How To Start Skincare Business Philippines: Businesses come in all shapes and sizes, which is certainly true when starting a skincare business in the Philippines. Today we will be exploring the official steps you will need to take to open a skincare business in the Philippines.
Starting A Skincare Business Philippines
1. Decide Between Skincare Franchise And Solo Entrepreneurship
When entering the skincare industry, going solo or with a franchise is one of the first decisions you will have to make.
When you work with a franchise, you will not have to worry about planning and marketing, as in most cases, the franchisor takes care of the problematic aspects of the business. However, it will help to do much research about the company if you consider franchising. Researching the fees is always necessary when franchising in the Philippines.
If you are someone determined to succeed in the skincare industry, you can start your business from scratch and have your products made by a skincare manufacturer In the Philippines. However, if you have a comprehensive business plan, the early phases of your business might not be as challenging compared to others. More on development is below.
2. Create A Business Plan For Your Skincare Products
A business plan is essential in the process of when looking at how to start a skincare business in the Philippines.
When you create a business plan for your skincare products, the demand is first to understand. Then, you can find out what products your target market wants, what ingredients they look at, the price they are willing to spend on skincare, and what packaging will entice them to buy your product.
For instance, some of the in-demand local skincare products are organic. Many of the ingredients they use in their products have niacinamide and green tea. You can also include the products you want to sell. For instance, you can make soaps, moisturizers, cleansers, or a combination of these.
Then, you pick your hero product. A hero product is your primary product. It is crucial to know as much as you can about the product as this will help your business stand out and give you a good understanding of growing your skincare business in the Philippines.
3. Complete The Legal Requirements Of A Skincare Business
This step in starting a skincare business differs from other businesses because skincare business owners must secure permits from the FDA at this stage. Certification from FDA is a must if you wish to sell skincare products in the Philippines.
In addition, it is recommended to visit Republic Act No. 3720. New skincare businesses must ensure that they follow the regulations & rules to make their skincare products safe for consumers. Likewise, if a buyer purchases items through skincare suppliers in the Philippines, the buyer must ensure products are safe and with FDA guidelines before selling.
I have added the relevant links above for your reference; however, you may wish to visit our Lip Tint business article for more details on selling skincare products in the Philippines. Lastly comes the registration of the business. Again, this will differ on the type of business and location.
4. Calculate Your Financial Strategy
After deciding on the products and ingredients, the next thing to do is to determine the price. You can decide on it more easily if you know the answer to this question: How much does it cost to start a skincare business? (more on this below). This is because the products will need to be profitable but also competitive within the market.
The cost of your product will also depend on how much you produce. Your time, ingredients, labels, and packaging are included in this. If you outsource through a skincare manufacturer in the Philippines, the labor expenses may be included.
It can be hard to succeed in the skincare market in the Philippines without a solid plan and strategy of finances. Therefore, even if a business owner is starting a skincare business from home, it is always wise to consider it just like any other business.
5. Manufacture And Pack Your Skincare Products
Being attentive is important regardless if you are making your products at home or through a manufacturer. Your goal is to make sure that your products meet the quality you want. Safety is also a key priority.
When looking for a manufacturer, you need a company that has experience and understanding of the industry. Aside from outsourcing the manufacturing of your products, you could manufacture the labels and packaging of your products in-house.
Your packaging plays many roles – Your skincare packaging needs to preserve the product through its entire shelf life, and the design should be compelling enough for the customer to want to purchase it.
6. Start Selling And Growing Your New Skincare Business
You can rent a location from a store or mall to sell your products. You could look for an area that often has a lot of foot traffic from your target audience. The rental fee should also be manageable.
Adventuring online is also a good idea for skincare products. For example, you can set up a website and advertise on social media. In addition, you could link your social media accounts to your website to boost traffic. Youtube, for example, is fantastic as a marketing channel.
Influencing is also key. Many larger influencers require the product and payment; however, now, many skincare businesses seek micro-influencers as the cost is often much less. The return on investment can be just as high.
Starting A Skincare Business From Home
The first consideration is buying the right equipment for the products you want to sell when starting a skincare business from home.
You may need to purchase tools such as soap molds if you plan to make soaps or lotions. However, you can search for suppliers that sell in bulk for the ingredients you need. In addition, you can check out some raw materials you can use to make your skincare products on dksh.com
You do not have to worry about spending a lot on equipment if needed. You can check out second-hand stores or Facebook Marketplace for affordable equipment. You can also find inexpensive kitchen tools in good condition and perfect for creating your skincare products.
Financial planning is a crucial step on how to start a skincare business Philippines at home. It can be overwhelming, especially if this is your first business at home. However, managing finances and making sure everything is balanced are required in the early stages of business.
How Much Does It Cost To Start A Skincare Business Philippines
Knowing how much capital you need is an important step on how to start a skincare business in the Philippines.
The good news is you can start a skincare business in the Philippines without spending a lot of pesos. A small or starter skincare business in the Philippines can be started for P5,000. This will be enough to purchase a few basic products such as body lotion, facial wash, or body products to resell. More extensive businesses and private label businesses can cost anywhere from P50,000 – P175,000+.
What is important to remember is that the cost to start a skincare business in the Philippines will depend on the location (renting or home-based), tools needed, marketing, website hosting, and many other factors. Therefore, it is often recommended to start a business small.
Beauty products– Around P3,630 (This includes 3 foam cleansers, 3 serums, 3 toners, 3 soaps, and 3 starter kits – Packaging tape- P100 – Disinfectant – P350/liter – Pouches- P140-P170 – Bubble wraps- P14/yard.
You can also buy products in bulk and rebrand them. This Facebook store offers business starter packages for different skincare and makeup products for less than P4,000. Being a distributor or reseller of skincare products is maybe simpler when starting a skincare business from home.
How much does it cost to start a skincare business if you make your own products? Here is a sample breakdown of the expenses to launch your business:
- Digital Scale- P400
- Disinfectant – P350/Liter
- Glass Thermometer- P200
- Heat-Resistant Bowls (Needed For Making Lotions, Cream, And Balms)- P400/Each
- Licenses And Permits- Around P4,000
- Measuring Spoons And Cups- P100
- Packaging P600
- Printer Fees For Labels P45 To P90 (14 To 71 Stickers Depending On Your Preferred Size)
- Raw Materials- Around P3,000
- Soap Mold- P150
Skin Care Manufacturer Philippines
- Kaiser Dream Skin
- Link: https://kdscosmetics.ph/products/
- Products: Lotions, sunscreen, facial creams, serums, body scrub, face masks, peeling oils, face and body sets,
- Skin Solutions
- Link: https://skinsolutions.com.ph/
- Products: Toners, creams, deodorants, eye serums, lotions, beauty kits, face masks, soaps, scrubs
- Goldwin Manufacturing Laboratories Corp.
- Link: http://dir.cosmeticsandtoiletries.com/detail/supplier.html?sid=14795
- Products: Bath and body, hair, skin, and sun care
- Refinette Cosmetic Manufacturing Corporation
- Link: http://www.refinette.net/our-services
- Products: Soaps, serums, emulsions, gels, creams