The Russian hairdressing and beauty services market is a study in stark contradictions in 2026. While the number of salons continues to climb and industry turnover reaches new highs, the underlying dynamics reveal a sector undergoing fundamental restructuring. The market is simultaneously growing and shrinking, and a profound transformation is underway as the traditional salon model gives way to a more fragmented ecosystem of individual practitioners and flexible formats.
Market Growth and Structural Changes
The number of hairdressing and beauty salons in Russia increased by 8.78% in Q1 2026 compared to the same period in 2025, reaching 127,560 establishments. Since the beginning of 2024, the number of salons has grown by 18.7%.
However, this growth masks a significant shift in the market’s structure. The number of individual entrepreneurs (IEs) in the beauty sector has risen to a majority of all participants, while the number of legal entities has declined. As analysts note, “the same process is happening in the beauty salon sector as in the economy as a whole — business is fragmenting.”
A key driver of this fragmentation is the 2026 tax reform. Since January 1, 2026, all entrepreneurs with annual turnover exceeding 20 million rubles are required to pay VAT, whereas most salons previously operated under simplified or patent taxation systems and paid no VAT at all. This has led some businesses to split into multiple individual entrepreneurs to optimize their tax burden.
Turnover and Customer Spending
Industry turnover reached significant levels in 2025, reflecting a notable increase. However, most of this growth came from price increases rather than an expanding client base. According to industry analytics, the beauty market exceeded 81 billion rubles in Q1 2026, with turnover growing year-on-year.
The average check rose while the number of purchases fell. This pattern—fewer transactions but higher spending per visit—confirms that revenue growth is inflation-driven rather than demand-driven.
The Client Profile
Data from industry analytics reveals a clear profile for salon visitors:
- Women represent the majority of clients, while men account for a significant minority.
- The most active age group is 35–44 years old.
- A significant portion of clients have children, and nearly half own a car.
- The average income of a salon visitor is estimated at 114,000 rubles per month.
Rising Prices and Demand Pressure
Beauty services have become significantly more expensive over the past year. Industry data shows:
- The average cost of a haircut in Moscow reached 3,000 rubles (+20% year-on-year).
- In other Russian cities, the average haircut cost 2,100 rubles (+23.5%).
- Epilation, cosmetology sessions, and spa treatments rose by 20–23.5%.
- Overall, beauty services have increased by 10–15%, according to market participants.
The primary driver of these price increases is the tax reform, with industry leaders noting that the resulting VAT burden has squeezed profit margins and forced businesses to pass costs on to consumers. Other cost factors include rising utility tariffs, higher rents, and salary expectations of masters rising significantly.
The “Lipstick Effect” and Resilience
Despite rising prices, psychologists and analysts point to the “lipstick effect” — during crises, consumers give up large purchases but continue spending on small pleasures that maintain a sense of normalcy and reduce anxiety. This partly explains why demand for beauty services has remained relatively resilient, even as other discretionary spending has declined.
The Shift to Private Practitioners
Perhaps the most significant transformation is the movement away from the traditional salon model. The industry is shifting toward a network of private practitioners, small studios, and co-working spaces where masters rent chairs or rooms.
Key indicators of this shift:
- Demand for used salon equipment on major platforms has risen significantly, with the strongest demand in manicure and pedicure equipment, massage and body shaping, and tattoo and permanent makeup.
- Many masters are leaving salons to work independently from home, co-working spaces, or rented rooms — formats with lower overheads and greater control over scheduling and income.
- Interest in part-time work in the beauty sector grew significantly year-on-year.
Some industry observers, however, note a counter-trend: some masters who left salons for private practice are now returning due to intense competition for clients and concerns about tax compliance when receiving electronic payments.
Regional Dynamics
Moscow and the Moscow region lead both in new salon registrations and closures, followed by Krasnodar Krai, St. Petersburg, and Bashkortostan.
The strongest growth in the number of salons is observed in regions beyond the million-population cities, including Perm Krai, Chelyabinsk Region, and the Republic of Tyva.
Outlook
Industry forecasts for 2026 are cautious. Industry leaders have warned that a significant percentage of salons in large cities may close this year due to the combination of rising prices and falling demand. Data shows that salon bookings for cosmetic procedures declined year-on-year in early 2026, while nail service appointments also declined.
The future of the market appears to be moving away from the traditional multi-service salon and toward a more flexible, fragmented model:
Individual practitioners who work independently and rent space
Small studios with minimal overhead
Co-working models where masters share space and resources
As the beauty industry becomes more personalized and less tied to large establishments, the key to survival will be adaptability and the ability to control costs while maintaining customer loyalty in an increasingly competitive environment.
