How To Start A Lucrative Cosmetics Production Business In Nigeria: The Complete Guide

How To Start Cosmetics Production Business In Nigeria Or Africa: A Guide
How To Start A Lucrative Cosmetics Production Business In Nigeria Or Africa: The Complete Guide | Image: Pixabay

Over time, people have emphasized their beauty with various materials and items which are applied to different parts of the body, mainly the skin, hair and face. Thanks to growing research, expanding knowledge, technological inventions and the discovery of new materials for the production of safe cosmetic products, the cosmetics industry has expanded significantly within the last two decades. In all parts of the world, cosmetics contributes a lot to the gross national income of countries all across the world. Lots of brands have developed into major business empires in the cosmetics industry, some of which are L’Oreal, the House of Tara, Fenty, Oreke, Nivea, Estée Lauder, and Clinique, among others.

Beauty cosmetics and skincare exports globally generated US$62.3 billion in 2019, which was 64.3% higher than the total exports from the previous year. Europe exported the highest worth of beauty and skincare products in 2019, with shipments valued at $28.4 billion, half (45.6%) of the global value. Asian exporters followed somewhat closely with 39.6%. A total of 12.4% of the Global beauty cosmetics and skincare product exports originated from North America. Smaller percentages came from sources located in Oceania (1%) led by Australia and New Zealand, Latin America (0.8%) excluding Mexico but including the Caribbean, and Africa (0.6%).

The cosmetic industry in Nigeria had been in existence long before 2015 but that year marked the beginning of the fierce market competition between major brands, and that contributed to the market influx of cosmetics products. The growth has been rapidly rising since then as a result of the urbanization and increase of young people (especially women) in the workforce. The Nigerian beauty sector, according to the Beauty West Africa exhibition (BWA), 2019, is estimated to have 4 billion dollars’ worth of exports annually. With a population of over 100 million, the Nigerian beauty and personal care industry is likely to scale higher with a positive value performance.

Today, cosmetics have become a need that causes people to break their banks to improve the way they look, feel, and smell. Besides helping with hygiene, cosmetics have become a self-esteem booster. Most people are willing to spend millions to care for their skin because it often determines how other people treat them and their ability to influence others around them. This fact alone makes getting into the cosmetic production business is a pocket filling and awesome thing to do! If you’re considering starting a cosmetics production business in Nigeria or any other part of the world, here is the ultimate guide to help you through the process.

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What Is Cosmetics?

Cosmetics is an aspect of health and beauty. Cosmetics are products or preparations or substances used to clean, improve, or change complexion, skin, hair, nails, or teeth without affecting the structure or functionality of the body. Cosmetic products include beauty preparations (powder, mascara, eye shadow, eyeliner, foundation, concealer, and others), perfume, skin cream, nail polish, soap, shampoo, shaving cream, and deodorant.


What Is Cosmetics Production?

Cosmetics production is the entire process of manufacturing, packaging, and shipment of cosmetics such as lotions, creams, soaps, makeup, and many more.

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Business Opportunities Associated With Cosmetics Production In Nigeria And Across The World

As the human body is segmented, so also is the world of cosmetics segmented. The opportunities that exist in cosmetic production are boundless. Products ranging from every sphere are too numerous to mention. The excellent news about cosmetic products or production is that it is not gender-centred. The cosmetics industry applies to both genders.

1). Makeup Artistry:

Makeup is a large part of the cosmetic industry. Most cosmetic-related products are in the form of makeup, making room for people specialized in the art to shine. Makeup artists are often first-hand users of most cosmetic products. Also, people generally buy the same products their makeup artist use on them or recommend to them. This implies that being a makeup artist positions one as a consultant and advert agent.

2). Wholesale/Retail Of Cosmetic Products And Raw Materials:

Cosmetics demand is on a steady rise, so it requires the services of distributors and marketers. Selling cosmetics products is not only focused on makeup but also perfumes, as well as hair and skincare.

3). Beauty Spa And Salons:

A spa offers treatments to the skin, nails, face, body, and hair. Beauty spas provide a variety of services to improve health, beauty, and relaxation. A beauty spa makes use of a lot of cosmetic products to ease tension through massage, repair damaged skin, face, nails, and hair.

4). Beauty Consultancy:

People generally love skincare products and cosmetics but are not sure which products will work best with them. Consultants are experts who understand the constituents of each product, how it works, the side-effects and which ones are suitable to specific persons. They offer professional advice and tips on how to use cosmetics products.


