the near future, we would like to test some adhesives and would like a diverse selection of salons from different areas of the country. If you would

like to be considered as a testing site, please let me know. And to those of you who have already volunteered, many thanks, we’ll be getting back to you shortly.

PATIENCE, PERSISTENCE AND PRECISION. Until next time.........

James Toscano (“The General”), a Pennsylvania native, is an eighth-gen-

eration hair stylist and one of the nation’s top authorities in non-surgical hair replacement systems. In spite of a 60-hour workweek, Jim still finds the time to demonstrate his techniques at major hair shows and write a series of educational articles for T h e National Hair Journal. Jim is assisted on stage, in his studio and at the computer by his multi-talented and beautiful wife, Linda.

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Dr. A. Khadavi

This article is based on an interview with Alex Khadavi, MD, CEO, and Founder of Revivogen that appeared in the Winter 2002 Edition of the National Hair Journal. Dr. Khadavi is a medical doctor and dermatologist specializing in hair loss and skin cancer treatment. While still a 21-yearold undergraduate at UCLA, Dr. Alex Khadavi began to lose his hair. A confident premed student and cancer researcher, he found no solution to his

Hair loss is a gradual process. By the time someone notices that they are thinning, they have likely already lost 50% of the density in the affected area.

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R ev ivogen stimulates fine, miniaturized hairs to become thicker and fuller. Which is precisely what your clients need. If you look at the physiology of androgenetic alopecia you will see that large, mature hairs slowly shrink, lose their pigmentation and miniaturize. That’s where Revivogen comes in. Revivogen stimulates the miniaturized or baby hairs into maturity to create fuller, thicker looking hair.

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22 The National Hair Journal Fall 2004

4 The National Hair Journal Fall 2004

(the politics of hair)

F

orget issues like Iraq, the economy, foreign policy and gay marriage. The upcoming presidential election is going to be decided by one issue, hair! At least one of the candidates, John Ke rry, has already begun to promote the Democratic Ticket’s follicular superiority. Kerry, appearing for the first time with his newly chosen running mate, John Edwards, threw down the gauntlet when he said; “We have better solutions, we have better policies and….we have better hair!” I say, let the contest begin!

I am about to disclose, statistics that reveal that the candidate with the most hair invariably wins the elec-

tion. Therefore, I propose that we cut-to-the-chase, ignore the issues, forget about going to the polls, and simply count the hairs on the candidate’s heads and swear-in the winner.

I also think that we, as America’s foremost hair loss professionals should be given full responsibility for this process. It’s easy. We’ll form a committee, select a location (anywhere, but Florida), line-up Bush, Cheney, Kerry and Edwards, and b egin counting hair follicles.

Whoever has the most hair follicles

at the end of the day, wins and will lead the country. It’s fair and it’s simple!

However, these four ground-rules should apply; 1) There will be no splitting of hairs.

2) Only anagen hairs will be counted.

3) In the event an anagen hair is not counted, or a telogen hair is counted in its place, there will be an immediate re-count.

4) The results will be final and the Supreme Court will not decide who sits under the presidential hair dryer at 1600 Pennsylvania Avenue.

I think this is eminently fair and certainly makes as much sense as letting the presidency be decided by the issue of gay marriage.

One look at the candidates, and we already know who the winners will be. The political duo of Kerry and Edwards has more hair b e t ween them then the crime f ighting duo of S t a r s ky and Hutch. My only c o n c e rn is that medical science tells us the primary cause of hair loss is the level of the male hormone testosterone in a man’s body. That being the case, Big John and Little John may not have a thimble-full between them, and it won’t be long before the G ov e n a t o r, “Ahnold” will label them as, “gurly men.”

When you look at the statistics, my proposal is only 27.7% as outrageous as it appears. The facts are ironclad.

When you ask the question: does cranial hair, or the lack of it, cont r i bute to the elect-ability of candidates to high o ff ice?

The a n swer is most c e rt a i n ly, ye s !

Numerous studies h ave been done and the results are indisputable. In a 1990 study, conducted by professors at the University of Arizona this conclusion was reached; “There is a bias in this country against bald and balding men in h i g h - l evel elective offi c e .” T h e study revealed that at that time, only 37.2 % of politicians holding high office were bald or balding.

This number is completely out-ofsync with what would normally be found in the general population of Anglo men in any randomly selected group.

Statistics show that at age 30; 30% of all men are loosing their hair, at age 40; 40%, at age 50; 50% and so on. Based on this formula, and given the advanced age of high

By James Britt office holders in America, (governors, senators and congressmen), the vast majority should be bald.

And yet, 72.3% have full heads of hair. This provokes the hair raising questions; do politicians as a group, know something we don't know?

Have access to technologies that we don't have? If you make your choice before reaching pubert y, does choosing the career of a politician automatically guarantee you the "perk" of having hair, like it does access to health insurance, limousines, staff . . . . a n d interns?

with the best hair. Not as much for lofty, ideological reasons, but for selfish, professional reasons. I can’t

No, the reason that politicians in h i g h - o ffice have hair is that the voting public does not vote people into high offi c e who do not have hair. America has a long established prejudice against bald men.

Countless studies have revealed that bald men are perceived as weaker, less credible, less engaging and in one report, “less good.”

Consequently, bald or balding men have a more difficult time getting elected to high-office.

In the most recent Congressional elections, candidates with hair, clobbered all bald incumbents in hair-to-hair m a t c h u p s .

N owhere is this prejudice more evident than when we elect a president. Virtually all of our modern-day elected presidents have had hair, and generally if, as an incumbent, they lost an election; it was always to a candidate with more hair. Example: Bush defeated Gore (well, kinda), Clinton defeated Bush Sr. and Dole, Regan defeated Carter, Carter defeated Ford, and Kennedy defeated Nixon….you get the picture.

Now some of you with long memories will argue that not all modern presidents had hair. There was of course, Dwight D. Eisenhower. I remember Eisenhower well, having spent two terms in the 4th grade, and both of them were his. But remember, “Ike” won by beating Adlai Stevenson, another follicly challenged candidate. So there it is friends, right, wrong, or otherwise, hair more often than not, does determine who wins the White House.

I personally am supporting the guys

help but believe that the enviable manes of Kerry and Edwards will bring men’s hair back into fashion, prompting bu m p e r- s t i c kers that read; “Bald Is Bad.” I love the fact that the “John-boys” flaunt their hair! Kerry looks like the “after” picture in a TV ad, riding a motorcycle, wind surfing, skiing, hair, dancing in the breeze. All that’s missing

is Teresa, wrapping her arms around him at the end, running her fingers through his hair and saying; “we only regret he didn’t do it sooner.”

And John Edwards? He will sell more hair than Sy Sperling, without being a “client.” I’ve forgotten the

melody, but I kinda remember the words; “Hair-to-the-Chief!”

Editors Note:This article is available for reprints. Please contact us at event@nationalhairjournal.com etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.etc. etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.etc.

6 The National Hair Journal Fall 2004

A TRADEMARK PRIMER FOR THE SAVY ENTREPRENEUR

By Joel Morgenthau By way of illustration, let’s begin with a quick and simple word association game.

What is the first thing that enters your mind when you see or hear: “The Greatest Show on Earth”, “The Golden Arches”, and “ROLEX”? If you said Ringling Bros. and Barnum & Bailey Circus; McDonalds and watches, respectively, not only are your responses similar to the vast majority of consumers, you also have demonstrated the power and value of a strong and effective trademark.

Through the adoption and implementation of certain well chosen and developed words, phrases and/or images, an entrepreneur can distinguish his business’ goods and services from those of his competitors. This article will outline basic trademark concepts and discuss the value that an effective trademark can add to your business.

What is a Trademark?

Simply put, a trademark includes any word, symbol or device or any combination of the foregoing, which when used by a person or business, serves to identify and distinguish the source and quality of its goods or services from those of others.

The two most common and recognized categories are trademarks and service marks. A trademark relates to goods and products, while a service mark, as the name implies, relates to services performed to the order or benefit of others.

In the United States, trademarks are governed by both federal and state law. The federal law is codified in the Lanham Act (15 U.S.C. §§ 1051 et sq.), while state law is comprised of laws codified in various state statutes and the general common law of unfair competition and deceptive business practices recognized in the developed case law. For purposes of brevity, this article will focus solely on U.S. federal trademark law, and will not touch upon state and international trademark law.

As stated above, a trademark or service mark “includes” any word, symbol or device or any combination of the foregoing. This definition provides a broad range of possibilities for an effective mark. A mark can be a word (“Fuji” for film) or a phrase (“The Good Hands People” for Allstate Insurance). It can be a symbol, such as the Nike “Swoosh” and the Mercedes-Benz crest. It can be a color, such as brown for UPS and blue for IBM. It can be sound, such as the tri-tonal introduction used by NBC and the ESPN opening (da-da-dun, da-da-dun). A mark can be a word or phrase in a stylized text such as the fanciful Coca-Cola script or the New York Times masthead. A mark also can be logo, such as General Electric’s stylized initials, or a picture mark, such as the baby face on jars of Gerber baby food or the deer on John Deere tractors. Suffice it to say that the possibilities are virtually limitless.

What does Trademark Do? Regardless of the various and sundry forms a trademark may take, all trademarks essentially perform the same function. A trademark or service mark identifies the source of, and connotes a standard of quality embodied in, a product or service, thereby distinguishing it from the products or services of others. In this way, consumers will not be deceived or confused by another’s products or services.

Moreover, a good trademark represents the good will the owner has invested in the business and can motivate the public to patronize the business.

What Marks are Protectible?

In order for a mark to be protectible, that is registrable with the U.S. Patent and Trademark Office (“PTO”); the mark must truly function as a trademark or service mark. Before we explore what can function as a trademark, it may be instructive to first understand what does not fall into that category.

A mark cannot be generic, that is a term which merely refers to a class of objects, such as “cat” for felines and “elevator” for the mode of passenger transportation in office buildings. These types of terms do not function as a trademark (i.e. identify the source and quality of goods and services and distinguish them from those of competitors) and cannot be registered.

Nor is it sufficient for a mark to merely describe the goods or services to which it relates. A mark is merely descriptive if it only informs the public about the general characteristics, functions, uses, components or other properties of a good or service. Examples of descriptive marks are “Qwik-Gro” for plant food and “RepairA-Wreck” for auto body repair services.

Other types of terms which are considered to be merely descriptive include personal names or surnames, geographically descriptive terms and slogans. Terms in this category do not perform the essential function of a trademark and are not protectible unless they acquire what is known as secondary meaning or acquired distinc-

tiveness. When this happens, an association develops in the consuming public’s mind. The product or service is linked to its source, thereby giving these marks an additional meaning other than merely describing the goods or services.

One way an entrepreneur can make a merely descriptive mark attain secondary meaning or acquired distinctiveness is through sustained, aggressive marketing campaigns. Also, if an entrepreneur can claim substantially exclusive and continuous use of an otherwise descriptive mark for at least five years, the PTO may accept

that use as evidence of acquired distinctiveness and permit the application to proceed toward registration.

However, it would be more cost effective and less time consuming for an entrepreneur to adopt a mark that is fanciful or arbitrary or, at the very least, suggestive in relation to his goods and services. These categories of marks are inherently distinctive and are protectible without the necessity of showing secondary meaning or acquired distinctiveness. (continued on page 14)

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7 The National Hair Journal Fall 2004

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8 The National Hair Journal Fall 2004

Richard Farrell is a force in the hair replacement industry. He is outspoken about shortcomings he sees in the market and what he believes needs to be done to correct them Richard recently caused a stir at the AHLC seminar where he castigated the major hair manufacturers and distributors for failing to promote higher technical skills and not supporting smaller retailers with higher quality hair goods. He also blasted the National Hair Journal for its coverage of new hair loss technologies at the expense of services provided by companies like his own. Some of those themes resurfaced in this interview. We met at Farrell Hair Replacement Inc. on La Cienega Blvd. in Los Angeles for what politicians like to call a “frank and open” discussion. If some of his comments seem provocative, it is because of the passion he brings to everything he does.

