This is a rush transcript from "Your World With Neil Cavuto," March 19, 2009. This copy may not be in its final form and may be updated.
NEIL CAVUTO, HOST: All right. Tough times, you wouldn't know, though. What recession?
My next guest has America's most expensive haircut. Are you sitting down? Of course you are. No one watches just standing up. Anyway, nine hundred and fifty bucks for a haircut. His business is still doing quite well, despite these tough times.
Joining me now, celebrity uber-hairstylist Ted Gibson.
TED GIBSON, OWNER, TED GIBSON SALON: How are you?
CAVUTO: ... everyone knows you. I mean, you're coming here, and you're like a rock star.
GIBSON: Well, that's nice to hear.
CAVUTO: So, $950?
GIBSON: Nine hundred and fifty dollars for a haircut on Fifth Avenue between 22nd and 23rd Street in Manhattan.
CAVUTO: What do you get for 950 bucks?
GIBSON: You get me.
CAVUTO: All right, well, there you go. And they're not cutting back?
GIBSON: No. They're not cutting back.
I think it's about the service. It's about — I think that women, especially now, in this time, want to feel really good about themselves. They want to be able to get the best service possible. And that's what we provide.
We — we — we understand the needs of what a really — a woman really needs.
CAVUTO: You have not discounted that haircut?
GIBSON: I have not discounted that haircut.
CAVUTO: I mean, the people who still pay it, do they just not eat?
GIBSON: No, I think that they just really understand the idea of service and what it means to them, that it's like going and buying a great shampoo at Target, because my products are launched at Target.
CAVUTO: Yes, Target...
GIBSON: So, it's like going and buying a really great shampoo.
I think there's things that you may want to not spend money on, but the ritual of being in the shower and shampooing your hair, you want to feel the best that you can feel, especially if you're without a job and you need to go for a job interview.
CAVUTO: All right. But you had exhausted all — then that poor woman was looking at possibly delivering pizzas, she's not going to be seeing you, right?
GIBSON: No, she's not a customer.
CAVUTO: No. Who is your customer?
GIBSON: But she would probably would go...
CAVUTO: Any hedge fund managers or anyone like that?
GIBSON: Their wives.
CAVUTO: Oh, really?
CAVUTO: OK. So, let me ask you this: I'm told that it's very super-secret who your customers are.
CAVUTO: But they're well-known celebrities.
CAVUTO: We don't want to give it away, because you go in the shop there, they get all hot and bothered.
CAVUTO: So, it's an experience for them, right?
CAVUTO: They like the experience. And, sometimes, I wonder, when I hear these eye-popping prices, like $950 — no offense.
CAVUTO: That sounds, like, obscene. But it's such an event, right, and that the price is almost the draw.
GIBSON: The price is the draw.
But, you know, when you come to me in my salon, you will be with me for an hour and 15 to an hour-and-a-half. I'm with you the entire service. You can have a glass of wine. I give a really great scalp massage.
CAVUTO: Is that a freebie? The wine is free?
GIBSON: All that is free.
CAVUTO: Do they tip you? Do they tip you in the end?
GIBSON: On top of that, yes.
CAVUTO: No way.
GIBSON: Of course.
CAVUTO: So, the $950, is it 10 percent, 20 percent?
GIBSON: Twenty percent, Mister.
CAVUTO: Oh, my gosh, ka-ching, ka-ching for you. Good for you.
So, it — you — it's not as if you're not aware of the hard times, though, in other aspects of the business, right?
GIBSON: No, of course not.
CAVUTO: You do have...
GIBSON: Of course.
CAVUTO: Well, there's a Tuesday special you do?
GIBSON: Absolutely. It's called recession...
CAVUTO: Is that like $899 that day?
GIBSON: It's called recession...
GIBSON: ... Tuesdays.
And, on Tuesday, what we decided to do, because I — it was disheartening for me to hear friends and people were talking about losing their businesses and how — losing their jobs. And we wanted to still be able to provide a service, because that's what the business, the beauty business is, is a service. We make people feel really good about themselves.
So, if we can provide a service on a Tuesday, where haircuts are $75, and hair color is $75 — that normally runs from $125 to $250 — I can tell you last week was the first day that we did it. We had over 50 new clients on a Tuesday.
CAVUTO: Dumb question on my part, so I apologize, Ted. What brings you up to the $950 level? What are they getting, gold strands? What?
GIBSON: Well, no.
GIBSON: It's because of the women that you wouldn't mention a minute ago. It's because of the women that I work on outside of the salon...
GIBSON: ... that the women who come to the salon get the same service that I do when I work on — when I work on...
CAVUTO: All right, can you tell me this?
CAVUTO: And you don't give out — you're like a priest with the — you don't divulge who comes into...
CAVUTO: ... the confessional.
CAVUTO: But any FOX anchors?
CAVUTO: Any CNN anchors?
GIBSON: FOX is the best.
CAVUTO: Yes. Yes.
CAVUTO: So, that's so interesting. So, the ones hauling out the money are the FOX anchors. And the CNNs aren't really — any FOX Business anchors?
GIBSON: I don't know.
CAVUTO: Oh, you know, you know.
CAVUTO: Well, Ted, that is amazing. Congratulations.
GIBSON: Thank you very, very, very much.
CAVUTO: Obviously, quality — quality rates.
What do you think of my haircut?
GIBSON: I like it. I think you need some highlights, though.
CAVUTO: Yes. So many tell me that.
CAVUTO: If I had a dime for everyone who told me that, Ted.
CAVUTO: Highlights. I will work on it.
CAVUTO: Would I have to pay $950 to see you?
GIBSON: No, you could probably pay — if you come on a Tuesday...
CAVUTO: On a Tuesday.
GIBSON: ... $75.
CAVUTO: Seven-five dollars for highlights?
GIBSON: Yes, in my salon in Manhattan.
CAVUTO: Is the haircut different?
GIBSON: Yes. The haircut is different.
CAVUTO: Is that in addition?
GIBSON: Two different things.
CAVUTO: Oh, everything for $75?
GIBSON: No, no, no, no, no.
CAVUTO: Oh, oh, oh.
GIBSON: You get your haircut by one person, which is $75. You get your hair color done by another person, which is $75.
CAVUTO: Do I have any audience with you?
CAVUTO: Oh, you can't...
GIBSON: But I will bring you — I will bring you a glass of water.
CAVUTO: Oh, boy.
CAVUTO: Ted, thank you. You're a great sport.
GIBSON: Thank you very much.
CAVUTO: Good job. Congratulations.
GIBSON: I appreciate it.
CAVUTO: Ted Gibson.
Quality sells, right? I wonder who those anchors are.
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