The beauty industry is one of most lucrative industries in the world. Experts predict it will reach $200.25 billion in 2025. This is a huge opportunity for entrepreneurs who are interested in starting their own skincare company.
You will always find a market for products that moisturize, mask, exfoliate, or tighten the skin, no matter what.
A lot of people want to boost their self-esteem, and now is the perfect time to learn how you can start your own skincare company.
We’ll show you how to create a successful skincare line.
7 Steps to Launch a Skincare Business
1. Respect the legal requirements
It’s exciting to launch your own skincare line. While you may be excited to begin mixing ingredients and choosing the right packaging, there are some legal issues that you need to consider.
Start by reading the Food, Drugs and Cosmetic Act (FD&C Act). This act is used by the FDA to ensure that skincare products meet safety and quality standards. Your products should be safe to use and correctly labeled.
You must ensure that you follow the Good Manufacturing Practice checklist provided by the FDA if you are manufacturing skincare products at your home. This checklist will assist you in setting up your manufacturing area to conform with the guidelines for home-based cosmetic manufacturing.
Also, be sure to consider all licenses and documentation that may be required to protect your brand. Talk to an attorney if you are unsure about what is best for your business.
- Product liability and professional liability insurance
- Licensing for cosmetic and skincare products (as well professional licensing of services)
- Certifications in safety and health
2. Identify Your Niche
The skincare industry is huge. It includes everything from sunscreens to cleansers to moisturizers and many other products. To find the right market for your products, you will need to narrow down. The “Lush” skincare brand is a leading example of a company that creates environmentally-friendly products for ethically-conscious customers.
Consider the products that you would like to sell. Think exfoliators, creams and serums, moisturizers or skin treatments. Next, think about what makes your product unique and which customers it might attract.
These are just a few examples of niches in skincare to inspire you for your own line.
Luxury skincare: Luxurious products and treatments using high-quality ingredients. Some companies might offer dermatologically-tested solutions that are more affordable, such as face masks made with gold flakes.
Specialist treatment: These products can be used to treat specific skin conditions, such as dry skin or acne. For people with sensitive skin, you could make sunscreen or serums.
Socially conscious skincare: Today’s customers are attracted to skincare that is made with natural and conscious products. To appeal to a more eco-friendly audience, choose a vegan product or a solution that does not test on animals.
3. Choose a Hero Product
You’ll be adding new products to your product line as your skincare business grows. To get customers’ attention, you will need to start with a single item. This product will become your flagship or, as the skincare industry calls it, your “hero product”.
Your hero product should be the most innovative product that you offer to your customers when your business launches. Consider which product could be the face of your new skincare line. You could also consider a product that addresses a specific problem for the customer.
Wunder2’s “semi permanent” makeup is the best, such as the “Wonderbrow gel” for eyebrow shaping. Customers love the product because it doesn’t require them to fill their eyebrows as often. Although the company does have other products to offer, the “wonder” products are what get the most attention.
Your brand’s values and message are another way to identify your hero product. Your skincare brand should only sell cruelty-free products. Make sure that your hero product is also cruelty-free. Choose a product that represents your brand.
4. Locate a Manufacturer
A reputable manufacturer is essential if you don’t want to make all your skincare products at home. When you are designing your own line, choosing the right manufacturer will take some of the pressure off your shoulders.
Good manufacturers can make your products quickly, efficiently, and to the highest standards. This allows you to focus on your brand. You only need to make sure that you are choosing a company that you can trust.
There are many companies in the US that offer skincare products for order.
- Botanic Beauty Labs
- Skin Pro Inc.
- GDMI Inc.
- Schwartz Natural Cosmetics
Local manufacturers are more likely to be available to you at all times and to ship your products faster.
However, overseas manufacturers offer a wider selection of products at a lower cost. It is important to carefully vet any supplier, especially if your intention is to order from OEM manufacturers via sites like Alibaba. Consider these things:
Expertise: Do they have a wide range of products that fit your niche? What is their experience in the industry?
Compliance: Do the manufacturers you are interested in working with meet the safety and health standards of the countries where you plan to sell your products? Check that they have the appropriate licensing and what materials they use for their products.