This is a man with a mission who does not suffer fools gladly.

puter industry, where the software drives the market - except in our case, it will be fashion that becomes the driving force?

R.F. - I don’t believe that fashion drives our market. We are not here to put certain hairstyles on hair loss sufferers. We are here to replace their hair the way it used to grow. The industry has lost track of the fact that the non-surgical hair replacement section of this industry is the only option for someone who wants all of their hair back. Despite all the hype we have been subjected to for all these years, watching companies fold up thinking that maybe stem cells are going to replace them, or maybe it is going to be a topical solution or a change in the gene pool; it is all bogus. None of it is happening. None of these things work except giving someone all their hair back nonsurgically. Do you realize there are 6,376,197,876 people on this planet and twenty percent of them need hair? That is a huge market! Yet the industry can’t motivate two hundred people to go to a trade show! It is a very sad statement on the state of this industry. It is mainly the middleman’s fault, again, but the salon owners bear much of the blame, too. They only care about buying low and selling high and that ultimately heaps more misfortune on these people suffering from hair loss and these people are wise to this practice and aren’t going to tolerate it much longer.

NHJ - I asked you earlier if you attributed the problems you saw to a crisis of leadership, but what you are now describing sounds more like a crisis of participation because you are saying that retailers are not showing the energy and the initiative to go to trade shows to learn new ideas and techniques.

R.F.- That’s right. I don’t think there are enough trade shows.

More importantly, there is not one safe tradeshow to go to; only ‘middleman’ events. What happened to the American Hair Loss Council? At one time it was a viable source of information with some influence but now they are hanging on by a thread. You are the National Hair Journal.

As our industry’s only voice, why didn’t you sponsor any educational events?

What did you ever say in your editorials to correct matters as you watched the industry making wrong turns?

Excuse me, but I never read anything about artistry or real education when I read the Journal.

And I never saw anything in the Journal about Farrell’s accomplishments. The Journal has an obligation to help build this market. After all, you are our only Trade magazine.

NHJ - Let’s talk about The Journal because you clearly have strong opinions about it.

What are the information needs and education needs in the market and how do you see the role of the Journal?

Meet Richard Farrell A Mountain Climber Comments on Hair Replacement’s Rough Terrain

NHJ - Richard, in one sentence, how do you see the hair replacement industry today?

R.F. – I don’t need a sentence, one word will do - Dying.

NHJ – Not an optimistic prognosis…

R.F. – The industry is not taking care of the basics. Let me make a contrast between the average hair replacement business and us. We have a training section on our website where everything is password protected and where our staff gets educated and trained. We also offer a client support site. We have accomplished many “firsts” in this industry, but when we look around, we see an industry that is wearing anchors around its belt.

Most salons don’t even have computers or email addresses! It’s an embarrassment!

NHJ - Is this a generational thing, or a failure of leadership within the industry?

R.F. - Probably both; but I think it is more a failure of leadership. What is really hurting this industry is the middleman. The middleman has killed this industry by taking away a venue where everyone could come together to share ideas and see each other’s work. The middlemen got selfish and took their clients to their own events and hoarded them. This is wrong.

NHJ – Anything else?

R.F. – Yes. The middlemen have introduced things like ‘maintenance contracts’ and ‘throw away hair systems’ which has killed the artistry in this industry.

NHJ – Let’s get our terminology straight, a ‘middleman’ is anyone who gets between the factory and the retailer. Is that right?

R.F. - Yes, that is what I call the ‘middleman.’

What they did was hook a lot of salons into being factory reliant, non-artistic rug-pushers.

They killed artistry altogether. I watched it happen. Today, the only thing I see from these middlemen are marketing materials telling people how to sell more of their cheap systems

instead of helping the people on this planet who are really suffering because they don’t have hair. Artistry has disappeared because the middleman model doesn’t allow it. So you see, the industry is really its own worst enemy.

NHJ - How do we bring the artistry back?

R.F. - I am doing my part.

NHJ - Can you explain some of the steps you have taken? Give us a three-step plan to bring back the artistry?

R.F. - I don’t have a three-step plan. Instead, I am on a course that is similar to climbing a mountain. You know, my passion is climbing mountains, reaching their peaks and skiing down their backsides. I do this by putting one step in front of the other until I reach the top.

One thing ski mountaineers don’t ever do is turn back. We are comfortable on any part of the mountain and in any kind of weather condition. We survive. You have to be flexible and you have to feel what is in the air, whether it is a thunderstorm or an avalanche and then deal with it. Well, I am dealing with this industry. I am moving forward and up, offering new technologies and education to the rest of the industry. So I’m really challenging the rest of the industry to climb with me towards the peak,

deserve because we know where that trail leads. The middleman will get what he deserves, too. This planet has a way of balancing these things out.

NHJ – Retailers need marketing support to promote their services to the public. At the same time, they want to stay true to their original mission of being personal service providers. However, it’s difficult to do both, so the manufactures have used their resources to provide marketing advice. Are you saying that by doing this, they have lost sight of their ‘creative’responsibilities?

R.F. – Okay, let’s check our terminology again Chris. You’re saying “manufacturers”, but what you’re really talking about are these middlemen again, because we all know that the manufacturers are in China or India and it’s hard to justify using the term “creative” when talking about these factories. And I just don’t believe it is that complicated to provide both quality systems and marketing support. What retailers need are quality hair systems. If salons are offering high quality systems to their clients with no lies and no excuses, then marketing isn’t difficult. That’s how you get and retain clients. What’s so difficult about

which is having an artistic industry that cares about their clients; an industry we can be proud of. Change is in the air.

NHJ – You see yourself as a pioneer?

Someone heading in a new direction?

R.F. – It’s not a new direction, it’s a forgotten direction. The middlemen steered the industry towards a dead-end cliff! The salons following these guys will ultimately get what they

that? At present, the industry is marketing junk through trickery and I won’t do that.

Salons have absolutely lost sight of their creative responsibilities too. When the middleman came in, creativity was the first thing to go. I mean, how many of these factory-reliant salons even have a ventilator on their premises? Hardly any.

NHJ – Do see our industry, imitating the com-

9 The National Hair Journal Fall 2004 R.F. - The Journal needs to cover all events.

Like my IMATS performance or the Farrell Challenge or the American Hair Loss Council show last year; it would have been nice if The Journal could have been there. The Journal needs to be more pro-active in the nonsurgical hair replacement industry instead of only looking at stem cells or drugs and all the other things that don’t immediately help the hair loss sufferer. We can always count on there being a big article when some suit-wearing executive gets bumped up to a new position at On-Rite, or one of those other middle-man companies, but the real efforts at helping hair loss sufferers aren’t covered as they should be. You know me, Chris. I absolutely object to the fact that the words “artistry” and “creativity” are never mentioned in the Journal. More outrageous is the fact that the most important three words are never mentioned: “Hair Loss Sufferer.” Why hasn’t the Journal helped the industry by encouraging growth and new technology at every level? For instance, it is not helping salons computerize their businesses. Why not help new salons start in this industry? Farrell is currently doing these things. Remember, there are at least a billion or two billion people who need hair right now. In Europe the nonsurgical hair industry is growing. Here, we have an industry that is shriveling.

NHJ – Perhaps the industry is not growing because it has not yet become the creative, dynamic market it has to be to attract the young professionals we need to carry it forward. Without that young energy and vision it is hard to get the public excited.

R.F. - I really disagree about it not being an exciting industry. Giving someone their hair back is an extremely exciting aspect of this industry.

That is probably the only reason I will, at 90 years old, still have a pair of shears in my hand. I get off on it! I love that feeling! You are right about not getting youth in here though. Once again, our industry just isn’t being positively promoted.

NHJ - I have used a phrase in The Journal, “I don’t want to be in the business of replacing hair; I want to be in the business of celebrating hair!” I want to go from hair as cover-up to something that excites you and expresses who you are. When we get to that philosophy, the market is going to take off. But as long as we are on the defensive and we are perceived as the “cover-up people” this industry is never going to achieve its potential. How do you think this industry needs to position itself in order to grow?

R.F. – Artistry is the answer. You can’t “cele brate” factory-made hair; but replacing hair the way hair should be replaced is incredibly exciting. Look at our clients; look at our models on our website. There you see both artistry and fashion because fashion is a direct result of artistry.

NHJ - About 3 years ago, you issued the “Farrell Challenge.” Can you remind us what that challenge was and why you think the industry was so nervous about responding?

R.F. - We had been voted the best in the world as far as undetectability and quality of our hair systems. HairSite, the website that chose us as number one, received a lot of backlash and criticism. So the message of the “Fa rr e l l Challenge” said, ‘Okay, you think you are the best, let’s go head-to-head in an environment of friendly competition and find out.’ As you know, I advertised in The Journal for a full year to attract challengers but no one challenged us.

NHJ -What is your interpretation of that?

R.F. - My interpretation was that the entire industry is factory-reliant. They don’t incorporate enough artistic elements and techniques into their systems to step up to the plate.

NHJ - If somebody had accepted the “Farrell Challenge” what would have happened?

Imagine there were two contestants, what would have taken place?

R.F. – What would have happened is that all the money raised would have gone to charities and the hair loss sufferer would have won because friendly competition and sharing ideas would push the industry to do better and to be better.

My goal in putting the Challenge together was to create a yearly Super-Bowl of hair replacement. It wasn’t supposed to be me against another company. I am trying to raise the bar in education and trying to rebuild an industry. I want people to compete. Other industries have competition. What are salons afraid of? I’m sure they are ashamed of their factory systems.

NHJ - So the challenge would have evolved as

the Academy Awards of hair replacement?

R.F. – It wasn’t about trying to prove that one person had the edge over another. It was about bringing excellence into the market. That is how you develop new technologies.

NHJ - Your own organization is growing at a time when you tell me the rest of industry is not. What are you doing right?

R.F. - I look at what the rest of the industry does and I try to do the exact opposite. They advertise, I don’t advertise. But then again, I don’t have to. We expand through our reputation of being the best at what we do. I won’t put up ads with a guy wearing hair, sitting in a red convertible with two blondes in his arms stroking his hair. You know, in the Journal you have been writing about other companies that are making fun of hairpieces? Well, they’re right, we deserve it! Just look at how hair loss sufferers look when they walk out of these factory-reliant salons. It’s like they’re wearing Astroturf. It is just ridiculous. I have clients

no doubt about it. These are the elements that make them “Farrell.” We share most of our techniques with our affiliates. Remember, we have the industry’s only ‘true’hair replacement academy where a person can learn everything related to hair replacement and hair systems.

We can teach you base making, how to do repairs and alterations to hair systems, ventilating and all types of bonding techniques. We provide instruction in design theory so you can design any type of system and we teach groupings of knots. We share much of our knowledge.

NHJ - Why should someone become an affiliate? Because of the education; because of your technology?

R.F. – All of the above but more importantly… the end product. When they join us as an affiliate, we will actually put clients in their chairs.

If someone in Arkansas goes to the Internet and types in “Hair Replacement Arkansas,” Farrell Hair Replacement is going to pop up. Our rep-

from all over the world wearing hair systems from just about every other company and it is sad what these sufferers look when they walk in to our locations.

NHJ - If somebody came to you for a consultation today, what would you say or do differently from the hair replacement competitor across town?

R.F. – We don’t subject anyone to high-pressure sales tactics. We don’t have consultation rooms and don’t even have salespeople. We sit them in a styling chair with a stylist. We listen to them and we discuss how we can best address their particular hair loss situation. The differences don’t stop there. You know, Chris, down in Mexico I have 93 artisans who are hair system makers. It is an incredible resource. The people who send their orders to the Asian factories have never even made a hair system. So how can they really direct the factory to give them the correct result? They don’t know the combinations of knots. I mean, c’mon, hair systems aren’t nuclear science but they are more complicated than that. They are not supposed to be just a bunch of split knots. There are a lot more elements that are involved that have to be incorporated into the hair system.

