How to Start a Cosmetics Business in Nigeria
Starting a cosmetics business in Nigeria is a profitable venture. The demand for cosmetics products is high in Nigeria as people are looking for ways to look smart. When starting a cosmetics business in Nigeria, there are some factors you need to consider like startup capital, business location and cosmetics products in demand you can stock. In this article, I am going to show you how to start a profitable cosmetics business in Nigeria.
Research the Market
The first thing you need to do is to research and understand the market. When researching the market, some of the things you need to know are the demand for cosmetics business in Nigeria, suitable business location, who your competitors are, cosmetics products prices and challenges facing the cosmetics business. Once you have these details, they will help you to plan yourself before launching a cosmetics business in Nigeria.
Write a Cosmetics Business Plan
The next thing you need to do is to plan your business and resources. After you have researched the market, you need to put down facts on paper. A good business plan should contain the following:
- Risk analysis
- Market analysis
- Industry analysis
- SWOT and PEST analysis
- Operational requirements
- Startup costs
- Target market
- Competition in the market
Read more: How to write a business plan.
Identify a Good Business Location and Premises
The next big thing you need to do is to identify a suitable business location for a cosmetics business. The cosmetics business is best suited for busy areas with huge foot traffic. You can start a cosmetics shop in a market center, near an institution like a college, or in a busy town.
- An area where many Nigerians pass every day
- Customers can easily locate your business
- Easily accessible
- Good road with and a parking space
- Furnish Your Cosmetics Business
Once you have identified a business location and shop, the next thing you need to do is to furnish it. You need to set up shelves and displays for the cosmetic products. Also, paint your shop with attractive colors that can attract customers. You can hire a good designer to set up your cosmetics business.
Identify Reliable Cosmetics Suppliers in Nigeria
You need to find reliable cosmetic suppliers to ensure that your business does not run out of stock. Look for reliable and suppliers. You can also source cosmetics products directly from the manufacturers. However, to do so, you will need large startup capital to buy cosmetics products in bulk.
Where to buy cosmetics in bulk in Nigeria? You can find reliable suppliers in these places:
- Mushin market
- The trade fair
- Balogun market, Lagos Island
- Dosunmu market, Lagos Island
- Moshalashi street in Lagos Island
- Ariaria Market in Aba
- Onitsha market in Anambra
How Much Does it Cost to Start a Cosmetic Business in Nigeria
The cost of starting a cosmetics business in Nigeria entirely depends on your business location, the cosmetics products you intend to stock and the size of the business. It will cost you between N50,000 and N200,000 to start a cosmetics business in Nigeria. Some of the startups costs will cater for:
- Interior decoration
- Cosmetic supplies
- Business registration
Cosmetic Products to Stock in Your Business in Nigeria
You need to stock fast-selling and high-quality cosmetics products. You can stock the following cosmetic products in your cosmetics business in Nigeria.
- Make-up products. You can stock products like nail polish, concealer, eye shadow, eye primer, mascara, eyeliner, eyebrows, lip gloss, lipstick and brushes.
- Haircare products. There is a wide variety of hair products you can stock like weaves, hair extensions, shampoo, conditioners, hair cream, spray gel, braids, hair relaxers and hair sprays.
- Skincare products. You also need to stock skincare products like body toning, moisturizer, body lotion, age-defying and exfoliation.
- Toiletry. You can stock toiletry products like soap, toilet paper, deodorant, toilet soap, bar soap, toothpaste and body perfume.
Is Cosmetics Business Profitable in Nigeria?
Cosmetics business is one of the most profitable businesses in Nigeria. The demand for cosmetics products is high since many people want to look smart and beautiful. With a cosmetics business in Nigeria, you can be making N50,000 in a month. With a wholesale cosmetics business in a busy location, you can be making at least N100,000 in a month. The profitability of a cosmetics business depends on how sales are moving.
Read also: How to start an internet cafe business in Nigeria.
Summary of How to Start a Cosmetics Business in Nigeria
The cosmetics business in Nigeria is a recommendable business idea. There is a huge market for cosmetics products in Nigeria. To make it in this business, make sure to offer quality cosmetics products and excellent customer service. Also, charge fair prices compared to your competitors. Also, market your business aggressively and you will have a large inflow of customers.