The business about beauty is very ugly! Have you not bear that dirty businesses fetch clean money?
If I never told you that a cosmetics store is one of the most lucrative businesses yet requires very little startup cost, then today you are privileged to stumble on this article.
I will walk you through the top tips you should consider when setting out for any business. To better acquaint you with the scope of this article, you are going to know how to start a cosmetics store with as low as $100
You can do the calculation to know how much it is in your currency valuation but trust me, yes! it is a cheap startup yet very rewarding.
What is cosmetics?
These are substances intended to be applied to the human body for cleansing, beautifying, promoting attractiveness, or altering the appearance without affecting the body’s structure or functions. Examples of cosmetics are skin creams, lotions, perfumes, lipsticks, fingernail polishes, eye and facial makeup preparations, permanent waves, hair colours, toothpaste, and deodorants. Any material intended for use as a component of a cosmetic product.
While some think it is the study of and application of beauty and renaissance treatments – formally know as cosmetology, others think it is a preparation that is applied externally to enrich and nourish the skin, hair, nails, lips name it.
It has gone from an indoor fashion to a formal offset in situ! young and old, male and female must avail themselves of affordable essence and deodorants to curb natural body odour and poor skin glow. This story of cosmetics will give you a different view of what you were thinking and you can start a cosmetics store even from your home.
With the increase in demand for cosmetics, lots of different products from different brands have surfaced and the knowledge to go for the best is now a big concern to both the retailers and the consumers.
Think about hanging out during hammer season after a long shower without oil on your skin | You can imagine such irritation on your skin? an awful moment as this will display wonderful designs on your skin looking as if you’ve not showered for years. Although it could look different to an oily skin type other effects are there
What are the types of cosmetics available?
Cosmetics are of three types
- Herbal cosmetics: These are cosmetics produced from a mixture of herbs and roots to nourish oneself.
- Natural cosmetics: Thesse cosmetics products are gotten naturally from nature without any form of micture or refining.
- Organic cosmetics: These are anufactured herbicides/artificial pesticides. Preservatives, sulfates, parabens, synthetic colors or any other chemicals Routine antibiotic are used in organic cosmetics.
Although there is no lega definition for these products type. You can google to know more abou the differences.
What is a cosmetics store?
This is where cosmetics are sold. Yes! it is also called a cosmetics shop or a skincare shop or store.
Over here, a dermatologist must always be in a position to solve customers problems any day anytime. You do not think about how to start a cosmetics store if you have not had any training in this field of science.
If you must start, hire a dermatologist that will be there to solve your customer problems professionally. You can in turn learn from the expert.
Also, Try an avoid administering chemicals you do not understand to people so you do not harm them. There are various doctors online you can contact to answer your questions as regard skincare and chemicals
Zoodoc can help you track these doctors for you
How to start a cosmetics store or retail business
If you find it difficult to read through, you can watch these few minute clips from bizz. It might not carry the whole juice covered here. I will rather advise you read through the entire article(at your leisure) when you are done watching
Tip #1. How to start a cosmetics store – Think of starting a cosmetics business
As I have always say, having the perception to start a particular business is always a yardstick to measure consistency over time. The truth is, if you had never planned to start such a business or are still in the 401k circle never to breakout, you might run away really quick.
Entrepreneurship requires commitment and long-suffering, You only smile after you have endured all the tough times and mishaps down the road in business.
How to start a cosmetics store Tip #2. Have a business plan in place
Are you thinking of spending millions? Oh, come on! This is just something you sit and draft out all by yourself or a co
A business plan carries all the information that guides your business growth and model. Having a business plan will tell you where to and where not to spend your money just yet when starting.
The image above shows the different steps to consider when writing a business plan. It includes:
- Title Page: This involves the company name, website address, location, email box, etc
- Company/Business overview: The overall business is discussed here in summary. What the aim and objectives are, the scope of the business, the model of the business, reasons behind the startup(obviously it is to make money but that shouldn’t come when you are putting up your business plan), etc.
- Products and services you offer: This part will contain the products you are planning to market or bring into your business. Remember that this is a business plan and you have to list services you will offer and products you will sell. You can pick a portion of it to start your business with a projection to grow
- Competitive market analysis: Feasibility study is a must-do in business. Therefore you need to spell out how the analysis will be carried out one after the other
- Sales and marketing plan: This will tell you how to pitch your branding and promotion services. It might not require much at the start.
- Ownership structure and management plan: How you will manage your business especially the cosmetics business must be spelt out as well. If you are not a dermatologist, you will likely need a pro service. Think of how you will manage it
- Financial plan: By how will you be funding your business at the infant stage, intermediate stage and when it has finally grown?.