What we do is we handle the whole process ourselves and we rely on no one. We have our own lace made. We import our own hair. We draw the hair and Euro-silk it instead of decutilalizing it. And in most cases we use European hair instead of Indian hair.

NHJ - I have not heard the term Euro-silk before. Can you explain that?

R.F. - Euro silking is my term for the process of melting the cuticle layer instead of removing the cuticle from the hair strand. Picture this- if you have oriental hair, which has 16 to 22 layers of cuticle, you can throw it into a big vat of acid and boil away the cuticle. Indian hair has maybe 10 cuticle layers and Russian hair, depending upon what part of Russia it comes from, may have 2, 3, or 4 layers of cuticle. Now, just think of long, silky, blond Norwegian hair.

It’s fine and it’s limp. It barely has any cuticle scales at all. We can take that hair, fold it in half and tie a knot with no tangling. We actually sear the outside of the cuticle layer and call that “Euro silking.” It’s European hair and it’s got a ‘silky’feeling.

NHJ - People have criticized you for being secretive about your technology. Are there proprietary features of your hair that you have to protect?

R.F. – Well, the Euro-silking process is proprietary. Some of the other elements we incorporate into our hair systems are proprietary too,

utation gives us this visibility. That is how we have expanded all over the world. Hair loss sufferers are on the web looking for the best - and that’s what we offer. We want to make them happy and our affiliates help us to reach more people.

NHJ -What is the profile of the ideal Farrell affiliate?

R.F. - Right now the ideal affiliate is what I have going in the UK. Someone who will do whatever it takes to expand. Someone with lots of energy, who gets media attention, who doesn’t pull wool over people’s eyes and will do whatever they can to perform their craft in an “ultra-custom” manner.

NHJ - Big or small?

R.F. - It makes no difference. Of course, we prefer big because then we’re able to make a bigger splash. We are watching our progress closely in London and Manchester where our associate is coming on strong and becoming a major player overnight.

NHJ - Does your business model call for company owned stores, or a chain of international affiliates?

R.F. - My business model is more a chain of national and international affiliates. I feel that the only reason Hair Club is still popular in the USA is because they have 77 locations. I know that I can find 77 affiliates and with our joint efforts, internet presence and the positive reviews we get, we can challenge them in the market simply because we beat them on the quality issue. Quality is the one thing they don’t have.

NHJ - Will Farrell always be a non-surgical hair replacement company, or might it, over time, include other technologies such as medical solutions and laser light therapy?

R.F. - At present, I am focusing on one technology, non-surgical hair replacement. That is my craft. I know the industry is going through a trend of doing all the lateral marketing they can. I don’t believe in that. Yet, I do want to leave the door open for all types of technologies when I’m convinced that they work. We’re different from a grocery store where you walk in and see everything on those shelves, or a drug store where you see every single cough medicine there is. These people who offer everything believe in nothing. But when you walk into Farrell; you see the right shampoos, the right rinse, and the right line of products.

We have our strong beliefs.

NHJ – Let’s talk about your new relationship with Premier Products. They have worked with some of the Hollywood studios in the area of prosthetics and make-up. Do they share your

goal of bringing more artistry to the hair replacement market?

R.F. – We had a joint desire to work together.

So we had a meeting and some casual conversations where we discovered that we shared similar visions and goals. We think the same; we are looking in the same direction. I feel relieved because it looks like I have a partner in working towards these same goals. And I don’t feel that way about many others in this industry.

NHJ - What products are they making to support your own hair replacement products?

R.F. - We are looking at everything. We are looking at different ways to clean systems so employees don’t have to inhale fumes. We want to stop chemicals going down the drains.

We all have to do our part. We are looking at new adhesives that will completely eliminate shine. New matting agents. The problem with lace adhesives is that two or three coats of adhesive will promote a shine. We are working to eliminate that. We are working with inert products, never compromising and not thinking about the price. Our focus is on the end user. Farrell and Premiere will always have the best.

NHJ - What would Fa rr e l l International want the public to know about your work?

R.F. - I know the public is impressed with the fact they can read about us everywhere on the Internet and the comments are all pretty much great.

Compare that with the forums on other companies where they will see a lot of unsatisfied people.

NHJ - Without wanting to put words in your mouth, might they also feel that you would put their interests first, not your own marketing needs - and that you are more in touch with the ‘streets’ than other marketing organizations which are more driven by their marketing material. Is that a fair summary?

R.F. – It is a fair summary. Now you’re seeing what I’m about.

NHJ -You gave the analogy earlier about climbers going to the top of the mountain. You have been to the top of the mountain; you have been at the bottom of the mountain. Are you still climbing or are back at the top now?

R.F. – I’m leaving Saturday morning for Lake Tahoe. There is a mountain called Mount Tallac which I will climb with my buddy John.

NHJ -So you will be at the top of the mountain figuratively and physically?

R.F. - Exactly!

NHJ - Business is good today?

R.F. - Business is good. Business is what we make it, and we are investing in growth. Every step we take is a step toward growth and expanding our influence around the country.

We are very thankful that we are no longer just another neighborhood salon in West Hollywood. We are known all over the world because of one thing - the hair loss sufferer wants quality and they find us.

NHJ – Richard, here’s your chance at one last outspoken remark. We’d be disappointed if we didn’t get it. Do you have a final thought you would like to share with the industry?

R.F. – Stop thinking price. Stop thinking about how to sell more cheap systems. Start thinking about meeting the esthetic needs of the hair loss sufferer. Isn’t that the reason we are all in this business?

Farrell Hair Replacement has offices in New York, Chicago and Atlanta and will be opening another in Mexico City shortly. There are two UK affiliates, in Manchester and London, plus another in Au ckland, New Zealand. Two other are expected to be coming online soon.

NHJ

10 The National Hair Journal Fall 2004

H y p o - A l l e rge n i c Hair Salon Wins International Award

ELECT TO EMBRACE

OPPORTUNITY

By Robert Morris A time of opportunity - An interesting phenomenon occurs during a presidential election year. Whether a new leadership takes over, or an incumbent is re-elected, there is always a sense of re-birth and rejuvenation among the population and optimism about new opportunities. This surge in consumer confidence can easily be carried over into your business, if you actively promote the benefits of your services… and give your patients and clients a way to attain them. It is up to you to grasp the opportunity.

Promoting Emotional Benefits - We are in the business of delivering hopes and dreams.

Hair restoration can increase self-confidence, improve overall appearance, and even change your outlook on life. Yet it is not, in the overwhelming majority of cases, a “need” driven service. Hair restoration is primarily “want based,” meaning it is not the service or product that is specifically desired by the client.

Instead it is the perceived benefits that are driving the demand.

To take advantage of the increased business opportunity that occurs during an election year, we need to promote the emotional benefits of our products and services. Clients accept treatment when they feel it will help them. Features mean nothing to a consumer unless they are translated into benefits. For instance, no matter how many board-certified hair specialists recommend a certain procedure, if clients do not fully recognize or identify the benefits of that procedure, it will have no value to them. So it’s essential to concentrate on communicating and promoting the ways in which your products and services can directly benefit a client or patient, rather than simply listing their features.

Hair loss can result in an onset of negative emotions, ranging from frustration to anger and sadness. Clients dealing with hair loss may have a low self-image and fear social ridicule. This is why hair restoration becomes an emotional need for them. Once you understand these needs, you can better relate the benefits of your services to them. You will no longer “sell” anything to clients; you will simply introduce the product or service that efficiently meets their needs and they’ll decide to buy it themselves.

Helping More Clients Get Treatment - To further instill hopefulness in your clients, you can employ programs that will help them attain the treatment they desire. One of the main reasons clients often don’t pursue their goals of hair restoration is cost. Studies show that the average American has only $300 available on their consumer credit cards, and cannot write a check for more than $500 out of their monthly budget. So hair restoration procedures and treatment that are more advanced (and as a result more costly) can put a financial strain on clients. Luckily there’s a simple solution to this financial barrier that can allow more clients to get the treatment they want today - third-party financing.

Third-party financing - Financing programs, such as those offered by my own company, CareCredit, allow you to offer clients a comprehensive range of payment plans, including No Interest and Low Interest options. Clients pay no up-front cost, annual fees, or pre-payment penalties, so they can get started with treatment immediately — then pay over time with low monthly payments.

Your center receives payment within two business days and with no responsibility if the client delays payment or defaults.

Also a marketing asset - Another advantage of employing third-party financing is that it can be used as a marketing tool to help you attract and convert more clients. If prospects are aware that you offer No Interest Payment Plans, they may be more likely to seek care at your center rather than a facility that does not offer this type of financing. At the same time, during the consultation, you can use No

Interest and Low Interest Rob Morris payment plans to motivate clients to start or schedule treatment today rather than “think about it.” Be sure to promote No Interest and Low Interest financing in your new client materials as well as your marketing and advertising activities. If patients or clients are impressed with your services and your payment options, this could be the beginning of a beautiful referral network.

Make it easy - In an election year, we hear so many promises about how we can achieve a better and brighter future. We educate ourselves on the issues, and attempt to make an informed decision that reflects our values.

Similarly, when prospective clients hear the promises of different hair centers, they have to filter the information and select a center that understands their real needs. By promoting benefits that appeal to the emotions of your prospects, you can help ensure that they will elect your center over the competition.

Rob Morris is Vice President, Marketing, of CareCredit, a leading patient financing company. For more ideas on building your clinic business contact him at 800-300-3046, ext. 247, or email at rmorris@carecredit.com.

London, 06/04 - Mrs. Rauni Ahonen did not expect to win a prestigious award in the Beauty Entrepreneur of the Year program. In fact, she did not expect to be in the beauty business at all after she was forced to end to her dream career in the 1980's when she became allergic to technical hair care products. But Mrs. Ahonen wasn’t about to sit back and passively accept her changed situation.

In the Spring of 2001, Rauni and her husband Timo Ahonen established a new kind of hairdressing salon in the centre of Helsinki. It is called ‘Salon Sensitive’ and it may be the freshest, cleanest, safest hair salon in the world.

In this new “safe salon,” "Hyvän Ilman Kampaamo," hairdressers use only an exclusive line of rigorously tested hypoallergenic hair care products. All her clients, even the

most sensitive allergy sufferers, can now enjoy professional hair salon services again.

Better yet, her stylists and colorists - some of them also allergy sufferers - know that they won’t be exposed to any unnecessary chemicals as they go about their work since each ingredient in the Sim Technical Product line (permanent hair colors, bleaching powders, perms etc.) is chosen strictly because it is the safest known for hairstylists who handle hair cosmetics day after day, year after year.

Salon Sensitive is housed in a building designed by Prof. Jan Söderlund and Architect AnttiMatti Siikala. It is a translucent glass creation and well known as the forerunner of a new international trend of glass architecture in Finland. Special attention was given in the design to the glass concepts of facades. Generous use of glass underscores the openness and lightness of the building.

This summer, Rauni and Timo Ahonen were among the Winners of the 2004 Entrepreneurial Excellence Award for Client Philosophy in the Beauty Entrepreneur of the Year Global Salon Business Awards program.

AVENTI CORP

How to increase

YOUR SALES 20%to30%

in 1 week

Use Aventi Corporation’s no up front cost framework, call (877) 835- 4247 If you heard the name Leonard Venti you probably know that he has done exceptionally well in the hair replacement business.At the early age of 18 he owned not one but three studios!

A

fter forty years of success and millions of dollars in sales, Leonard Venti has now created a company - Aventi Corp. The company capitalizes on Leonard’s hair replacement management expertise, and provides consulting services to individual hair replacement salons and companies nationwide.

Re-Organizing Whether you are starting a new company or improving an existing one, it is important to have a business mission, concept, and vision. Re-organizing has been a management trend in recent years. Unfortunately, it has not always been applied and used in an effective way to increase revenues.