Shipping: How fast can your manufacturer produce and distribute your products. While working with companies overseas can be more affordable, it is not worth if customers wait for months to receive their products.
You should also consider the level of customer service that you can expect. What is the average time it takes to get a reply if you have questions or concerns about a product?
5. Create Your Skincare Brand
Customers aren’t just attracted to your product; they also develop a connection with you and the brand personality that you create for your company.
Your skincare brand will include everything you do to stand out from the rest. This includes your product line, packaging choices, brand colors and logos, as well as your business name.
These are the key steps in building a brand:
Select a business name
Your business name is the most important aspect of your brand. You want it to reflect your brand’s values. An organic skincare company might name itself Organica Beauty. Keep your name as short and easy to spell as possible. Double-check that the name is still available before you use it. These business name generators can be used to verify availability and generate ideas for names.
Create a logo
Your logo will be your first branding asset. A great logo will convey the core values of your company in a single image. An organic brand might use natural shapes like leaves, while a luxury skincare brand might use diamonds. You can download a list with free logo maker software to help you create your brand’s logo.
Design great product packaging
Packaging should reflect your brand and protect your products. You can personalize the packaging with your logo and colors, but it should still be practical. Packaging that is eco-friendly, lightweight, and innovative is great. You might be able to make a recyclable moisturizer pot which doubles as a storage container for customers.
6. Create an Online Store
Now that your brand and products are ready for the market, it is time to set up your online store.
Ecommerce platforms are making it easier for skincare brands to sell products online. Shopify is an example of an ecommerce platform that allows you to create an online store without any technical assistance.
Sign up for Shopify and choose your theme. Then, you can make adjustments to the layout of your shop based on your brand. While the pages that you require for your store may vary, the majority of companies will need the following:
About page: Create a page to introduce your customers and highlight the unique selling points of your products. These about us page templates will inspire you and give you design ideas.
Pages for product pages: Use professional photography and great descriptions to showcase your products. You should know what words customers search for when looking for products online so that you can include them in the correct product listing.
Marketing tools: You should have an email signup form on your website so that you can nurture customers who aren’t ready to convert immediately. A blog is a great way to promote content and link to social media accounts. This will help build community.
Using plugins and applications for your website can help increase the performance of your skin care website. Shopify offers a wide range of apps that can be used to promote your skincare products. Take, for example:
- Lookbook: This allows you to showcase stunning lifestyle photos of people who use your products.
- Personalizer Limespot: Helps companies upsell and cross-sell similar products.
- Easy video: Allows you to add video content directly to your product pages.
Customers invited to try on decorative cosmetics: To see how they might look, customers can virtually apply cosmetics.
Swatches: Provides fast access to a variety of color swatches, which is ideal when you sell multiple versions of the product.
Shopify also offers stunning pre-built templates that you can modify to fit your brand’s image.
7. Promote Your Skincare Products
It’s now time to get your products before the right people.
There is a lot of competition in the skincare market, which means there are many new brands to choose from. The right marketing strategy will help you stand out from the rest and attract the most potential customers to your product.
Your user personas will help you determine the type of marketing materials that appeal to your target audience and where they are most likely going to see them. TikTok is more popular for younger people to search for skin products, while Facebook ads and traditional TV might be more appealing to older people.
Once you have identified the most popular places for your ads to be seen, start to experiment with strategies that work in the beauty and skin care industry.
Social proof: People will read product reviews before purchasing products. To convince others that your skincare products are worth their effort, encourage your customers to leave testimonials and reviews about your products. Apps like Yopto can be used to create social proof. You can also watch for organic @mentions via social media.
Influencer marketing: Connecting to the right influencers will instantly increase your brand’s credibility. Consider the people that your customers trust online, and consider partnering with them. To gain trust through association, you can give your influencer partners complimentary products in return for honest reviews or partner with complementary beauty brands to host giveaways and competitions.
Content created by customers: Customers today are less trusting brands. Clients will want to see proof of others using your skincare product before they feel comfortable enough to try it. Social proof will be provided by posting photos of customers using your moisturizer or videos from clients. These user-generated videos are a great way for businesses to build their credibility.