Start a Skin care Line Company in 2022
The skincare line business is getting ‘on stage’, isn’t it? Indeed, the prospect of success is quite good considering the trend of n beauty trends.
The results of a survey by MarkPlus.Inc and ZAP in 2020 found the fact that n women started using skincare at the age of 13, lo. This means that the range of the skincare market is very wide across all ages.
Likewise, with MarkPlus Institute’s Chief Operations, Yasanova Savitry, said that 1 in 4 women treat themselves at a beauty clinic before the age of 19.
The pandemic conditions that have occurred over the past two years have also affected the market in the skincare business.
The amount of free time and work from home (WFH) patterns allow consumers to take care of themselves.
Research results from Inventure and Alvara Research Center stated that as many as 78.2% of respondents bought skincare products, especially facial care, rather than decorative makeup during WFH. Wow!
Just look at the data from the GBGI journal, “‘s Cosmetics Industry: The Rise of Halal Cosmetics” which states that in 2017 alone, there was an increase in growth in the domestic cosmetics sector, namely 153 industries.
So that at that time there were a total of more than 760 competing industries. 95% of them are small and medium enterprises.
Are you interested in taking part? Exactly, you continue reading this to the end, yes. We will discuss how to start a skincare business.
How to Start a Skincare Line Business
The initial step in starting a business, of course, depends on the amount of skincare business capital that you have prepared. This is important to determine how your skincare business will run later.
#1 Calculate Skincare Business Capital
Of course, capital under 20 million is not enough to build a factory, right?
However, that worth of skincare business capital can still run this lucrative business. For example, by way of the skincare business as an agent.
That’s why make sure the nominal capital is collected. As we know, there are many sources of capital, not just spending personal money.
You can try to approach investors, run P2P lending, joint ventures with other people you trust, and much more.
As soon as the amount of the skincare business capital is visible, then you can start taking the next step.
#2 Choosing a Skincare Business Way
The point is to sell skincare. However, there are several methods that you can choose in running a skincare business, namely:
- Build your brand. You can manage this business method yourself with a team. Starting from making a company ‘flag’, legalizing a brand, designing packaging and material composition, to building a factory.
This method requires a very large capital and a qualified team in each field.
- You can choose to work with skincare Marlon. In principle, you are under someone else’s ‘flag’, but you can have your brand. You don’t need to have a lot of resources to produce products.
Marlon will take care of the production at the factory, licensing, and also packaging as you want.
- Agent or reseller. Even though it’s only marketing and selling ready-made skin care products, it can still be said that you have your own skincare business.
However, you still have to think about a marketing strategy and coordinate the team so that the target is achieved. This method is suitable for a small capital.
OK, since the agency method is focused solely on marketing and team building, let’s move on to the next step if you choose the other two methods.
#3 Setting Business Goals
Before doing technical things related to building a business, you need to take this most important step: define business goals.
This goal is a kind of ‘eastern star’ which is the benchmark for the direction of your skincare business movement. In addition to setting financial targets, wrap your business with idealism.
This idealism becomes an encouragement when you later feel tired when running it.
For example: wanting to be a solution for acne-prone skin with natural skincare products, so that skincare products with family heritage recipes are sustainable, or so that this business can be a way for women who want to be empowered.
#4 Identify the Target of Prospective Skincare Companies Consumers
Do research and surveys to get to know and sharpen the target market or consumers of your skincare business products.
The information and data you need include the following:
- Demographics: data on age, gender, domicile, marital status, family condition, education level, shopping ability, and much more.
- Psychographics: information about personality, lifestyle, shopping patterns, interests, hobbies, tendencies to like things, how to make decisions, and so on.
- Rival preferences: skincare brands that potential consumers tend to like and why.
#5 Research and Development of Skincare Business Products
Now, you need to do a lot of research to develop a skincare formula that you want to offer in your line of business.
Of course, to look different from your competitors, you need to make a better blend but still be safe and be a solution for consumers who have been looking for this.
Because skincare users are still dominated by women, make the wearer comfortable with a formula that is safe for pregnant women and nursing mothers.
#6 Create an Attractive Skincare Business Product Logo, Brand, and Packaging
Now, it’s time for you to work with the design team to design a logo, brand, and packaging for your skincare products.
The logo and brand philosophy must represent the values that are the basis of the business you build or the superiority of the products you carry.
Make sure they have never been used or are different from those that have been registered if you don’t want to be considered a plagiarist.
This step is important. Remember, brands are associations and perceptions that consumers have of your business.
While the packaging and logo are the first things that consumers will see.
#7 Simple Skincare Business Licensing and Legality
Consumers in the skincare business are getting smarter. They are more targeting products that have been registered and have a distribution permit from BPOM and have a halal logo.
Make sure consumers can check the BPOM number on the official website. This increases consumer confidence.
#8 Creating a Skincare Business Product Store and Catalog
The store in question can be an offline store, an online store, or both.
You don’t always have to have an offline store if you don’t have the funds. However, the online store must be created immediately so that the brand’s credibility increases.
This online store can be a website, social media account, e-commerce store, and so on.
You can hire a web developer to create a website and recruit a social media team to manage an online store to run an online skincare business.
Display product catalogs with prices in each store you build, for example on websites and e-commerce. This makes it easier for consumers to dig up information about your product.
#9 Start Selling and Advertising Skincare Business
Maximize website visits with SEO or SEM techniques. Likewise, social media is an online store for your skincare business.
Post products with attractive graphics and captions that make people curious to try your skincare.
To build brand awareness, you can start advertising by using Facebook Ads, Google Ads, or other paid advertising services.
#10 Coupling Influencer
For skincare brands to be known by more people, now business actors are used to cooperating with influencers who offer endorse services.
Make their reviews as testimonials that can increase the level of consumer confidence in choosing your skincare product as the best choice.
Don’t worry, the price ranges offered by influencers vary. Choose the one that suits your budget, yes.
The effect of these influencers can increase profits significantly. However, consult an expert when executing an influencer marketing strategy.
#11 Service is the Key to the Skincare Business
What’s the point of a good product, cool packaging, a magnificent website, and promotions here and there, but if it’s not accompanied by good service.
A friendly and responsive response in dealing with potential customers is the main key to the convenience of this business.
Provide free consulting services for consumers who are still confused about choosing a variant of your product. An explanation with a warm approach makes consumers fall in love before using your product.
It’s even better if you make a sample product to try before they buy.
#12 Create and Innovate
The development of the skincare world is very dynamic. If this month’s hit product is a serum containing niacinamide, in the next few months consumers will choose a face mask containing green tea, for example.
Therefore, continue to innovate according to market tastes. So far, the ‘mecca’ of skincare lovers is still aiming at Korean products that promise clear and glowing skin.
#13 Diligent in Promotion and Cooperation of skincare company
Businesses need to be flexible in cooperating with partners. Cooperate with other parties who are not competitors but have the same business direction.
For example, cooperation in talk shows about self-care as a sponsor by providing products and merchandise.
Don’t forget to also make giveaways or quizzes with prizes regularly, to build brand awareness and consumer engagement with your skincare products.
If we conclude from the steps above, building a skincare business is no different from any other business.
However, what stands out from this business is the accuracy and agility to capture consumer interest in products, as well as see what consumers need to look more beautiful.
The main thing is to guarantee the safety of the skincare products you sell. There have been many skin care businesses that have gone out of business because they were careless in terms of licensing and instead included dangerous ingredients in them.
Times have changed, and information is easier to obtain, so consumers are smarter in choosing. Make sure your skincare strategy and products are the right solutions for the skin problems experienced by consumers.