Don Hale of The Hair Loss Center in Nashville Tennessee says ”Leonard took my already busy store and turned up the volume. We have more clients now than ever -and we’re earning more as a result of his program. More than I could have imagined” A business or company that has been in existence for sometime usually

Leonard Venti

has an infrastructure in place.

Therefore it may be necessary to drastically alter that structure and reorganize to become more effective.

Preparations for Growth Before attempting to get more business, you must lay some groundwork. This is what Leonard Venti does amazingly well. He calls it TQM. His basic principles for the Total Quality Management (TQM) philosophy of doing business are: a. satisfy the customer b. satisfy the supplier c. continuously improve the process

Says Leonard “customers want to get their money's worth from a product or service they purchase. For the companies that hired me to conduct sales seminars, I have generated $100.000 in sales and $300.000 in accounts receivable to be collected over the next year. All that, in just 1 week with the help of one assistant and one technician!”

I realized continues Leonard “we must change our ways of doing business. That is why I started Aventi Corp. Anyone like myself, to be in the business for over forty years has to have the passion for it and the pride of being a hair replacement professional. I would like to spend the next decade helping others!”

Do companies and individuals would like to see better sales results? Most likely, they do. But the question is, How? From within one’s own organization it is hard to see exactly who does what, why and how. Only those who are open to new thinking, skills and attitudes and apply this knowledge effectively will stand any chance of success and survival in the marketplace.

Aventi Corp. provides a no up front cost framework, step-by-step analysis, training, and support for developing the necessary sales structure for increased efficiency of individual sales, hair program sales, contracting new clients and re-activating inactive ones.

Let's get started right now on making your business a huge success story! Contact us today at:

(877) 835-4247 You can also email us at: TC1HAIR@aol.com

or visit our web site at:

www.aventicorp.com

11 The National Hair Journal Fall 2004

12 The National Hair Journal Fall 2004

LISTEN UP T H E I NT E R NAT I O NAL V OI CE F OR TH E S OLU T ION OF T HI NNI NG HA IR Everybody’s doing it - What have John R. from Long Island and Lynn Walsh in Australia got in common? They both listen to the National Hair Hour. It’s the only radio show ANYWHERE that brings the top hair loss experts to the microphone to talk about the latest research, the latest techniques and the best way to find out what’s right for you.

There’s nothing else like it, which may explain why listeners pull off the freeway to call in; or Email after the show with personal

DENSE PACKING Things are getting crowded in the sports section of your local newspaper. This valuable real estate is being over-populated with medical hair restoration ads; one piled one on top of the other. If a doctor has to be skilled at placing hair grafts, he now has to be equally adept when it comes to the placement of his advertising! In the example below, the doctor promising sophisticated technology and a softer hairline has to compete with ‘bargainbasement’ ads offering grafts for as little as $2 each… and even 50 free grafts if readers clip the ad and bring it to their consultation!

It’s getting rough out there. The ‘quality’ doctor is displayed right next to the discounters.

questions they trust the Hair Hour to answer.

Recent guests include, Dr. Walter Unger, one of the ‘Fathers” of surgical hair restoration. We’re going to take a minute to tell you about Dr. Unger, because he exemplifies the experience and wisdom of the hair loss experts who join us on the air. Dr. Unger has been transplanting hair since 1967. He is currently Clinical Professor at Mt. Sinai Medical School, New York; Visiting Professor at Johns Hopkins Medical School, Baltimore, MD; and Associate Professor (Medicine) at the University of Toronto. He is, in addition, the Director of the Cosmetic Dermatologic Surgery Program at Mt. Sinai Medical School in New York and Co-Director of a similar program at the University of Toronto. In addition to his academic and clinical work, Dr. Unger is the author of chapters on hair transplantation in 27 medical texts, has published numerous articles in medical journals and has been invited to deliver multiple scientific papers at medical meetings throughout the world over the last 30 years. The latest edition (2004) of his textbook, Hair Transplantation, is considered the standard reference text for hair transplant surgeons. A colleague, Dr. Richard Shiell, wrote in Hair Transplant Forum International, the official publication of the International Society for Hair Restoration Surgery, “When the history of hair restoration surgery is written in future years, the outstanding giant of our profession in this first half century will most likely not be a Japanese pioneer or some North American surgical entrepreneur, but Walter P. Unger, MD, a dermatologist from Toronto, Canada.”

Then there was Dr. Edwin Epstein, Chair of this year’s ISHRS Annual Scientific Conference. Dr. Epstein specializes in follicular unit transplantation and he shared his experience with listeners, answering their questions and concerns.

Dr. Bernard Nusbaum also joined us from Miami to talk with listeners and help them find answers to their problems. Dr. Nusbaum is an examiner for the American Board of Hair Restoration Surgery and operates a very busy hair restoration clinic in Florida. Dr. Shelley Friedman, 2003 ASHRS President, returned to the airwaves twice, once from his home base in Arizona and another evening from the Midwest. Dr. Randall Sword also took time out between surgeries to chat with callers. Dr Sword is well known on the West Coast where he owns and operates several medical centers, but listeners were also fascinated to learn that this quiet-spoken hair restoration expert is none other than the author of Emergency Room, the book that started one of the most successful TV series of all time!

Doctors are not the only guests – The Hair Hour wants listeners to know that this is THEIR show, and it does this by means of personal anecdotes we call, “Tales from the Chair.” Our last storyteller was Shannon Sorbara a hair replacement professional and educator who shared a moving story about helping a cancer patient retain her poise and dignity throughout chemotherapy. Then there was the studio in Orlando that goes out of its way to help returning Marines… we could go on and on. But the important point is this; when there is so much misinformation isn’t it great that the nation’s top hair loss authorities will give up their time to get the real facts out!

His portrait is just below a client ‘after’ photo which looks like it was taken from the FBI's most wanted list. I'm all for open competition, but this takes us back to the landscape of silicon breast implants - and we all know what happened to that market!

Why this matters – There is no other serious, 100% objective, source of information quite like the Hair Hour. It started on the West Coast. Now it’s in New York. Soon it will spread to towns across the country.

Everywhere it goes; the Hair Hour educates and builds trust. And trust is the only way to build a hair loss business.

Our thanks go to our spokespeople, our guests, our sponsors… and our listeners for taking the initiative to get information they can trust.

13 The National Hair Journal Fall 2004

A DV E R T O R I A L

FARRELL HAIR REPLACEMENT Industry News & Views FAL L 20 04 - DEDICATED TO HEL PING THE H AIR LOSS S UFFER ER THROUG H ULTRA- CUSTOM PR ODUC TS AND TEC HNIQUES

Fa rrell has been voted “Best in the World” in hair replacement for the past seven consecut ive years. Now, Richard Farrell, President and founder of Farrell Hair Replacement is offering hair replacement salons worldwide the chance to become part of the best.

“I’m pleased to announce that qualified salons worldwide can now offer their clients the same ultra-custom hair systems that have earned us the title of ‘Best in the World’ for the past s even years,” said Farrell in a statement from his Los Angeles headquarters. “We’re excited to offer industry salons the opportunity to become part of our family of ultra-custom a ffiliate salons.”

Once a small salon located in trendy West H o l ly wood, Farrell Hair Replacement continues to experience tremendous and unparalleled gr owth, apparently immune to the economic recessions that have left the rest of the nonsurgical hair replacement industry stru g g l i n g .

O ver the past three years, Farrell has opened up salons in New York City, Chicago and Atlanta with plans to open in Mexico City later this year.

Fa rrell Aff iliate salons have sprung up this year in the United Kingdom in both London and Manchester as well as in Auckland, New Zealand. According to Farrell, new Fa rr e l l A ffiliate salons will open this fall in Montana, Ohio and Philadelphia.

“It’s simple to go ultra-custom” Professionals interested in enrolling as a Fa rrell affiliate salon are always pleased to find the process uncomplicated.

“It’s simple to go ultra-custom,” said Fa rr e l l . “ S i m p ly go to my wholesale website at w w w. fa rr e l l - wholesale.com and fill out our enrollment form and our survey.”

From there, enrollees will are issued a username and password to access the Members section of the website, granting access to general wholesale information as well as hair system and wholesale pricing options.

Farrell promises that “everything will change at your salon when you promote” his higherquality ultra-custom hair systems. “It isn’t hard to imagine the large amount of new sales by up-selling your present clientele,” Fa rr e l l said, adding, “Clients want quality and will of course welcome the opportunity to wear the highest quality hair systems imaginable.”

Farrell hair systems are delivered to aff iliate salons “ready to wear.” All Farrell proprietary knotting and refinement techniques will have already been incorporated into each hair system. “There’s just no reason for salons to be limited to the inferior factory-made hair systems flooding the market today,” said Fa rr e l l .

#1 Website Puts Clients in Your Chair A cornerstone of Fa rr e l l ’s success and growth has been the high visibility of his award-winning and informative Internet website.

“We’re consistently ranked #1 in all of the search engines as a result of the popularity of our website,” Farrell mused. “We have the best product and people know about it because of our website rankings. Hair systems that are voted number one deserve the number one search position.”

This fact will be good news to those aff iliates who partner with Farrell. Farrell lists all of his affiliate salons on his high prof ile website and o ffers incoming referrals and consultation requests to the nearest affiliate salon.

“Farrell has come through for us in every way, especially in the area of Internet referrals which we receive on a daily basis,” said Warren Vaheeswaran, a Managing Partner of Fa rr e l l ’s UK affiliates. “This is an amazing benefit. Fa rr e l l ’s website puts clients in our chair.”

RICHARD FARRELL FOUNDS HAIR REPLACEMENT ACADEMY Just months after making his award-winning hair systems available to affiliates, Farrell has announced the establishment of the first full-time hair replacement academy. “After receiving many appeals from professionals who desire more training, it seemed like the next logical step,” Farrell said. “My techniques that have made my systems the best in the world have been proprietary, but making the training available to other professionals ultimately helps more hair loss sufferers.” Located in Atlanta, the Farrell Academy will be the only place where professionals can raise their level of expertise and do so in a real working environment.

The curriculum covers all artistic elements of hair systems including designing, base making, ventilating, repairs, lab techniques, attachments and system cutting as well as workshops on how to start a HR business from the ground up, including computerization, website building and online marketing. “No more secrets,” Farrell adds. “You can learn it all here.”

Farrell Offers Training, Training and more Training Richard Farrell is quick to point out that his company is not the only hair replacement company expanding and he’s just as quick to draw distinctions.

“In our industry trade magazine, you’ll see the ads from large discount and fa c t o ry - r e l i a n t chains offering to ‘acquire’ existing salons,” pointed out Farrell, “but I’m not interested in acquiring salons. My goal is offer superior systems, training and support to ex i s t i n g salons to help them improve their craft, their skills.”

“I offer a completely different model,” added Farrell. “What’s the point of letting a huge company ‘acquire’ your salon if they don’t d e l iver a quality product to your va l u e d clients? That’s like turning over your herd to the wolf. Farrell affiliates get better trained to better serve their clients.”

The long process of training new staff can seem like a daunting task. But Farrell offers its affiliates access to the Farrell Educational Video Library to assist new staff in ultra-custom techniques.

Printed lessons and instructional videos are made available in-salon as well as online.

Stylists can simply view the videos, take notes and they are ready to test their knowledge.

Lesson topics include hair system attach-

ments, cleaning, designing and more and comprise only a small part of the comprehensive affiliate support that Farrell promises his affiliates when they sign up to be part of the best.

Farrell Website Supports Your Clients

Continuing the theme from his much-talkedabout presentation at the AHLC show in Nashville, Richard Farrell is a man on a mission. “I am determined to help change this

Farrell affiliate training is not limited to aff iliate staff. Fa rr e l l ’s affiliate program also grants affiliate clients access to his Client Support website, a first in the industry.

“Like so many things Farrell does, we were the first in the industry to provide our clients with online support,” said Farrell. “Since ultra-custom hair systems are comprised of so many elements, problems can arise with the client and the Client Support website is only one click away.”

Clients may access the client support website to communicate with Fa rr e l l ’s client support d e p a rtment to remedy a probl e m .