These are the important steps you should consider in your business plan when preparing one.
Tip #3. How to start a cosmetics store – Carry out market analysis and feasibility study
A feasibility study is a must-do in business if you want to know what you are actually getting yourself into – It is more important than a business plan. The adage, “The problem well stated is half solved,” is always true in a business setting. The video below will teach you how to carry out the feasibility study of your business
In its simplest form, a Feasibility Study is the study of a problem or opportunity associated with a business, an analysis of the current mode of operation, a definition of requirements, and evaluation of alternatives, and a course of action to be implemented. It has to do with knowing your market, your competitors, business profitability margin & ROI, losses.
Research has proven that there are basically six parts to any effective Feasibility Study:
1.The project scope determines the business problem and/or possible solutions. In addition, it must be determined which parts of the company are directly or indirectly affected. Promoters should always clearly state whether they are paying the bill. Always direct.
Tip #4. How to start a cosmetics store – Select a suitable location
Choosing a perfect location for your business will inadvertently boost your sales over time. Location is the heart of a business that is why you notice most of the businesses these days take to online because they know the value in converting good traffic to product buyers.
some of the best locations to consider to start a cosmetics store are:
- party house
- events centre
These locations are proven by some of the cosmetics gurus to have been the best places to set up a cosmetics store.
How to start a cosmetics store Tip #5. Set up your store
If you are interested in and want to start a cosmetics store that operates online, watch the video below otherwise, keep reading!
Is your signpost ready? how aesthetic is the design? It is time you have to unveil and mount for people to see and locate your store.
Also, you need to set the interior with good aesthetic wall paint and design. You could use wallpapers and tiles. Use a bright light for your vision sake.
There are few things you should get ready and processed while the setup is ongoing. This I will uncover
#1. Order for your cosmetics: Get to know where these products are sold and at a cheaper price. You can go directly to the factory where they are manufactured. Get The products ready for shipment during the store setup period. Where to buy these products could be online in places like Amazon or offline in the factory.
You can browse to know the best manufacturers for particular products, check their office location and contact address. Reach out to them concerning your new establishment and that you would want to partner with them Companies like this would love to partner with those who want to start a cosmetics store to promote their business
#2. Employment: If there is a need for employment, this is also the time to get your workers ready for deployment before you actually start a cosmetics store. It makes work easier when taking stocks as they newly come in. But if you are running the business yourself, this part will not come in just get ready to commit to your business as if it is where your monthly stipend is coming from.
#3 Assign locations for your products: There should be a specific location for each product or group of products to avoid searching when a customer comes in to buy.
#4 Price tags: This also plays a very important part in your store as it gives the customer a clue of what they are shopping for before heading to the counter to pay the bills. It also helps new shop assistants with product prices.
#4 Branded packaging bags: If there is no special money for adverts just yet because we will list it down below, your packaging bag is top-notch in this niche of business. It helps spread the news about your brand and products, customer service and professionality.
The list keeps going on and on. but these are major. Comment down if there is any major thing you feel we have not mentioned in this list.
how to start a cosmetics store Tip #6. Go niche
Don’t go too broad when starting. Your finance analysis should tell you this. Whatever the case may be, focus on the most needed materials in your niche.
Do not jump from skin essence to nails or teeth cosmetics. Let people recognise your niche early on. This will always direct customers who are ready to take turns in your products to you.
The image above shows a makeup cosmetics kit. If that is a niche you want to go for, you need to know all-encompassing items in this niche. If you need a video to watch for this, I have a video from youtube that list the items you need to start a cosmetics store as a makeup artist
Another benefit of going niche is that you will have these products in huge quantities to sell even wholesale to the general cosmetics stores available. When you buy a product in huge quantity, you will notice that the price for one is less than if you had gotten it for fairly smaller units. Also, you will cut transportation costs.
How to start a cosmetics store Tip #7. Do proper marketing and branding.
IT is no bad news that businesses without proper branding and marketing hardly grow to maturity. This in turn also means that you have to grow your business by investing in your branding and marketing strategy. I said the same thing When I was coaching a client to set up a laundry business. Not until he did the marketing properly, his business was a friends zone – only friends patronises him. After applying this technique, he could not thank me enough.
That aside! Show me any top firm that has not done serious marketing but gets to the top of their niche? no way. Even in the most unique idea, a brand is necessary. You can google up branding if you do not know what I am talking about or drop a comment and I will write an in-depth article on branding for you.
Having done your marketing and branding, get ready to accommodate massive traffic and ensure no customer leaves without a touch of your product. Get people to help you out in customer service and ensure good customer service as well.
