The Basics Of How To Start A Perfume Business In Nigeria

Perfume Business In Nigeria

As a result of the need to smell nice when going to work or attending parties, conferences, summits, events, or even when going out on a date, most people like to apply one brand of fragrance or another on their bodies. But then, while perfumes were previously known to be produced in large quantities by top brands, and affordable by only the wealthy, the narrative has changed as they are now being produced in small quantities and for prices even the ordinary man can afford.

The fact that perfumes are in high demand, and are now being produced in small quantities that almost everyone can purchase them – has made the perfume business a profitable business you can venture into if you are looking to start a business in Nigeria. Not only is the capital required for it is low, but its profit margin is also very high, with a tendency you make sales every day if you put effort into it.

This is why in this article we’ve provided a step-by-step guide on how you can start and run a successful perfume business in Nigeria. These guides range from conducting research to getting the required capital, obtaining the necessary permits/licenses, getting suppliers, and selling your perfumes properly, among others.

Can I Start A Perfume Business With 100k?

Yes, you can start a perfume business with 100k. But this depends largely on the type of perfume business you want to start. If you intend to start your perfume brand, then ₦100,000 naira will not be enough. You would need at least a million naira to do that.

On the other hand, if the perfume business will require you to produce in small bottles and sell or buy from perfume brands and resell, then ₦100,000 naira should be enough.

Is Perfume Business Profitable In Nigeria?

A high demand for any product makes it a profitable business one can venture into if one decides to produce that product. The same applies to the perfume business. As a result of the need for people to smell nice when they step out of their homes, there is a high demand for perfumes. This in turn makes the business of producing perfume a profitable one.

So if you have ever wondered if the perfume business in Nigeria is profitable, the answer is yes. The perfume business in Nigeria is very profitable.

What Is The Cost Of Starting A Perfume Business In Nigeria?

The cost of starting a perfume business in Nigeria depends on whether it is a small-scale business or a large-scale business. It also depends on the way you intend to run the perfume business.

For instance, if you want to sell perfumes in little bottles, you would need around ₦10,000 naira to ₦50,000 naira, depending on the quantity you want to start with. If the perfume business requires you to sell designer perfumes (i.e. perfumes that belong to brands), then you would need around ₦100,000 naira to ₦200,000 naira to buy wholesale and resell. But if you intend to start your perfume brand from scratch, then you would need at least a million naira as capital for a start.

How Big Is The Perfume Market In Nigeria?

The perfume market in Nigeria is bigger than most people think it is. This is because of its high market demand which is a result of people wanting to smell nice when they go out in public places.

According to research by ECDB, the fragrance e-commerce market in Nigeria is expected to reach $3.9 million by the end of 2023, and is also responsible for about 4.3% of Nigeria’s e-commerce beauty care market. This goes to show how huge the perfume market in Nigeria is.

How Do I Start A Perfume Business In Nigeria?

Here’s a well-detailed step-by-step guide on how you can start a perfume business in Nigeria:

1. Decide on your type of perfume business: There are different known types of perfume business. From parfum to eau de cologne, eau de toilette, Eau de perfume, body mists, perfume oil, and eau fraiche, among others, the list cannot be exhausted. As a result of this, the first step to starting your own perfume business is deciding on which of these types of perfume you want to start selling.

Also, other than deciding on the type of perfumes you want to start selling, you should decide on the way you would sell them. Will you start your perfume brand, will you produce and sell to top brands, or will you even become a dealer? All these are questions you should be able to answer when deciding on the way you want to start your perfume business.

2. Conduct research: After you must decide on the type of perfume business you want to start as well as how you want to sell them, the next step is to research the perfume business market in Nigeria.

How does the perfume business work in Nigeria, who are the people that are likely to buy from you, which perfume brands are the best in the industry and how can you learn from them, how do you market your own perfume business? All these are what you should take into consideration in the course of conducting research for your own perfume business.