Maintenance issues are tracked until resolution and the website features live online assistance, a chat room and a user forum where a client may solicit advice from other clients.

Online manuals feature easy step-by-step written and photographic instructions for attaching, bonding and coloring hair systems.

“We promised to always be on the cutting edge of new hair systems technologies across the board,” said Farrell, “and we’re simply making good on that promise.

Premier Hair Replacement Products Farrell Hair Replacement has made its mark on the industry by being a company of “f irsts.”

Not only was Farrell the first company to offer lace-front hair systems for general use by the p u blic (before then, lace systems we r e reserved for Hollywood movie sets) but were the first to offer their clients the convenience of a client support website and the first to take their ultra-custom message and hair systems on the road, performing their “Pe r s o n a l Consultation Tours” across the United States and Europe, performing consultations in over 40 US cities.

Another first: the production of The Fa rr e l l Hair Loss show, the f irst cable television show dedicated solely to discussing hair loss and hair loss treatment methods. Fa rrell also r e c e n t ly opened the first full-time hair replacement academy in Atlanta, dedicated solely to offering advanced hair replacement and business education.

Most significant is that Fa rrell Hair Replacement was the first offer a custom line of hair care products specially formulated for hair replacement systems. Farrell brand shampoo, conditioners, adhesives, holding sprays, gels and mousses had been made exclusively available to Farrell clients, but as word spread of the quality of these specialized products, hair system wearers from all over the world began ordering the products.

A new and improved line of products, the Farrell Formula, will be released to the industry in the fall. Formulated again by Premiere Products in California, these new products, which will include skin care treatment products, are designed to revolutionize the hair replacement industry by providing the client with the ultimate in quality.

Scott Heiny of Premiere Products stated that PPI is very pleased to be making a custom line of products to compliment Fa rr e l l ’s superior hair systems.

“Richard’s work is truly exceptional and the best hair systems not only deserve but demand the best products. It’s great for everyone that Farrell will now be wholesaling these products to his aff iliate salons. Reaching more people

Farrell Hair Replacement, Inc. 518 N. La Cienega Blvd.

Main website: www.farrellhairreplacement.com

RICHARD FARRELL ISSUES RALLYING CRY: “TAKE BACK OUR INDUSTRY!”

Wholesale website: www.farrell-wholesale.com

industry with education.” Farrell said. “There is no reason for hair loss sufferers to wear factorymade, detectable hair systems.”After outlining his concerns to the AHLC Board and membership last September, Farrell is utilizing his high Internet profile and influence to take his case directly to the salon operators. “Somehow, someway the large manufacturers have tricked salon owners into believing that the manufacturers are the industry when the reality is the exact opposite,” Farrell added. “On my websites and in my direct mail campaign to salon operators, my message is simple:You are the industry! Stand up, speak up and force a change” With Farrell’s successful wholesale operation, his affiliate program and his newly christened hair replacement academy, Farrell stands ready to go toe to toe with whom he calls “the Good ol’ boys.” “Nobody should be reliant on these companies. With Farrell education, with the AHLC sponsored industry shows, there are alternatives.” means helping more people,” said Heiny.

“That’s Richard’s passion.”

Changing the Industry, one salon at a time Industry watchers are familiar with Fa rr e l l ’s view that the factory-reliant nonsurgical hair replacement industry has “destroyed the a rt i s t ry.”

“What I want hair replacement salons to understand,” said Farrell, “is that they don’t have to accept these mediocre hair systems for their clients; there is a choice.”

“Obviously, I cannot serve every hair loss sufferer in the world, so my approach is to reach out to my colleagues in the industry and empower them to not only offer their clients a solution that actually solves their hair loss problem, but to learn hone their skills as artists and craftsmen,” added Fa rr e l l .

“Most salon owners don’t want to put these ridiculous rugs on their clients, but many don’t feel that they have it in them to perform these ultra-custom techniques,” said Farrell with a touch of irony in his voice. “That’s exactly how the big middle-men suppliers want them to feel. The Farrell Affiliate program is here to change all of that.”

“Farrell is not about acquiring,” added Fa rr e l l .

“Farrell is about empowering, changing the industry one salon at a time.”

Those salons interested in becoming Fa rr e l l Wholesale Affiliates may sign up at www. fa rrell-wholesale.com.

Los Angeles, CA 90048 Phone: 310 289-9260

Fax: 310 289-1253

YOU AND YOUR CLIENTS WANT BETTER HAIR SYSTEMS! - BECOME A FARRELL AFFILIATE TODAY!

14 The National Hair Journal Fall 2004

Legal Brief: TRADEMAK PRIMER (continued from pg.6) Arbitrary or fanciful marks relate no information about the particular function or attributes of their goods or services.

Rather, their sole function is to identify the source of the goods or service and distinguish them from the goods and service of others. Examples of fanciful marks are “Kodak” for cameras and film and “Google” for internet search engine, while arbitrary marks include “Apple” for computers and “Mercury” for boats.

Suggestive marks fall somewhere in between descriptive marks and fanciful or arbitrary marks. Suggestive marks, as the name implies, “suggests” some attributes or functions of these goods or services without describing them. A suggestive mark contains an element of incongruity pre venting the characteristics of the particular good or service from being readily apparent to the consumer. Suggestive marks require the consumer to make a cognitive leap of imagination to connect the mark with certain characteristics of the goods or services to which they relate. Examples of suggestive marks are “Snackwells” for cookies and “Find” for information retrieval services.

How Do I Adopt and Protect a Trademark?

First of all, as outlined above, when you are going to choose a mark for your goods or services, make sure that the mark is not generic or merely descriptive. Focus on potential marks that are arbitrary, fanciful or suggestive.

After you settle on a potential mark, and before you roll out a full-blown marketing program and incur the related expenses, make sure that the mark is strong, unique and is not similar to other marks for similar goods and services. You do not want to be in a position where your mark would directly conflict, or cause a substantial likelihood of confusion, with a prior established mark.

Moreover, you would not want to adopt a mark which, while not directly in conflict with other marks, would contain a word, phrase or key derivative that appears in many other marks. This would cause your mark to be relatively weak.

As a starting point, you could perform an internet search to see if anyone is using the same or a similar mark on related goods and services. Once you are satisfied that your mark passes that test, it would be a good idea to have experienced trademark counsel perform a preliminary search on the PTO database of trademark files, and assuming positive results, to order and review a full U.S. trademark search on your prospective mark. The full search will identify current registrations, pending applications and lapsed filings in the PTO, as well as state registrations and common law usages of marks which are identical or similar to your proposed mark or a deviation thereof.

Once you and your trademark counsel are satisfied that your mark is appropriately strong, unique and free of potential conflicts with other marks, you can proceed to file an application to register the mark with the PTO. It is important to note that the trademark application must recite the specific goods or services to which the mark relates. In other words, a trademark will apply only to the specific goods or services stated in the registration. Goods and services are grouped and classified into several different standard international classes. So, a trademark registration for the mark “Mane Attraction” for hair replacement services in Class 44 will not afford you any rights or protection for the mark in connection with hair care products in Class 3 or hair brushes in Class 21 or souvenir tee shirts in Class 25, unless you also register the mark in, and pay the additional registration fees for, the additional classes of goods and services.

You can apply for registration based on your actual use of the mark in interstate commerce. The use must be a bona fide use in the ordinary course of trade, and not merely a token use to reserve a right in the mark. Thus, an isolated newspaper advertisement for services using the mark or mailing a product with a tag or label bearing the mark to your sister in Cincinnati would not qualify as a bona fide use for purposes of an in-use registration.

However, if you want to start the registration process prior to your anticipated bona fide first use, the law allows you to file an intent-to-use trademark application. The application is substantially similar to the in-use application, except that instead of stating a date of first use and providing examples of how the mark is being used, you will allege a bona fide good faith intention to use the mark in interstate commerce within six months after the PTO issues a Notice of Allowance for the mark.

The PTO will issue a Notice of Allowance if the mark and application satisfy the registration requirements, and no other trademark owner opposes the registration.

Once you begin the bona fide use of the mark in interstate commerce, you will have to file a Statement of Use, attesting to such use, by the six month deadline.

Extensions to the deadline can be obtained upon a proper showing.

During the pendency of your trademark registration application, you should place the letters ™ or K on the upper right corner of your mark whenever and wherever it appears in connection with the goods or services. As an example: Mane Attraction™.

This provides notice that you are claiming proprietary rights in the mark. Once the mark is registered, you should place the symbol ® in the upper right corner of your mark to denote its registered status. As an example: Mane Attraction®. But be careful: you are not allowed to use the symbol ® in connection with your mark unless the mark had been registered. Until that time, use the ™ or K.

What is the Benefit of a Registered Mark?

A strong, registered trademark or service mark is a valuable asset to any business enterprise. It serves to distinguish your goods or services from those of your competitors. It allows for consumer confidence by its identification of the source and inherent quality of the goods or services. As a result, the mark becomes a repository of the good will of your business and a very valuable and marketable asset indeed.

Federal registration serves as constructive notice to the public of your proprietary rights to the mark. It represents the legal

presumption of your ownership of the mark and your exclusive right to use the mark nationwide in connection with the related goods or services. In any action to enforce your rights under the Lanham Act, you have redress to the federal courts where, among other remedies, you can seek an injunction to prevent competitors from using identical or confusingly similar marks on similar goods or services. Also, in the event of an intentional infringement, you can seek treble damages against the infringer.

Conclusion This article is intended to provide only a brief primer on basic trademark matters.

You should be aware that there are a multitude of issues, procedures and concerns regarding trademarks and the registration process which are beyond the scope of this article. If you intend to adopt a trademark or service mark or seek federal registration, it would be well worth your while to seek the advice and assistance of competent trademark counsel.

Joel L. Morgenthau and Vincent A. Balardi of Morgenthau & Greenes, LLP, a New York based law firm with expertise in servicing clients in the hair industry, prepared this article. Inquiries about his article may be directed to jmorgenthau@mg-llp.com.

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15 The National Hair Journal Fall 2004

Concern Foundation Honors John Ohanesian Beverly Hills, CA, 07/04 - Bosley is a company with priorities. President and CEO, John Ohanesian believes one of the most important is to have a role in the community as a supporter of nonprofit organizations. Charitable groups sponsored by Bosley include the Didi Hirsch Community Mental

major contributor to Team Up for D ow n ’s Syndrome organized by patient, Rex Hudler, the A n a h e i m Angels TV and radio color analyst.

B o s l ey has also donated hair care products to numerous educational and religious organizations for fundraising auctions.

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Health Center, The A c h i eva bl e Foundation, the Curtis School in Los Angeles, the Westside Children’s Center and the Long Beach Sports Council. In addition, Bosley welcomes suggestions from employees for other wo rt hy causes. Recently, Bosley sponsored employee Rachel Sorenson as a participant in the triathlon for the Leukemia & Lymphoma Society. Even patients have their input. Bosley was a

focus, it is not surprising that the Concern Foundation for funding cancer research worldwide selected John Ohanesian be honored at the 30th annual fundraiser on July 17, 2004 in Los Angeles.

The Concern Foundation has waged a war against cancer every year by raising money at its signature event and by promoting public awareness of its community outreach programs.

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16 The National Hair Journal Fall 2004

17 The National Hair Journal Fall 2004

There's a good chance you've heard of Hans Wiemann. His name has been synonymous with hair replacement in St. Louis for over 40 years. Hans is a fourth generation hair replacement specialist, and is known for introducing his clients to the gradual hair replacement system. A protégé and client of Hans Wiemann for many years, company, President, Tim Pfeiffer, now manages the business and is committed to introducing new products and marketing tools that will keep the Midwest’s largest hair-management company at the front of its field.

Today, over half of Hans Wiemann’s clients are women. A high percentage is from minority ethnic groups that find a caring and skilled environment for their special needs.

Six of the company’s consultants are AfricanAmerican. Hans Wiemann offers medical and non-medical hair loss solutions as well as low-level laser light treatments and skin resurfacing, also known as microdermabrasion.