Facts And Benefits Of Cosmetics

  • Cosmetics enhance beauty
  • Skin cosmetics like sunscreen protects the skin from sun damage and melanoma.
  • Antiperspirants and deodorants are effective in reducing body odour.
  • Skin fragrance can elicit strong positive emotion.
  • Cosmetics enhances the feel and appearance of the hair and skin.
  • Makeup enhances appearance.
  • Makeup boosts positive self-esteem.
  • Soaps cleanse and help reduce bacterial infections of the skin.
  • In ancient Egypt, people adorned themselves with face makeup and body oils in honour of their gods.
  • Between 1920 and WWII, cosmetologists discovered mascara, eyebrow pencils, sunscreen oil, and hairspray.
  • L’Oreal is the most prominent cosmetic producing company in the world today.
  • Cosmetics contribute to general wellbeing and lifestyle.
  • It improves mood and self-confidence.

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Types Of Cosmetics

1). Skincare Cosmetics:

Skincare products improve the appearance and feel of the skin. They are classified further by how they work and what functions they have. Most skincare products stay on the skin while products such as moisturizers improve the look and feel of the skin. Anti-ageing products get rid of the signs of ageing skin (wrinkles), sunless tanners that change the colour of the skin, and drug products that protect the skin against the sun, treat skin medical conditions, acne, and reduce the appearance of wrinkles.

The other types of skincare products are those designed to remove things from the skin; cleansers (body wash, hand soaps, facial wash, toners, shaving cream, bubble baths, etc.), scrubs, masks, and exfoliation products. Personal care products such as mouth wash, deodorants, and perfumes also fall in the same category of skincare cosmetics.

2). Haircare Cosmetics:

Like the skincare category, hair products are classified by how they work and what they do. The majority of hair product purchases are the ones designed to remove dirt from the hair. A common example is shampoo, which cleans hair and also removes dirt. They can qualify as some over-the-counter drugs such as anti-dandruff shampoos, anti-lice products, and hair restoration shampoos. Hair conditioners are another type of hair products that are rinsed off but still leave components in the hair to improve the look and feel of hair. There are various types of conditioners that improve the hair look and feel. There are intensive conditioners, protein packs, hot oil treatments, and a wide variety of other speciality products.

3). Colour Cosmetics:

Colour cosmetics make up about 20% of the global cosmetics market. Colour cosmetics typically include products that stay on the skin to change the colour and appearance, products such as creams that enhance or change skin tone, foundations, lipsticks, blushes, eye shadow, eyeliner, and mascara.


How To Start A Cosmetics Production Business In Nigeria: A Step-By-Step Guide

1). Identify Your Area Of Interest:

To start a cosmetics production business, it is necessary to first identify the specific cosmetics products to invest in. You could focus the business on a set of related items such as hair products, skin care products, etc.

2). Draft A Business Plan:

Set up a comprehensive business outline to guide you through each step of the business startup. All key decisions, plans, objectives and business goals should be incorporated into the business plan right from the start.

3). Get A Business Site:

Your business location should typically be in a busy town. The type of business office or company site you get depends largely on the type of cosmetics you deal in, as well as your scope of operation.

4). Employ Staff:

If the focus is largely to retail cosmetics products, which is the most common form of cosmetics business in operation across the world, the business requires only shop attendants, a couple of security personnel and distributors, for large-scale retailers.

5). Stock Up:

It is important to understand the market well enough to be able to get the best prices available. You should also get your products directly from accredited manufacturers in order to avoid fake and harmful products.

6). Register Your Business And Get The Necessary Permits:

Finally, before operation, ensure to register the business with the right regulatory bodies.

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Challenges Of Starting A Cosmetics Production Business In Nigeria

  • High startup costs, especially if you intend to go large-scale
  • Unfavourable international market policies
  • High market competition
  • Inefficient clearing processes
  • Logistics and distribution problems
  • Delay in deliveries
  • Fear of buying fake items
  • Difficulty in getting loans for startup.

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To Sum It Up

The cosmetics production business in Nigeria can be a lucrative and profitable venture to start-up, due to its vast market demand and on your ability to build a wide network. If you’re looking for a lucrative business to venture into, cosmetics production business in Nigeria is a great option to explore.


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  1. Great one! I will follow through with this as a guide even as I venture into the cosmetic business, thank you.

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