Business Idea

Start A Makeup Brand

About

Starting a makeup brand requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell makeup, or selling makeup online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a makeup brand ➜

Key stats

market size
$85B
starting costs
$42.2K
gross margin
80%
avg product price
$606
time to build
10 months

About

Starting a makeup brand requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell makeup, or selling makeup online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a makeup brand ➜

Key stats

market size
$85B
starting costs
$42.2K
gross margin
80%

 

avg product price
$606
time to build
10 months

Startup Costs

Min Startup Costs Max Startup Costs
Employee & Freelancer Expenses $0 $5,500
Equipment & Supply Expenses $550 $6,000
Website Costs $232 $6,500
Business Formation Fees $5,600 $20,400
Retail Business Expenses $0 $16,150
Inventory Expenses $350 $14,750
Software Expenses $150 $3,044
Advertising & Marketing Costs $75 $4,786
Other Expenses $0 $300
Total Startup Costs $6,957 $77,430

Successful Businesses

Business URL Rank
Macys macys.com #545
Access Denied sephora.com #2,007
HSN hsn.com #4,503
Byrdie byrdie.com #7,711
unknown avon.com #9,796
DECIEM deciem.com #12,118
Morphe morphe.com #27,408
Tarte Cosmetics: Makeup, Skincare & Beauty Products tartecosmetics.com #32,706
Lush USA lushusa.com #35,287
Ajooni Care ajooni-care.ueniweb.com #36,280
Affordable Makeup & Beauty Products elfcosmetics.com #38,988

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Rewarding work Starting a makeup brand can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Scalable With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
Meaningful business connections You never know who you will meet as a makeup brand. This could be the start of an incredible business opportunity!
High customer retention rates Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your product or service becomes indispensable to your customer.
High margins The gross margins for your makeup brand are typically around 80%, which is considerably high and allows you to grow your business and manage costs easily.
Cons Description
Motivation of employees If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.
Longer Sales Process A makeup brand can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.
High employee turnover In the makeup brand, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.
Taxes As a makeup brand, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.
Niche Market A niche business is not necessarily a bad thing, in fact, it can be the key to your success. However, it can be more challenging and time consuming to find the perfect niche market and target audience.
High overhead expenses With starting a makeup brand, there are overhead expenses that come with selling a physical product. You will want to make sure you strategically budget for these overhead costs. We discuss this more in the startup costs section below.

Marketing Ideas

  • 1

    Word of mouth

    The most tried and true way to grow a makeup brand is through word of mouth - some entrepreneurs would say it's more important than all social media.

  • 2

    Advertising on social media

    Social media advertising is one of the leading ways to get the word out when it comes to makeup brand.

    There are various different Social Media platforms available to you. Some may be more critical for your marketing efforts than others, however, it's important to have an understanding of what's out there and available to you.

    Learn more about advertising on social media ➜

  • 3

    Pay Per Click Advertising

    Pay-per-click (PPC) is a performance-based marketing method that allows you to show specific ads for services or products oriented to a very defined target, with the goal that the user visits your website or landing page.