How To Start Your Own Beauty Business

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How To Start Your Own Beauty Business

Are you looking to start your own business?

 

If so, the beauty industry is a great industry to be involved with. Data from 2017 suggests that the worldwide market for cosmetics, beauty products, and skincare has already eclipsed £482 billion. In the UK alone, the beauty industry earns more than £17 billion annually and employs over 1 million people.

Organic skin care is especially strong here. The UK market is currently estimated at just under £80 million, and globally it is projected to approach £34 billion at some point in 2019. Organic is now a hot trend for a variety of reasons, beginning with the fact that people are more conscious than ever before about their health whilst also being concerned about protecting the environment. There’s never been a better time to start a beauty business with a special emphasis on organic, natural products.

 


Decide What You
Want to Sell

If you are at the point of starting your own beauty business, chances are you’re no stranger to making your own products. ‍
 
Most people who decide to start their own business have been making products for years and want it to become their full time job.When starting out, having a narrower product range will help with both your safety assessments (see below) and your marketing campaigns.

 

Decide what it is that you make best - maybe it’s one specific product you’ve been making for years - and focus on that. Maybe you’ll be developing a range of products, in which case, try to make sure they’re coherent together, such as a cleansing, toning and moisturising set designed for specific skin types.

Market research is also crucial in defining your product range. Take a look at what’s trending in terms of products and ingredients. Using popular ingredients, such as argan oil in hair care or hyaluronic acid in skin care for example, can help increase the desirability of your products.

 

Know & Understand the Law

 

It is essential to know and understand the law before starting your own beauty business.

In 2013, the European Union enacted the EU Cosmetics Regulation. It replaced both the EU Cosmetics Directive and UK Cosmetic Products Regulations from July of that year.

The legislation governs everything relating to cosmetics. The law defines a cosmetic product as any "substance or mixture intended to be placed in contact with the external parts of the human body… or with the teeth and the mucous membranes... with a view exclusively or mainly to cleaning them, perfuming them, changing their appearance, protecting them, keeping them in good condition or correcting body odours.

It is incumbent upon you, as the business owner, to know and understand the rules so that you can comply with them at all times.Though this guide does not cover the legislation in detail, here are a few highlights:

 
Responsible Person
A responsible person (the manufacturer or an appointed agent) must be established to ensure regulatory compliance, take corrective action when necessary, interact with regulators, etc.
 

 

Cosmetic Product Notification Portal (CPNP)
The new regulation introduces the Cosmetic Product Notification Portal or CPNP. This European-wide portal stores information on every cosmetic product on the European market.

Safety Assessment
Every cosmetic product must undergo a safety assessment prior to being made available for sale. Safety assessments look at toxicological profiles, chemical structures, ingredient exposure, characteristics of exposure, the manufacturing process, and the safe use of the product’s ingredients.

 
Product Information File

Manufacturers are required to keep a detailed and up-to-date product information file (PIF) on every product.

 
Manufacturing Practices
The law requires products be manufactured according to Good Manufacturing Practices.

 

Labelling
Article 19 of the legislation covers labelling requirements. There are nine different requirements relating to both containers and packaging.


Line Up Suppliers

If you’ve been making your own products for a while for personal use, contact your current suppliers and let them know you’re starting a business.

They may be able to offer advice on buying larger quantities and have useful contacts to help you get started.

Your relationship with your supplier is key to your business’ success. You’ll need their help in gathering paperwork for safety assessments, and you’ll reap the benefits of being a important long-term customer.

Shop around to find the best quality ingredients you can, and don’t underestimate the importance of customer service when you’re buying ingredients for your brand!

Another option is to contract with manufacturers to create a line of products for your own brand. If you choose this method, remember that all your products will still have to be tested and approved before you can sell them.

There are pros and cons to both strategies. Your choice may depend a lot on your financial resources, the time you have to invest in your business, and any potential limits to your market.


Deciding How To Sell

The next step is deciding on how you plan to sell your products. The first place many new business owners think of is online. The online marketplace in the UK is big and growing every year, however the main downside to selling online is that there is a lot of competition, and it’s harder to build relationships with your customers. Another option is to open a retail outlet. If you want to go retail but do not have an interest in setting up a retail store, you could act as a distributor of your own branded products. You would sell them to retail outlets for resale to their customers.

Yet another possibility is to sell your products at craft fairs and exhibitions. This is very big among organic beauty companies right now, mainly because it allows business owners to interact with their customers face-to-face. It is a good way to get started without investing a lot in overhead, and can help raise brand awareness.

 

 

Fairs and exhibitions are also a great opportunity to eye up your competition.

Take a look around some to get a taste of your competition- how are similar brands packaging their products? How much are they selling their products for?

 

Develop a Marketing Campaign

In order to increase sales and get your business rolling, you will need to develop a marketing strategy.

If you're planning to sell online, familiarise yourself with SEO (search engine optimisation) practices, which determine where your page shows up on websites like Google and Bing - they are the basis of successful online marketing. Even if you are not selling online, it’s still important to use social media and a company website to help raise your brand awareness and also to help you interact with customers.

Consider using Google Analytics to create targeted online advertisements to draw people to your brand.

Outside of SEO and online advertising, you can market through printed material and direct mail. It is also quite common now to use celebrities or “influencers” to promote your products. These endorsements are a very efficient way of reaching your target market and often don’t cost more than a free sample. It’s important to understand that your marketing plan will need to evolve as your business grows.

 

Owning and operating your own business is certainly an exciting venture. Hopefully this guide has you pointed in the right direction. At every step of the way, don't be afraid to make connections with experienced business owners. Ask questions, pick their brains, inspire yourself and learn from both your and their mistakes - that's the key to success.

For more information on government legislation take a look here:
GOV.UK Legislation

CTPA


7 Responses

Lesley Armour
Lesley Armour

May 27, 2020

Just experimenting with making creations at present but has given me insight for the future if I decide to go down this avenue.
Thank you and best wishes

Alicia
Alicia

April 27, 2020

Thank you very much for this post. It is REALLY helpful.

Belinda Roberts
Belinda Roberts

April 07, 2020

This is a great article, really helpful for start up businesses. We develop beauty brands and this answers a lot of the questions we get, thank you. www.snowbell.co.uk

Liza
Liza

February 26, 2020

Thank you for providing Us with such an informative article.

Dee
Dee

February 07, 2020

Thank you taking the time to write up this article. It is very insightful and has given me the push to get my own business started. Wish me luck! :)

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госты на сырое молоко

February 10, 2020

Thanks for some other great post. The place else could anybody get that type of information in such a perfect means of writing? I’ve a presentation next week, and I’m on the look for such information.| а

Tomiyin
Tomiyin

January 21, 2020

I love this wonderful piece right here.

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