Starting any business is a great way to change your financial future and stop working for someone else, once and for all. You may even just want to start a makeup business to make some extra money. Whether you’re making it a full-time job or just a side gig, this guide will give you all of the tips and information you need to know about starting your own makeup business.
Define Your Makeup Business Model
Typically, because of the cosmetics laws and regulations in place by the FDA and other authorities, people won’t have the resources or money to start their own product line. Creating makeup is expensive and doing it properly takes a big investment. If you happen to be in a position to start your own line, disregard this. However, if you’re like the majority of people, you’ll be a rep or agent for one of the many brands of makeup already out there that offers a reseller program or business opportunity.
Pro Tip: If you’ve got a vision for your own line but you don’t have the means of production, Sephora has an entrepreneur’s program that offers funding via grants and other sources to help offset the costs of getting started in product development. In the event that you do create your own makeup line, be sure to follow all FDA guidelines and other regulations regarding product ingredients, packaging, and marketing so that you aren’t in violation of the law with your new business.
Create a Brand Name for Your Makeup Business
What’s your business going to be called? Even if you decide to just sell makeup products from Avon, you aren’t going to get a lot of business calling yourself “Avon by Sarah”, for example. You will generate a lot more business by choosing a catchy name, such as “Cosmic Cosmetics (An Avon Independent Reseller)” or something along those lines. It’s not rocket science, but you should let yourself get creative and choose something that gets people’s attention.
Create a Business Plan and Model
Again, if you’re using one of the brands out there already, you may have marketing tools and business models at your fingertips that you can use to help you here. If you are on your own, however, you’ll want to see what others are doing. Make sure that you consider things like:
- Startup costs and ongoing expenses
- Where you will set up a physical business (if at all)
- What your website will be like
- Who is your target audience
- How to incorporate your brand and get your name out there
As far as expenses, you’ll need to consider the costs of building and marketing a website online, creating a logo and business name, incorporating the business, marketing, and any expenses related to a physical location, should you choose to have one. You’ll also need to think about ongoing expenses like inventory, insurance, marketing, and others. Many start-up cosmetic companies turn to business loans for financing.
Find Your Niche Makeup Market
A lot of people considering this industry look at the store shelves and online inventory, eyeing more than 400 beauty brands across multiple aisles of products, and it can be intimidating to even consider getting into this business. This is, of course, part of the reason many people choose to sell what’s already out there. The sheer intimidation of market saturation can be a lot to handle.
Of course, there is also the ability to find gaps in the industry and go to market quickly, allowing you to get on board and get your makeup business in the door if you know what you are doing. The tips and insight in this guide will help. Considering that they’re forecasting this industry to be worth as much as $756 billion by the year 2026, you can trust that there’s room for your brand as long as you position it accordingly.
Examples of Niche Marketing to Fill Gaps
In case you need some inspiration, here are some examples of brands that chose specific niches to fill a need and have created success from it.
- India Rose offers to import to Quebec and other areas of Canada that have stricter importing regulations.
- Vive Cosmetics targets Latinas and other cultures as a cultural beauty brand.
- Studio10 is targeted toward older customers with mature skin.
- Trixie Mattel has used her influencer status to create a line specifically for drag queens.
- Sweat Cosmetics creates workout-proof makeup.
- Petite ‘n Pretty is a makeup line with subtler colors and gentle formulas designed for tween and teen skin.
So, your options here are to make and manufacture your own makeup, resell other brands like Avon, Arbonne, Mary Kay, and others, or choose white label products that you can brand and use to fill gaps in the market.
White Label Products to Sell
White label refers to any product that is mass-produced and available to be rebranded by any company. There are several white label manufacturers of makeup products that can save you the hassle of creating your own product but give you something more than just selling Mary Kay or Avon cosmetics, for example.
Branding and Building Sales Traffic
Now that you’ve made all of the important decisions, started planning out your business and the way that it will operate, and chosen how you are going to create or obtain a product to sell, it’s time to spread the word. You should start marketing as soon as you start working on your business plans so that everyone is ready when you do finally hit the market.
Use social media and other online resources to get the word out about your new cosmetics business. Tell family and friends and use them to get your brand started, or at least to spread the word to others about your new makeup business. Take advantage of the Internet and online marketing tools to get your business name out there and make sure that you have a mobile-friendly website that makes it easy for customers to shop. You’ll be on your way to business success in no time.