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Business from scratch: cosmetics store

At all times, it was very important for women to take care of themselves and look good. Cosmetics are commodities that are as resilient to crises as food and clothing. Therefore, this business attracts many entrepreneurs.

In large cities today, most of the market is occupied by networks. It is extremely difficult to compete with them, their assortment is diverse, prices are low and, in addition, there are exclusive goods. There is less and less space for individual shops. However, it is quite possible to open a cosmetics and perfumery store in a smaller city, which the chains have not yet reached.

Assortment of perfumery and cosmetics store:

The assortment should be given special attention, because many women use products only of certain brands, and if they are not available, you will lose some of the buyers. Your store must have well-known brands of cosmetics and perfumes. They are well bought, manufacturers spend a lot of money on advertising. By putting such goods on the shelves of the store, you risk nothing. However, having all the famous brands in your store is probably not going to work. This is due to the fact that some of them are sold exclusively in any networks. Historically, these networks were created specifically to distribute specific brands of cosmetics. As for global brands, they have certain requirements for the stores where their goods will be sold, and your store may not satisfy them.

Do not worry about problems with the delivery of cosmetics of foreign brands from abroad and customs clearance. Most companies do not sell goods directly, but use the services of distributors. Exclusive distributors in the country, as a rule, are only for manufacturers of cosmetics with a price range above the average. As for the cheap one, you will have no problem finding a wholesaler. You can always ask him for data on the most popular products and buy them for your store. Do not sell fakes under famous brands. Those who use them will be able to immediately feel the difference and will not come to your store again, and you will have regular problems with regulatory authorities.

Read more: The nuances of the production of cosmetics for the face

The main thing is sales:

A cosmetics and perfume store can have two types of customers: those who want to buy cheap goods and those who want to buy expensive brands. Of course, it’s good if you can meet the needs of both types of customers. But if not, you need to choose only one option and focus on it. The experience of large chain stores shows that outdoor advertising is the most effective. Therefore, it is better not to reinvent the wheel, but to use a ready-made solution. In addition, gift certificates work as advertising, which friends can give each other, say, for a birthday. The design of the store and the arrangement of goods on the shelves (what is called today the buzzword merchandising) is an important component of the success of a cosmetics and perfumery store. You will need to hire an employee responsible for this, preferably with extensive experience. In addition, it will not be superfluous to have testers for decorative cosmetics and perfumes in the store.

Customer Retention:

A lot of resources and effort are spent on attracting customers, so in order to increase the return on advertising costs, they must be retained by all means. Usually, a discount card with a cumulative system is used for this purpose. It is assumed that when choosing from several stores, the buyer will choose the one in which he has a discount. In addition, the fact that the discount increases with the increase in the total amount of purchases in the store also stimulates demand. According to statistics, the majority of shoppers in stores are women. And even more so in cosmetics stores. But do not discount the strong half of humanity. Sell ​​gift sets – and you will be able to buy gifts for wives for birthdays, New Year and March 8th.

What you need to do to open a cosmetics and perfumery store:

The most important success factor when opening a cosmetics and perfumery store is the good location of the store. It should be located in a passing place: on the main street or in a large shopping center. If the store is located on a quiet side street, then even high advertising costs will not improve the situation. Shopping in cosmetics stores is often impulsive, so you need to get as many potential buyers as possible to see your establishment. The qualifications of sellers have a big impact on sales in cosmetics stores. You need to organize staff training.

Cosmetics stores, along with beauty salons, are typical business representatives for the wives of wealthy men. This means that some of your competitors may for a very long time to work without profit or even at a loss, since in this business they are more interested in interesting leisure activities, and not money. Opening a cosmetics and perfumery store does not mean becoming part of a beautiful life. This business will be beautiful only for buyers, and you will constantly have many difficulties, a small part of which is mentioned in this article. But for a purposeful and self-confident entrepreneur, nothing is impossible. With some effort, you can become the owner of a completely successful store.