If the client services have expanded, so have the management tools needed to control this growing enterprise. When the CLIENTrak Hair Replacement software was developed, Hans Wiemann signed on. This gave the company several advantages since this software was the industry’s first dedicated hairreplacement application. Over the next couple of years, they replaced CLIENTrak HR with a more powerful software application called KORVUE®.

KORVUE is also designed for the hair-replacement and restoration industries, but harnesses more features than CLIENTrak. The Journal spoke with Tim Pfeiffer to find out whether KORVUE was helping his business and what advice he would give to other owners and managers.

NHJ: I want to put things in perspective for our readers before we start; Hans Wiemann is one of the largest hair management facilities in the country, offering a wide selection of hair loss solutions. You also provide special hair-maintenance regimens as well as skin care and other personal-enhancement procedures. To control this complex operation you have been using a new generation of specialized hair-management software.

TP: That’s right. We had to. Our facility is spread over three floors of a building. We have a plastic surgeon working with us; we do micro-dermabrasion, glycolic facial peels in addition to our traditional hair replacement work. It’s a very busy office. When I took having that much paper given the diversity of our offerings and the number of people coming in here.

NHJ: Is salon-management software only for big businesses like Hans Wiemann?

TP: It’s never too soon to start. My advice to smaller studios is test the waters. By all means experiment with different offerings, but be prepared for the future by having the right management tools in place.

NHJ: What about the salon with just one chair; could it benefit from salon management software?

TP: It doesn’t matter if you’re a one-person or a multi-location business; there are many ways to benefit. It could be more free time, more financial control, better client service or even more new clients. Everyone will use the software differently. It all depends what is important to you, not how big you are.

NHJ: You are currently using “KORVUE®.”

Was this your first salon-management tool or did you experiment with other applications first?

TP: We started with “CLIENTrak HR.” When KORVUE became available, we applied to become a beta test site for them.

NHJ: What is the benefit of using a custom hair-loss application over generic salon software?

TP: KORVUE is tailored specifically for the hair replacement industry. You can customize it to the nth degree for your own use. From the “Director’s” screen you can be informed about everything from hair systems you have to order to “Alerts” telling when you need to do things.

NHJ: Can we go through some of those areas one by one?

TP: I’ll start with scheduling. This used to be done using a large paper book and, of course, there were a lot of mistakes. Today, techni-

cians who were afraid of giving up the book now find the computerized scheduler faster, easier and more accurate. It helps them every time a client calls or comes in for service. I’ll give you an example. Our receptionist or stylist can “hover” over a client’s name in Scheduler and immediately see things like the ‘program’ the client is on and how much money he owes. This information is available just by hovering over the client’s name with the mouse.

NHJ: That beats a filing cabinet or client cards!

TP: I can’t imagine not being able to go into a room without knowing everything there is to know about my clients.

NHJ: What about new business?

TP: KORVUE automatically sorts and groups different categories of leads so we can send out customized mailers or Emails.

Once a lead becomes a client, the software automatically converts him or her to “active” client status and sets up an account. It then tracks everything that happens with that client; products sold, service visits, you name it. We have a history of everything that has happened with that client always at our fingertips.

NHJ: What about back-room things like product orders and deliveries?

TP: I know how many hair systems you are entitled to according to your program and when they should be ordered. I also know the date that your program should be renewed.

NHJ: Can you integrate a photograph into a client record?

TP: You can have unlimited photographs of clients saved on their screen.

NHJ: Is it helpful to your consultants to see a client’s photo when they make a phone call?

TP: It is particularly valuable with potential clients. It reminds the consultant about their

last meeting and the person’s hair loss situation.

NHJ: What about book-keeping? How does the software integrate with the financial part of your business?

TP: You have probably about 200 business reports available to help you track your business or the productivity of individual employees. You can monitor any given aspect of your business, for instance the sale of non-surgical hair, surgical transplants or products and services. It’s all available at the click of a mouse.

NHJ: Does KORVUE integrate with Peachtree or QuickBooks?

TP: Yes, KORVUE exchanges data automatically with QuickBooks.

NHJ: Most people who read this article are not, and don’t want to be, skilled in computer technology. Does KORVUE require special skills or training?

TP: Not really. There are different levels in KORVUE and even different levels of security. All my technicians know how to hover over their clients to find out what their schedules are or how much money they need to pay.

NHJ: Is there a central training facility or somewhere people can go for instruction?

TP: You can have people from KORVUE come to your studio. That’s what we have done.

NHJ: You mentioned that you were one of the original beta testers. Is KORVUE a stable application that people can use with confidence?

TP: Yes. We were there in the beginning and we lived through every update as new features were added. I feel it’s a reliable tool you don’t have to worry about running your business because KORVUE is handling it for you.

NHJ: I’d like to walk through a couple of scenarios. It’s a typical business day. The receptionist has just arrived. What does she do first?

TP: The first thing she does is clock in using the KORVUE time clock. Then, she would go to the ‘Director’ screen to see if she has any tasks that have been assigned her. Then she would go to the “Scheduler” and see who is scheduled to come in during the day.

NHJ: When a client checks in, does KORVUE generate any kind of work-slip or requisition? (continued on page 19)

18 The National Hair Journal Fall 2004 ment commercial. And I haven’t.

By Steven DiManni

Steven DiManni

W

hen Bill Clinton began his Quixotic run for the presidency in 1992, pasted across every Clinton campaign headquarters was a sign that read, “It’s the economy, stupid”. The sign was intended to keep “on point” the campaign message of the ex-Arkansas governor in his run for the presidency.

answering machines and caller I.D., and one other not-so-little issue: As opposed to fifteen years ago, almost every American male losing his hair has now been exposed to hair replacement TV commercials. Basically the same commercials that ran fifteen years ago.

The only difference is that today’s potential first-time client has seen the same one around fifteen hundred times.

Since then, “It’s the ______, stupid” has become part of the American lexicon. I have, with apologies to Dick Morris, paraphrased the Clinton campaign anthem as the headline of this article for reasons that will hopefully become apparent.

Bud Light and Geico When Bud Light broke its commercial, “Here’s to you, Mr. Bad Toupee Wearer”, most people in the industry took this to be an attack on the business.

Today, there are many who have all but written off the men’s non-surgical hair restoration business. Studios have become disenchanted.

Some have gone so far as to declare the men’s non-surgical business dead.

Not so. Neither myself nor any of my colleagues on Madison Avenue try to come up with ideas that bad mouth an unrelated product. Rather, we come up with ideas that attempt to elevate what we’re selling.

I am here to say, in the words of Mark Twain, that reports of its demise are greatly exaggerated. It isn’t the men’s business that is dead, but rather, the marketing techniques that have been traditionally used to drive the category.

If you look at the Bud Light spots, you’ll see all the visual trademarks of traditional testimonial hair replacement commercials: the man driving a convertible, the man coming up out of the water in a pool, the man with a girl cooing at his side. Bud Light was parodying a style of commercial that its potential customers find to be ridiculous.

There are those that claim that it’s hard to attract new, first-time clients because it’s no longer in fashion to wear hair (as if it ever was); others blame the business slowdown on Rogaine and Propecia; some claim that the fall off in men’s non-surgical business is directly tied to improvements in surgical restoration; still others link the business slowdown to the popularity of men shaving their heads; finally, there are those who believe that men aren’t bothered by hair loss as much as they used to be.

You can’t have it both ways But…it’s impossible to say that the men’s business is off because men aren’t bothered by hair loss and then in the next breath say that business is down because it’s fashionable today for men to shave their heads. If men aren’t bothered by hair loss, then why are they shaving their heads? This is as improbable as saying that hair loss isn’t the issue it once was when Rogaine and Propecia rake in millions of dollars at the retail counter.

Shaved heads, the “never weres” For those who think that they’re getting fewer first-time clients because it’s become fashionable for men to shave their heads, take a look around.

How many men with shaved heads do you see every day? Versus how many men with bald heads?

Face it; men with shaved heads never were potential clients in the first place. And as far as baldness now being in fashion, ask yourself this: does the guy shave his head before or after trying Propecia?

Transplants are better Perhaps the best reason, though not an accurate one, to explain the paucity of new, first-time clients is that hair transplants have dramatically improved in the past ten to fifteen years.

But while transplants can achieve better than ever results, they are still hampered by the same negatives: the need for a suitable donor area that may or may not result in a favorable outcome, the reluctance of many men to go through surgery, and the high initial cost.

Nothing’s changed; everything’s changed.

In some respects, nothing has changed over the past fifteen years. Men are still losing their hair. Men still want hair. There’s still no magic pill to regrow hair.

On the other hand, other things have drastically changed. There’s the internet and email, the proliferation of

By parodying the commercial, Bud Light is saying, in effect, to potential customers, “hey, we’re just like you. We’re cool, we know what isn’t, and this hair replacement commercial stuff is not cool.”

And who are Bud Light’s potential customers?

The same young men who are the potential clients of the hair industry.

Don’t believe me? How about the Geico spot

that uses almost the same video imagery as in the Bud Light spot. At commercial’s end, a doctor tells a bald man, “I have great news.” The man replies, “You mean you can restore my hair?” “No”, the doctor says, “I called Geico and saved a bundle on my car insurance.”

If anything, the Geico commercial was targeting hair transplants. But it really wasn’t. Just the imagery used in hair transplant commercials--the same imagery used in non-surgical hair replacement commercials.

The point is that the commercials that the industry has relied upon for years have become a cliché. A joke. A mockery. Is it any wonder that men don’t respond to them anymore?

Why the same old,same old?

The traditional testimonial commercials I allude to have been in existence for over 15 years. Men driving in convertibles, men on jet skis, men with adoring women, all talking about how their new hair has given them back their “confidence”, all urging viewers “to just make the phone call and do it.”

But no one is picking up the phone.

The reasons that the hair replacement industry keeps reprising the same tired commercial formula is because the commercials are relatively cheap to produce, they require no new ideas (ideas are expensive and hard to come by), and they worked once:: “hey, they could work again if we just do them the right way, right?” Wrong.

Open your minds and your wallets When I started consulting for Andy Wright seven years ago, I told him flat out that I would never create a traditional hair replace-

Since that time, we’ve produced commercials with men rubbing strawberries on their faces, men talking to a frozen chicken, and women who say that bald men better have a hunk of cash if they want to get their attention.

Pretty controversial stuff. Too controversial for many studios to want to run these spots. But for those who did, and do, it’s suddenly 1989 all over again: More than one studio that has used On Rite commercials has had to cancel its media buy because they received too many leads….far more than they could telemarket.

It takes more than advertising Today, it’s not enough to just get a pile of leads.

You have to bring these people in for consultations. Can’t reach them on the phone? Then use email. Can’t get someone to read a brochure? Then send them a DVD. Or to a website. But that’s a subject for another article.

The reason I bring it up here is to illustrate that the industry needs to change its entire mindset.

The first thing taught in psychiatric class is that repeating the same actions over and over yet expecting a different result is a sign of psychosis.

I’m not saying that anyone in the industry is crazy (well, there may be one or two). What I am saying is that the industry’s assessment of why it can’t attract new, first-time clients is crazy. It’s not the Rogaine that’s causing the industry problems. It’s not the shaved heads.

It’s not the transplant business. It’s the advertising, stupid. And the smart thing to do is change it. Now. And then put some money behind it. And watch the dollars roll in.

Steven DiManni is a 24-year veteran of Madison Avenue and a 23-year veteran of the hair restoration industry. He has won almost every major advertising industry creative award, including Clios, Andys, and Effies.

Steve is a Senior Vice President and Creative Director at a $100 million New York advertising agency and a long-time consultant to the On Rite Company.

The National Hair Society Your connection with the future The place where professionals from all backgrounds can meet to explore new ideas.

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21 The National Hair Journal Fall 2004

Who Will Be the Next Salon of the Year?

Do Your Clients Dread Going To BED?

At the end of every year, the National Hair Journal reviews nominations for the new Salon of the Year. The rules are simple.

