One such industry this applies to is beauty and personal care. In Australia, this market amounts to almost $6 billion and is expected to grow by 2.7 per cent each year.
Now, this is good news for businesses that can scale. When your beauty business is primed to grow, increasing your market share will soon follow.
Of course, that’s easier said than done, but don’t worry. To help your beauty and skincare brand grow, we’ll be sharing some of the best tactics and strategies.
1. Learn From The Best
While you’re growing your beauty brand, there’s no need to reinvent the wheel. Yes, you have your strengths as an entrepreneur, but it doesn’t mean you can afford to ignore the advice of experts.
For example, successful entrepreneurs often emphasise the importance of great customer service. You already know this, but does your company go the extra mile to provide customers with what they want?
How often do you use customer feedback to improve the formulation of your products? What strategies do you use to encourage customer loyalty?
These may all seem basic, but there’s a reason why they’re always mentioned. Simply put, these practical tips work.
2. Know When To Innovate
You’ve read tons of tips about growing your beauty business, and you feel like you’re following them most of the time. If you’re not seeing the needle move, however, it’s okay to experiment.
Selling beauty products doesn’t have to be formulaic. Let’s say you’ve just started your private label skin care company, and you’re struggling to move your products. What can you do to differentiate them from competing brands?
One area where you can have an edge over the competition is branding. If you have to, hire a specialist or an agency who can help you out with your branding needs.
Remember, your logo isn’t the entirety of your brand. It has to connect with your target customers and build trust.
Another way to differentiate your private label skincare products is with packaging. Keep in mind that a lot of customers these days value eco-friendly packaging. So you might want to switch to recyclable, reusable, and non-toxic containers, or if you’re already using them, try to brainstorm ways to make them stand out even more.
3. Review Your Pricing Structure
At a certain point, you have to change your mindset from that of a hobbyist to a successful beauty business owner.
This is important because new entrepreneurs tend to forget about paying themselves. They don’t see profit as a fixed cost. For them, profit is what’s left after accounting for costs.
While that may be okay when you’re starting your business, you have to think about what will happen if ingredient prices suddenly increase. What if you get stuck with stocks you can’t sell? You’d end up with reduced profits or worse, losses.
Now, if this is something that keeps happening to you, it’s time to review your pricing strategy. Make sure to crunch the numbers so that your costs are covered, while making a profit. The figures you come up with should also cover your salary, which you can then use to invest in the future growth of your business (e.g. new equipment, higher quality ingredients, better suppliers, etc.).
4. Invest In Content Marketing
Your customers are online and you should be making it easier for them to find you.
That means having a strong online media presence, which you cannot achieve without unique content. You need it to create brand awareness and tap potential customers, as well as increase sales conversions.
The good news is you have plenty of options for showing off your content. You can maintain a blog, post videos, be active on social media sites, and so on.
Just make sure you have professionals on board to handle the task. Especially for the beauty and skincare industry, your content cannot be subpar. You have to leave content creation to people who can do it well, monitor it, and tweak it when necessary.
5. Tap Other Sales Channels
Do you only have big retailers in mind? You don’t have to rush things when you still haven’t conquered selling products to mid-size retailers. Besides, even if you can’t get a big retailer to sell your beauty or skincare products, there are other sales channels you can tap.
An example would be wholesale skincare distributors. In some ways, this is better than selling at one store because your volume of sold products will be greater compared to selling at one or two stores.
Other sales channels you should look into include an e-commerce site, social platforms, and independent sales representatives.
6. Be Aware Of The Latest Trends
Clean beauty, direct-to-consumer, and personalisation are some of the biggest trends in the industry last year.
This year, the focus will be on ageless beauty, blue beauty, microbiome skincare, ‘skinimalist,’ and so on. It helps to stay on top of these trends because these can help you improve your current offerings, as well as give you inspiration for developing new products.
7. Consider The Best Ways To Expand Your Beauty Business
Exporting is one way to grow your customer base. Take note, however, that this method will require you to invest a lot of your time and resources. If you pull it off though, the rewards are worth it.
Another expansion strategy is franchising, but this is tricky. If you’ve built your brand on a high-level of personalisation, you have to guarantee that your franchisees will be able to duplicate your success.
Ready To Grow Your Beauty And Skincare Company?
Let’s help your beauty business grow stronger. From formulation and development to design and marketing to fulfillment and delivery, we have everything you need to be a global success.
For more information on our services, don’t hesitate to contact us. You may also check out our other posts to learn more about private label beauty and skincare products.