3. Get capital: As usual, every business’ foundation is laid on capital. Without one you can’t succeed as a business owner. As a perfume business owner, you’ll need to make available tools like disposable plastic pipettes, testing strips, bottles, vials, etc. These, among other things, are what you need capital for.

You would also need capital to purchase ingredients that will be mixed to make the perfume as well as paid marketing to advertise the perfumes.

4. Source suppliers: In a situation where you won’t be mixing ingredients to produce the perfume yourself, you would have to get a supplier who would be supplying you perfumes you will sell.

If your perfume business is a large-scale business, then your suppliers will be direct manufacturers and distributors but in a case where you plan to run your perfume business on a small scale, then your suppliers will be perfume oil dealers and big cosmetics shops.

5. Start selling: Once you’ve decided on the type of perfume business you want to do, you’ve conducted your research, you’ve got capital for the perfume business, and have found a supplier or suppliers, you can now start selling your perfumes.

6. Market your business: Getting sales for your perfume business might not be easy since you are just starting. The solution to this is to market your perfume business. You can decide to use word of mouth to tell people that you sell perfumes or give out some free perfumes for them to use and give recommendations. You can also create social media pages where you advertise your perfume business and get customers to patronize you.

How Do I Start Online Perfume Business In Nigeria?

Starting an online perfume business in Nigeria is similar to what you do in a physical location except with a few things being different. Here’s how you can start an online perfume business in Nigeria:

1. Choose the type of perfume business you want to do: You can’t be a jack of all trades as an online perfume business owner. This is why you have to niche down and choose one, two, or at most three of the different types of perfume to venture into as a business.

2. Conduct research: The next step is to conduct research. What are other online perfume brands or business owners doing? How are they generating sales through their websites? What type of ads do they use to drive potential clients to their website? And how can they all be applied to your own online perfume business?

All these are what you would base your research on when looking to start your own online perfume business in Nigeria.

3. Get your capital: Whether you are running an online perfume business or a perfume business in a physical store, you would need capital to start with. Your capital is what will provide you with every equipment, instrument, materials, etc, to run your online perfume business and generate more revenue.

4. Get a website: Since you are running an online perfume business, you would need a website that would serve as your perfume store and a marketplace where people would come to check out the varieties of perfumes you have and make purchases for them. Your website will also contain other information like your business name, it’s contact details, categories of products, its payment methods, among other things.

There are two known ways you can get a website for your online perfume business.

One is registering for a free blog on Blogger and purchasing a domain name that will be linked to it. In this case, you don’t have to pay to host the website on Blogger. You will only pay for the domain name you will be purchasing.

The second way you can get a website is by using WordPress. If you decide to use WordPress, you would have to pay for both a domain name and a company to host the website for you.

5. Get suppliers or self-produce and update your website: Once you’ve got your website, you can now start looking for suppliers to supply you with perfume or you can start producing the perfumes yourself.

Once you are done with either of the two, the next thing is to update the perfumes you bought from the supplier or the ones you made yourself on your website. This will enable potential customers who visit your website to know the available perfumes and the ones that are not.

6. Market your business: With your website active and products updated, you should start making sales. But you can still go ahead to increase these sales by marketing your online perfume business.

There are many ways you can market your perfume business if it is done online. You can pay for Facebook, Instagram, or Google ads that will drive your target audience directly to your website. With your perfumes updated on your website already, these target audiences can then go ahead to buy them.

You can also create social media accounts for your perfume business. These accounts will be linked to your website and will also be used to promote the perfumes you have for sale on the website.

Ambassador Victor Chidera
Ambassador Victor ChideraAmbassador Victor Chidera is a business consultant, writer and a blogger. He provides lots of professional and expert advice to small businesses, entrepreneurs and organizations. He has many years of experience in business, teaching field, and research work. And his aim is to provide business articles that matters to you both nationally and internationally.
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