How To Start Your Own Cosmetic Business In The Philippines

The proof is in the pudding or, in this case, the fact that everybody wants to look good.

No matter who you are or where you’re from, chances are looking your best is important to you. This global phenomenon has caused the Philippines’ cosmetic industry to excel, providing a unique opportunity for aspiring entrepreneurs.

In fact, in 2020, while the Covid-19 pandemic was in full bloom, the Philippines exported $20.3M in Beauty Products, making them the 65th largest exporter of Beauty Products internationally.

With such a booming industry, there has never been a better time to start your own cosmetic business in the Philippines.

Here is a step-by-step guide on how to do just that:

 

Choose Your Niche

The first step to starting any business is to choose your niche. When starting an online business, particularly in the cosmetic industry, there are endless possibilities—skincare, makeup, fragrance, hair care, etc. to consider.

Here are some things to keep in mind:

1. What are your interests and passions?
It will show in your work when you’re passionate about a particular topic. So before choosing a niche, consider the areas you’re most interested in and passionate about.

2. What are your strengths and weaknesses before starting a business?
Are you good at making makeup tutorials? Then maybe you should focus on skincare products. Are you bad at math? Maybe you should outsource the production of your products to a manufacturer.

3. Who is your target audience?
Knowing your target audience is key to creating products that appeal to them. Conduct market research to find out who your ideal customer is.

4. What are the current trends in the cosmetic industry?
Keep track of the latest trends in the industry so you can create products that cater to what consumers are currently looking for.

5. What is your budget?
Starting a cosmetic business can be expensive, so make sure you have a realistic budget.

The cosmetic industry is a vast and ever-growing industry with many different niches. When starting your own cosmetic business, choosing the right niche is essential. Here are some of the most popular niches in the cosmetic industry:

 

Skincare

One of the most popular niches in the cosmetic industry is skincare. Skincare products include anything from facial cleansers to anti-ageing creams. There’s a skincare product for every skin type, so choosing this niche is a safe bet.

 

Make-up

Make-up is another very popular niche in the cosmetic industry. From foundation to eyeshadow, there’s a makeup product for every look. This could be a great niche if you’re confident in your make-up skills.

 

Fragrance

Fragrances are a great way to add personality to your brand. Whether you opt for light and floral scents or heady and spicy fragrances, there’s a fragrance for every preference.

 

Hair Care

Hair care is another lucrative niche in the cosmetic industry. Hair products range from shampoos and conditioners to hair treatments and styling products. This could be a profitable niche if you understand hair care well.

Once you have chosen your niche, you can move on to the next step.

Decide Whether You Want To Make Your Own Products Or Resell Existing Products.

There are two main types of cosmetic stores to run on the internet, you can either make your own cosmetic products or run a reselling business on existing products.

If opting to create your own products, it is advisable to invest in quality ingredients and proper packaging. Formulations meeting safety and regulatory standards must be concocted as well.

By contrast, if selling existing products appeals more to you, locate dependable suppliers who can offer excellent merchandise at affordable rates. Another alternative is to adopt a dropshipping model where you promote products from retailers.

The pros of making your own products:

• You have control over the ingredients that are used in your products.
• You can tailor your products to suit the needs of your target audience.
• You can create a unique brand identity for your business.
• You can save money by making your own products rather than buying them from suppliers.

 

The cons of making your own products:

• Setting up a lab and formulating your own products can be expensive.
• It can be time-consuming to create new products.
• Making high-quality products that meet safety and regulatory standards can be difficult.

 

The pros of reselling existing products:

• It’s less expensive to resell products than it is to make your own.
• You don’t have to formulate new products, so it’s less time-consuming.
• You can focus on other aspects of your business, such as online selling, marketing and customer service.

 

The cons of reselling existing products:

• You have less control over the ingredients and quality of the products.
• You may have to compete with other businesses selling the same products.
• Your customers may be able to find the same products cheaper elsewhere.

 

Always Have Your Business Expenses At Your Fingertips

Before taking your business online, an important thing to think about is how you will finance your business venture.

If you’re planning on making your own products, you’ll need money for supplies, packaging, and labelling. On the other hand, a cosmetic reseller also has to factor in shipping and handling fees.

You’ll also need to factor in marketing and advertising costs and employees’ salaries if you’re hiring. And remember the cost of registering your business and obtaining the necessary licenses and permits.

