Model of Incentive-Based Revenue Sharing Allocation for Employee Retention: A Discussion and Case Study of a Hair Salon Business in Bangkok

บทคัดย่อ

This study investigates the development of an incentive-based revenue-sharing allocation model for employee retention in the rapidly evolving and competitive hair salon industry in Bangkok. Given the critical role of skilled hairdressers in maintaining customer satisfaction and driving business success, retaining talented professionals has become a significant challenge for salon owners. This research aims to address these challenges by developing a revenue-sharing model that combines base salaries, commission structures, and performance-based bonuses to enhance employee motivation and retention. The study employs an in-depth interview, focus group discussions, and thematic analysis. Data were collected from 24 key informants in the Bangkok Yai district, including salon owners, managers, and hair stylists from high-end, mid-range, and budget salons. The findings reveal that financial security, achieved through a stable base salary combined with motivation-driven commissions and performance-based bonuses, plays a crucial role in enhancing job satisfaction and reducing turnover rates. Specifically, a tiered commission structure, where stylists receive higher percentages as they generate more revenue, was found to be an effective motivator. Additionally, offering bonuses based on client retention, attendance, and overall team performance contributes to a more cohesive and committed workforce. The study also highlights that non-monetary factors, such as professional development opportunities and a positive work environment, complement financial incentives in fostering long-term employee engagement. The proposed revenue-sharing model is designed to be adaptable to different salon business models, ensuring economic sustainability while maintaining competitive compensation for employees. By integrating key performance indicators (KPIs, such as service quality and customer satisfaction scores) into the incentive structure, salon owners can align employee rewards with business goals, ensuring a balance between profitability and workforce stability. The research emphasizes the importance of continually evaluating and adjusting compensation structures to meet the evolving market conditions and changing employee expectations.