You have to be nominated by someone else; a supplier, another business, or a disinterested third party. No one can nominate themselves.

888.397.9844

Help them rest easy in total security!!

However, you can lobby a third party to recommend you, and if they do so, they should send a brief, one paragraph statement indicating why your business is special to: The National Hair Journal Salon of the Year 39252 Winchester Road, #107-383 Murrieta, CA 92563 Or e-mail to: news@nationalhairjournal.com We must receive nominations by October 15th. No other paperwork is necessary at this time. If you make it through the first screening, we will send you a questionnaire, arrange to get photographs, and you will move forward to the finals.

The Salon of the Year will be invited to a prestigious ceremony where the 2004 Trophy will be presented to you.

Remember, this is not about being the biggest or most profitable hair business.

We are looking for hair studios and clinics that will inspire others and serve as a role model in terms of decor, management techniques and service to the community.

We now stock the most popular bonding hair replacements with the Newest Image and the Right Fit. Unbelievable Factory Direct Prices on A L L STYLES • A L L THE TIME Available for immediate delivery in 48 of the industries most popular colors and sizes

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Bosley Celebrates Its 30th Anniversary

Hair Club Builds Management Team Duncan Robinson has been named VP Product Development, responsible for all new product lines; Women’s Hair Loss Solutions, Therapies, Hair Care Products and Hair Transplants.

Dr. Gaffney

Dr. Jones

New Medical Team at Hair Club Hair Club has a new team to direct its continuing expansion into medical hair restoration: Dr. Jon W. Gaffney ,MD, FACS has performed over 10,000 Hair Transplant Procedures over 20 years. A board-certified plastic surgeon, Doctor Gaffney specializes exclusively in follicular unit hair transplantation.

Dr. Roy Jones, MD, FACS Board certified with over 23 years of practice, Dr. Roy Jones is one of the leading authorities in follicular unit hair transplantation using stereoscopic microscopes.

Dr. Dan Didocha, DO, FACS began per-

1.888.397.9844 for free brochures

Dr. Didocha

Dr. Holzer

forming hair transplants in 1984 and since 1991 has fully dedicated his medical practice to performing hair transplants. Dr. Didocha Has Performed Over 13,500 Hair Transplant Procedures Dr. Eric Holzer MD a Board Certified transplant surgeon in New York City with more than 7,000 procedures.

Bosley celebrated its 30th anniversary in grand style at the St. Regis Hotel in Los Angeles on July 31st. It was a beautiful summer evening as guests gathered in the gar den for cocktails and hors d’oeuvres. The event was attended by Bosley employees and executive team as well as guests from Aderans: Mr. Okamoto, Chairman and CEO, Mr. Sekita from the Overseas Division, Mr. Ishii, and Mr. Minowa . Joining the celebration was Peter Gensler, President of International Hair Goods, Okyo Sthair, President of New Concepts Hair Goods, Inc., and Kazu Fujita, President of Rene of Paris. Master of Ceremonies for this auspicious event was none other than Bosley’s own COO, Armen Markarian.

Dr. Bosley at podium During dinner in the Grand Ballroom, special tributes paid to guest of honor Dr. L. Lee Bosley, the company founder and hair transplantation pioneer who is seen here thanking his guests and friends for 30 years of accomplishment. The highlight of the evening was the presentation of a 30th Anniversary video made especially for the gala evening, which included a personal message from Mr. Okamoto, a history of Bosley milestones, and a vision of Bosley as a world leader in hair restoration.

20 The National Hair Journal Fall 2004

New Image Blooms in the Garden State Atlantic City, NJ, 08/04 – New Image made its third and final stop of the year for its New Jersey 2004 Regional Seminar, where several new products were announced, including the NX-GEN line of skin and lace hair replacements and a four-step scalp treatment to prepare for product adhesion (see back page ad). Senior officers Scott Walmsley, Tammie Gulker and Oscar Urzola were on hand to welcome national and international guests.

New Image believes it has hit on a winning formula with a combination of business lectures and hands-on education. The two-day New Jersey seminar touched on all aspects of hair replacement and produced quite a stir with the unveiling of two “one wear” hair replacements in the NX-GEN line, Skin Effects and Lace Effects. The units featured invisible hairlines; one wearer actually tanned through the base!

New Image, C.O.O., Scott Walmsley and consultant Mike Montemurro, together with Tom Scotti, Keith Zimmerman and Darryl Graham hosted “Owners Only” breakout sessions with a focus on strategic business planning.

Topics included the New Image Mentoring Program, successful marketing and advertising strategies, alternative technician pay scales, program sales and an introduction to the recent New Image Web Order Central, an exclusive e-commerce ordering system located at www.newimagelabs.com.

New Image welcomed back long-time friend and keynote speaker, Geno Stampora who inspired the crowd not only to excel in their own business-

Innovative Hair Has New Home Boca Raton, FL. 08/04 - Advanced Hair / Innovative Hair has relocated to a stylish new headquarters that reflects the company’s commitment to fashion. In addition to its regular distribution services, the company also plans to create a state of the art retail center on the premises to test new products and hair replacement techniques. “As innovators, we have a spe-

es but in their personal lives. He was followed by two days of live demonstrations by the platform artistry of Luigi Caruso and Peggy Lowe who presented the new NX-GEN Skin Effects and Lace Effects. Miami salon owner, Gilberto Febles, conducted a two-day breakout session which examined advanced attachment methods for the ladies market and conducted hands-on extension workshop featuring Secret Strands™. Don Baker, teamed up with Kimberly Vaughn to introduce the latest New Image hair replacements and adhesives. On Monday, Kimberly reviewed the women’s market,

giving a sneak peak of the next generation of products.

New Image states that 2004 has a great year for clients who have taken advantage of the its professional guidance and mentoring. Never a company to stand still, New Image is already planning its 2005 Regional Seminar Series, with the first stop in South Beach, Miami, where they look forward once again hosting to clients from all over the world.

Colorists Hosted by American Board of Certified Haircolorists!

Guest educator Chad Siggers (2nd from left) showing the ‘Balayage’technique to Summit attendees.

Los Angeles, May 2004 - Over 500 salon industry professionals attended the recent 4th annual ABCH ‘Energizing Summit’ A private driveway leads to Innovative’s entrance

Modern Italian furniture graces the reception

cial responsibility to test everything we recommend to our customers” said CEO, CJ Gazerro. “We can do that best by working with customer’s right here next to our marketing offices. We will share that experience through customized education programs we plan to host here in this facility.” Innovative Hair expects its fashion-driven salon to open shortly.

Movie Magicians Mystified at Makeup Artists Tradeshow Story & Photos by Scott M. Diehl

Pasadena, CA- Hollywood makeup artists were impressed by a demonstration of hair replacement techniques at the 8th annual Intl. Makeup Artists Tradeshow. Richard R. Snell’s masterpiece Farrell teamed up with Academy award-nominated, and Emmy-winning, makeup artist Richard Snell (Artificial Intelligence, Amistad, Lethal Weapon 3) to demonstrate a bald cap topped with a “full-cap” hair

replacement system.

In an age of computer-generated special effects, and m a k e u p artists who can effortlessly make a twenty year old man a p p e a r eighty, it Farrell (L) adds hair to bald cap remains a challenge to create an undetectable bald cap, topped with an undetectable hair system, cut short into a “buzz cut.” But that’s what the Farrell/Snell team set out to achieve.

As Richard Snell began his bald cap demonstration, there was a buzz in the

convention hall as none other than Academy Award-winning makeup pioneer Dick Smith (The Exorcist, Astonished Dick Smith (R) The Godfather, Amadeus), arrived to watch the demonstration. One hour later, the model sported a buzzed head of hair and the crowd applauded as it moved in to examine the finished product. Dick Smith, who had been looking on closely, commented, “This is fantastic!”

“It’s ironic,” Farrell mused, “because the hair replacement industry has resisted this level of craftsmanship and artistry to help the average person suff e r i n g from hair loss. But R. Snell says ”wow” fellow artists recognize the value right away.”

2004, hosted by the American Board of Certified Haircolorists in Los Angeles.

ABCH President Andre Nizetich reports that colorists traveled from throughout the country (including Hawaii) to attend the multi-level 2-day program of generic color education classes, interactive workshops, motivational speakers, and a skill-challenging speed-foil competition. This year’s ABCH ‘Energizing Summit’ featured 141 classes, 40 educators, 19 hands-on workshops, and for the first time, a larger exhibitor area hosting a variety of the industry’s leading companies. Manufacturers attending included, Wella, Ergo, Schwarzkopf, Product Club, Kadus, Perfect Results, Avant Garde, Crystal Film, Sally Beauty and OxyFree.

Virtual Reality in Kansas City Always the dynamic host, Lance Centofanti welcomed Virtual Reality guests to a special workshop and seminar in Kansas City over the week-end of Aug 8-9, just as The Journal was being put to bed. Virtual Reality events are always colorful and instructive, so we promise you a full report, together with photos in the next edition!

19 The National Hair Journal Fall 2004

using the responses will make your selling technique more flexible, resilient, and confident.

Customers are Like Trained Seals

By Mark Deo I was at Sea World not long ago and had the opportunity to watch a trainer working with a seal. Now I’m not speaking of the kind of Seal that you might find in the Navy, I’m referring to the wet, pudgy, cute, whiskered kind.

I watched as the trainer used her fingers and thumb to simply touch the nose of the creature. This was the seal’s “cue” or signal to perform the proper behavior. The seal then opened its mouth for inspection by the trainer. This was the seals “response.” The trainer then tapped the seal on the head and said “good.” This was her way of showing “acknowledgement” for the animal doing the right thing. She then tossed the beast a whole fish – “yuck!” However if you’re a seal and you’re reading this, you know just how tasty that smelly old mackerel is. This was the seal’s reward.

What does this have to do with business improvement? Good question. Have you ever noticed that buyer’s are kind of like seals?

They are if you think about it. They automatically react to cues just as the seal did.

This is what their training and conditioning has taught them. Their training tells them, “this sales person is here to sell me something therefore, I must resort to what will protect my interest best… object to their pricing, terms, program or package.”

Let’s face it securing the business often boils

Tim Pfeiffer

(cont. from pg.17)

TP: It’s more sophisticated than that.

Everything is color-coded. The screen will change color when the client is checked in so the technician in the back-room can see when her client has arrived even before she is paged.

NHJ: Let’s go to another scenario. It’s 11:00 am and a technician is getting ready for her next client. What information will she find on her screen?

TP: She will find everything she needs by clicking on the person’s name. It will tell her what services are to be performed today, give her a complete background history and update her on the status of his hair orders and entitlements.

NHJ: Would that include things like wet goods and other styling products he ordered previously that may need to be replaced?

TP: Yes. NHJ: What about things like color formulas?

TP: There is a technical ‘notepad’ so under the client’s name you can keep a technical history and any pertinent notes.

NHJ: Let’s fast forward to the end of the day.

It’s now 6:00 pm or 7:00 pm and you are closing up shop. There is money in the cash draw.

How does Korvue help you reconcile the work that was done with the cash that you have taken in?

TP: It will run a report and tell the receptionist how much money she should have in charges, cash and checks. All she has to do is reconcile her cash drawer with the report and check out.

NHJ: This gives the absentee owner a new level of financial control.

TP: It’s a foolproof method of getting a report of the day’s transactions.

NHJ: It’s now the end of the month and you are sitting in your corner office waiting for your analytical reports. What are you going to receive and how are you going to use the information?

TP: I will receive a performance report for each employee, broken down by what they do; service, sales of contracts etc. This lets me set goals for them and know where they may be faltering and where they are excelling.

This helps me run incentives and special contests, things like that.

NHJ: You mentioned earlier that you offer medical hair restoration choices as well as

down to the lowest price, in one form or another. Are you cheaper than the competition? If not, you may be in for a battle of the wills. No matter what price you quote, many customers will automatically say it is too high, maybe way too high. Like the seal, that response is so deeply drilled into them that just about every rep they meet gets the same reaction. The trick is to get beyond the kneejerk reaction and into a reasonable conversation about their situation, needs, budget, and time frames. Until you achieve that level of rapport, price itself simply isn't the issue.