By thinking ahead and budgeting for these expenses, you can ensure that your cosmetic business has a strong start.

 

Find Suppliers for Your Business.

If you want to manufacture your own products, seek suppliers for raw materials and packaging supplies. Even if you’re reselling existing products, track down vendors that can give you a good product at a fair price. You can locate potential suppliers in online directories and trade shows.

If you’re creating your own cosmetic products, it is important to keep the following in mind:

 

1. Safety and regulatory compliance

All cosmetics must meet safety and regulatory standards. This means your products must be formulated using safe ingredients and packaged properly to avoid contamination.

It is important to research the regulations that apply to your specific niche. For example, if you are making skin care products, you must comply with regulations.

2. Quality ingredients

You’ll need to use high-quality ingredients to create high-quality products that meet safety and regulatory standards.

This can be expensive, but it is necessary for producing a safe and effective product. When selecting ingredients, consider the type of product you are making and the target audience. For example, if you make a skincare product, you’ll want to use beneficial ingredients.

3. Proper packaging

Cosmetic products must be stored and transported in packaging that protects them from contamination. When selecting packaging, consider the type of product you are making and how it will be used.

For example, if you make lip gloss, you’ll need a package that keeps the gloss from spilling. If you are making shampoo, you’ll need a package that prevents leaks.

4. Attention to detail

Creating your own cosmetic products takes time and attention to detail. You must carefully formulate each product to ensure it meets safety and regulatory standards. You must also select quality ingredients and design attractive packaging.

Save yourself from headaches by taking the time to do things correctly from the start.

When reselling cosmetic products, it is important to keep the following in mind:

• Ensure the products you sell are safe and compliant with regulations.
• Research the products you are selling to ensure they are of high quality and meet the needs of your target audience.
• Choose packaging that is appropriate for the product and will protect it from damage during shipping.
• Pay attention to detail to avoid any issues with your selling products.

Once you have found a few suppliers that meet your criteria, get in touch with them and ask for quotes.

 

Create A Plan To Market And Promote Your Business

You need to let people know about your business to generate sales. The best way to do this is to create a marketing and advertising plan. There are many ways to market and promote your business, so choose the methods that work best for you and your budget.

Some popular marketing and advertising methods include:

 

• Creating a website and/or blog
• Creating social media accounts
• Creating marketing materials (e.g., business cards, flyers, etc.)
• Participating in trade shows and other events
• Sponsoring giveaways and contests
• Offering discounts and coupons
• Advertising in local publications

For a start, one of the first things you’ll want to work on is creating a website. And with many free online store builders around, this is a simple process.

For instance, using an app like Shopboxo, you can quickly browse hundreds of professionally-designed templates to choose one suitable for your business. And since we’re talking about running an online cosmetic retailer, you’ll want an e-commerce platform integrated into your system.

This means collecting payments, creating coupons and discount codes, offering loyalty programs, and more. And once you’re happy with the design of your website, hit “Publish”, and your site will go live for the world to see!

In addition, having features that allow your users to share your products on their favorite social media channels will help spread the word and attract new audiences.

 

Is It Profitable To Become An Online Cosmetic Retailer In The Philippines?

The Philippines is a country with high demand for products but also high competition. However, if you’re dedicated and focused on growing your online store, you can start your own cosmetic business in the Philippines from scratch and compete with the top brands!

 

Frequently Asked Selling Cosmetic Online Questions

Which Cosmetic Products Are Most Profitable?

As with any business, a company is profitable with the right strategy and a team working to make things happen. However, a good place for any aspiring entrepreneur to start is by researching the needs of your target audience and selecting products that meet those needs. You can also look for trends in the industry and choose products that are in demand. Paying attention to detail and offering high-quality products will help you stand out from the competition and make your business more profitable.

How Do I Start My Own Beauty Business?

To start your own beauty business, you need to find your niche, decide if you’ll make your products or resell existing ones, gather capital, and search for suppliers. It is important to use quality ingredients.

Some of the most profitable cosmetic products include skincare items, hair care products, and makeup. These items generally have a higher markup than other types of products.

What Cosmetics Are in Demand?

Some of the most popular cosmetics include skincare items, hair care products, and makeup. These items are generally in high demand due to their ability to improve a person’s appearance. Other popular cosmetic items include perfume, cologne, and nail polish. Paying attention to trends in the industry can help you choose products that are in demand and make your business more profitable.