Tip #8. How to start a cosmetics store – Expand your business
When this traffic or customers start coming, plan to start a cosmetics store in other different places with the same brand name because there will be a demand for other products in the general cosmetics niche. Do well to expand this niche to satisfy this set of people.
To start a cosmetics store that actually grows past its rudimentary stage, you need to know that there are hard times in this business. unlike the Poultry business where you need to “manufacture” your products yourself, you do not need to consider whether or not the eggs you sell has too many chemicals that will irritate a client. Funny right! To start a cosmetics store or business requires a level of education or training. It requires more skill than starting a phone business either way.
Get to know the best products, where and how to get them directly from the dealers or manufacturers. Store your products in a better temperature space suitable for your cosmetics products.
Sit your branches in a different location with the same brand name And you must operate from the main office perhaps where the warehouse is. The main office must be big enough to carry the whole influx of costumer and products stored.
How to start a cosmetics store Tip #9. Register with corporate affairs, SMEDAN and insurance
You can start a business without registering it. that’s fine but not the best because in Nigeria, any business that is not registered with the corporate affairs commission(CAC) does not exist other countries have their own legalities. You have lots of benefits in having your business name registered. You can go ahead and register as a company if you are growing bigger.
If you are sitting your business in Nigeria, you can check the corporate affairs commission portals for details on how to register a business name. Or you can locate any of their offices near you and they will help you with the process.
If you want us to guide you, comment and we will give you a step y step guide, or we can help you in the whole process.
Small and Medium Enterprises Development Agency of Nigeria(SMEDAN) is also a Nigerian firm that helps small businesses with startups and coaching(on the job training) You can obtain a certificate of registration free from this portal if you are in Nigeria
Insurance is a worldwide game! How would you feel if your problem is being handled by thousands of people instead of you alone?
This is the power of insurance when attached to your business and property and I will advise you to ensure your entire household, business and other valuables are insured If possible your life!!
Add this to your list if you want to start a cosmetics store in a “dip pocket” way. I have a list of the different insurance companies and how to go about sourcing for their consent in the article about how you can start a phone business
How to start a cosmetics store Tip #10. Be consistent, updated and have good customer service.
Always stay in the niche for better customer service. The joy you have when searching for cream in a thousand and one shops just to find it sitting in the last store you perhaps never expected. You will always remember that shop next time. So you have to consistently keep your store updated with essences, gels, soaps, creams, toners, makeups etc.
The business of cosmetics is like cryptocurrency and a vast number of products claiming to be better keep coming up and waving consumers minds. Therefore consistency is the key
Finally, never allow a deal to be closed without any products being sold. This is very important to note, yes! everyone has a brand but the fact that you choose a brand does not mean you were born with it. You actually tasted lots of these products to settle for one you feel resonates with your skin type.
Always be there to convince any customer to make good deals with you. Remember you are a dermatologist and there is no skin type you do not handle or will not handle. Always give them this assurance that our recommendations will always give them what is best.
Lots of information has to be passed in the course of these tips on how to start a cosmetics store and we believe you have learnt at least one thing if not two or more.
To recap the following tips we have and to know effectively how to start a cosmetics store and win your competition:
That you must think first before going to any business I mean any business at all.
The second on the list is that you should have a business plan specifically for your cosmetics business. Do not bring a building business plan to start up a cosmetics store because it will not work
Thirdly, you should study the feasibility in your niche business and know the expected income
Choosing a location for your business happens to be the fourth in our list of tips. Before you even draw a plan to start your cosmetics store, you should have a certain amount of money in place for a store except you have a store already.
Though I have not covered everything in tip #5. If you want me to, then comment below. Setting up your store requires products onboarding, employment and store aesthetics.
the sixth tip here is that you should advertise your business. If you don’t know how to go about this, we can help you out.
After you might have done the advert and promotions, check out the growth in the business via the responses from your outreach. If there is a good and positive sign for growth, Reinforce your business by stocking up a lot of products to satisfy your customers and keep them returning. Tip 8
When you start seeing little money, please do not fail to comply with legalities. Register your business and make an exploit. That is covered in tip #9
#10 says never leave a deal open. Do not allow a customer to go by saying “I will come back” 1% of 100 always come back. What happens to the rest? Your cosmetics store was overwhelming or your products were expensive than other places or your quality did not meet their standard. Get to know why they say “I will come back” and work on that ASAP.
Please if you want to start a cosmetics store, go for training at least a couple of months the same way you would do if you are to open a chemist store
Do not forget to share in the comments section below what you have learnt and what you can contribute to help other