I have a sidekick on my radio show, the Small Business Hour, Matt Walker. Matt is a comedian. When people find this out they often say, “Hey Matt, say something funny.”

This irritates Matt no end, which is why I enjoy it so much when it happens. However, Matt, being the friendly guy that he is, he always manages to spew out something hilarious. How does he do it? He’s always ready with a joke.

As Matt likes to say, selling is like improvisational comedy: You must be ready to improvise because encounters with potential customers constantly produce reactions and situations that you could never predict. If you prepare long before you meet with customers you will be more effective face-toface. While you're still at the office, force yourself to make a list of 10 great, potential responses when you hear that your price is too high. I mean it -- 10, and 20 would be even better. It may be what you say. Or it may involve a particular tone of voice or even your body language. Developing and non-surgical hair replacement. Does Korvue allow you to analyze how one segment of the business is progressing compared to others?

TP: Korvue has the ability to track an unlimited number of “stores. “ I say that because we are three different corporations under one umbrella. So it’s nice that we can separate them out and look at each one separately.

NHJ: If somebody was contemplating adding laser services, or creating a new medical relationship, would Korvue allow them to monitor the growth of these new activities?

TP: Yes. NHJ: Did you come across any surprises when you looked at trends in your own business?

TP: Sometimes you are surprised when you look at employee performance and compare what someone did in say, the same quarter of the previous year. If it’s growing, you want to be the first to recognize their achievement. If not, you can help bring them back to speed.

NHJ: What has been your staff ’s reaction?

Do they see Korvue as a ‘big brother’ threat or a support tool?

TP: Everybody was skeptical at first, but now they have their own screen in the back room, they don’t know what they would do without it.

NHJ: We have heard only good things about Korvue from you, but nothing is ever that smooth. What start-up problems might new users run into - and how could they avoid them?

TP: My advice is, get the basics going first; for instance the “Scheduler.” This will lead logically to the other reporting aspects of the program. For a new person, because there are so many reports, it could be mind-boggling at first. But after mastering the basics, the rest will follow.

NHJ: Is there an “entry level” program for first-timers?

TP: There is. We have always used the “Korvue-Pro” kit because of our size, but there is a Korvue entry kit.

NHJ: Is there some kind of user network, or big-brother system, where users like you share your experience with people who are new to the software?

TP: We are happy to do that because we believe in the power of Korvue and its ability to help other people.

NHJ: What about technical assistance from the software developer? Are there “wizards” that help you complete forms and customize

Another facet of the price objection is the explosion of options Mark Deo every client faces these days. There are more varieties of products, and more vendors to buy from, than ever before. Multiply varieties and vendors and it's clear that the total number of available choices has grown logarithmically. This tsunami of data can lead customers to making comparisons between options that aren't strictly comparable. Yes, the solutions on offer aren't equal, but the conditioned prospect can't look beyond Price A vs. Price B. As I noted earlier, "Your price is too high" is an objection we all hear. In fact, if you aren't hearing it, then your prices are too low, you're leaving potential profits on the table, or you just aren't making enough sales calls.

There is no single, sure-fire, works-everytime solution to this problem, but there are lots of great ideas. The more arrows in your quiver, the more options for handling -- and the greater selling success you'll experience.

Then you won’t have to worry about all those trained seals out there.

Mark Deo: When he is not lecturing at the Dale Carnegie Institute, Mark runs the Small Business Advisory Network, an organization that assists companies improve their performance. Mark served as co-host on the KLSX radio show, The National Hair Hour with Chris Webb in California though 2003.

He can be reached at 310-320-8190 or email mark@markdeo.com. reports?

TP: You can ask for Internet help from the Korvue screen and work with somebody on line if you have Internet capability.

NHJ: Is Korvue an expensive investment in terms of capital outlay or the learning curve for your staff?

TP: I think it’s a fair value. Actually, because it makes us money, I shouldn’t really even call it an ‘expense’ should I? NHJ: ClientTrac was around for many years and Korvue also has been on the market for about 18 months. Has this software finally come of age and is this something people can invest in with confidence?

TP: Absolutely. I don’t want to keep repeating myself, but once you have it you’ll wonder how you ever did without it. I would recommend it for any size business.

The National Hair Journal About Us - The National Hair Journal is part of The National Hair Group, a business consortium committed to the development of the hair-management industry. The National Hair Group provides information services via The National Hair Journal a business newspaper, The National Hair Journal Online, an interactive website and The Insight Group, which organizes management workshops and retreats. The Group also provides consumer education and information services via The National Hair Hour, a weekly radio show.

Mission - To provide hair-management professionals from all disciplines with accurate information that will help them make better business decisions and provide superior service to their patients and clients.

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CREATIVE DIRECTOR Avi Roth aroth@nationalhairjournal.com

Contributing Correspondents Education & Technical Isaac Brakha James Toscano James Britt Bobbi Russel Medical Adviser Shelley Friedman, DO Legal Joel Morgenthau Marketing & Sales Mark Deo Tim Paulsen Medical Alan J. Bauman, MD John Vincent Subscription Services Receivables Management Corporation P.O. Box 50650 Indianapolis, IN 46250 Tel: 800-894-9031 Email: rwarren023@aol.com

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Notice: The National Hair Journal Issue Number 31 Copywright©2004 All rights reserved. While great care has been taken to ensure the accuracy of the information in The National Hair Journal, the publisher does not assume liability for decisions based upon it. Readers are advised to seek further independent advice. All statements, including product claims, are those of the person or persons making the statements or claims. The publisher does not adopt any such statement or claim as its own, and any such statement or claim does not necessarily reflect the opinion of the publisher. The National Hair Journal accepts no responsibility for unsolicited materials. All materials in this issue are the propety of this publication and nothing shown may be reproduced in any form without obtaining the permission of the publisher and/or any other persons or company who may have copyright ownership.

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5 The National Hair Journal Fall 2004

Compassion for Hair Pullers

By Bobbi Russell

As I walked into the consultation room and saw Jessica for the first time, I could tell that it took a lot of courage for her to be here. She is a young woman in her late 20’s.

She had on a baseball hat that hid her short hair and when she looked up at me she had very big blue eyes that contained much distress and sadness. As we talked, I discovered that she was a full-time mom with three small children.

When she finally worked up the courage to remove her hat, she held her head down and could no longer look at me. Tears began to run down her face. Her hair was diffused with patches of severe hair loss. She explained to me that she was a hair-puller and had suffered with this disorder most of her life.

I had heard and studied about this disorder, known as trichotillomania but I had never come across anyone who was affected by it before. Trichotillomania is a word that comes from the Greek terms trich (hair) tillo (pulling) and mania (morbid impulse). It is defined as an impulsive disorder that causes people to pull out hair from their scalp, eyebrows, eyelashes and other parts of their body. Trichotillomania is more commonly seen in women and seems to be often associated with high levels of stress. Although it may seem at times to resemble a habit or an addiction like nail-biting or knuckle-cracking, it is viewed as an uncontrollable response to an irresistible sensation. The urge to pull hair is associated with an increasing sense of tension that seems to be released by the pulling. This sensation can be intensified by stressful emotions

like anxiety, anger, and sadness.

Trichotillomania can cause a person to feel ashamed of their appearance and their actions. But even with this strong since of shame they still cannot make

therapy’ and ‘pharmacotherapy.’ As doctors and researchers continue to seek more solutions to this horrible disorder, we as hair loss professionals must continue to provide them with the tools needed to feel better about their appearance.

As professionals we are asked to provide solutions for people’s hair loss problems. In this case Jessica asked me to try to cover her head so she could not physically get to her scalp to pull. I attached a full integration that gave her full coverage.

Unfortunately she has dug around the additional hair and her situation is still not any better.

She is now receiving treatment from a doctor and continues to struggle with her disorder.

themselves stop pulling their hair out.

Blaming a person for pulling their hair has been compared to blaming an asthmatic for not being able to breath.

Because trichotillomania is not yet completely understood, research into a reliable and effective treatment is still underway. Many forms of treatment are currently being used to treat this disorder, but there is no one solution for everyone. The two most common treatments that are currently known to have the potential to help people who pull their hair are called ‘cognitive behavior

The best thing I can do for Jessica now is give her support in an area that others do not understand. In our studio, she can feel comfortable with her hair loss situation. She will continue her treatment, and as she tries so desperately to defeat this disorder we will continue to help her look and feel beautiful so she can function in the world on a daily basis. Sometimes we are the final solution, but we can help clients build their self esteem so they have the confidence to get the help they need.

Bobbi Russell is a well-known educator and platform artist. She has appeared at major industry conferences and seminars and has been a contributing editor to The National Hair Journal for several years. Bobbi specializes in weaving, extensions and integration systems. She lives and works in Tampa, FL.

…Is l ess, b est ?

By James Britt

1 5 ,3 0 ,5 0 . No, those numbers do not represent an alternative to the established (and inexplicable) method of scoring tennis. These numbers instead, represent the number of diode lasers found in the hoods of laser hair therapy devices currently on the market. This raises the question; are more diodes and shorter treatment times more effective than fewer diodes and longer treatment times? Let’s examine this question.

Several years ago, when my Nashville clinic was offering permanent hair removal, using a micro-current device, we discovered that the recommended treatment protocol, which called for higher voltage administered for shorter periods of time, was not as effective as lower voltage administered for longer periods of times. It seems that when the attempt was made to “flash-fry” the offending hair follicle into submission; in most cases the follicle was not completely treated and therefore, not completely disabled. Conversely, when lower levels of micro-current were used and the treatment time was doubled; dramatic results were most often achieved. This has now become the accepted treatment protocol for hair removal therapy where micro-current devices are employed. Could the same energy-to-time ratio used to disable a hair follicle be applied to the process of stimulating a follicle to produce a new and healthier hair? The answer may very well be, yes.

Over the last few months, I have had the opportunity to witness the hair growth results achieved with a 12-diode laser administered to the scalp for a period of 30-minutes per session. Attached are photos reflecting those results. The clinic that provides this therapy, at a cost of $5,000 for a six-month program, goes as far as to offer an unprecedented money-back guarantee. Obviously, choosing viable candidates is critical to the success of their program, but there is more here than simply the careful selection of client/patients.

How are they able to consistently produce more dramatic results with a 12 diode laser than what I have seen produced with a fifty diode laser? “Is less, best?” And if it is, can it be clinically explained?

I think it can. First, remember that the system of cell communication which is responsible for hair growth and hair loss is one of the most complex biological systems in the body.

One of the more fascinating aspects of this cell-to-cell communication is that once one cell is stimulated by low level laser energy, the cell next to it is also stimulated, as is the one next to it, and so-on and so-on. This chain reaction, provoked by the stimulation of a single cell, is much like a spark from a burning building that ignites its neighbor, which in turn, ignites its neighbor. This being the case, it is reasonable to conclude that fewer diodes will, over a longer treatment session, stimulate as many cells as many diodes will, over an abbreviated treatment session. Remember, the hair removal analogy I used earlier; longer treatment time may be the key to fully stimulating hair cells as well as micro-circulation of blood supplies. Anecdotal results, as evidenced in the photos seem to support this theory, but more research is needed.

In any event, a 30, 40 or even 50-diode laser can produce effective results as long as the nanometer, or wave length of the diode is correctly calibrated and the treatment time is managed so that the follicle is not under, or over-treated. The key is that the hair follicle absorbs the correct amount of laser energy for the maximum, safe period of time, which presents the arguable conundrum that both “less” and “more” are correct: less energy and more time. Have a great hair day!

James Britt owns Hairlabs International and is perhaps best known for having first introduced laser hair therapy, as well as other new esthetic technologies to the US hair market. He may be contacted c/o The Journal or by e-mail at www.nationalhairjournal.com

23 The National Hair Journal Fall2004

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