With 50% growth in the past year, skincare offers plenty of opportunities if you are looking to starting or growing your skincare business. Yet, with countless options to choose from, it can be challenging to navigate current trends, consumer behaviours, and production choices. So, the team over at &facts have come up without top tips you should keep in mind to grow a successful skincare business.
1 - Find your voice – From brand values to philosophy.
Whether you are a growing skincare business or still thinking about starting one, make sure that your brand has something to say. Skin Sapiens has captured a large audience in less than a year by repeatedly stating and proving their engagements toward transparent, clean and earth-conscious products.
Your brand philosophy is a crucial element to draw attention and make sure the audience remembers you. About 60% of consumers aged between 26 and 30 years old consider brand values and philosophies before buying. And this is expected to grow as Generation Z enters the consumer market.
So, be clear and vocal about what you believe in and what your brand is trying to achieve. Most importantly, tell your customers how you will do this.
2 - When less is more – The trend of minimalism.
Following The Ordinary's incredible success, it became clear that minimalist visuals are particularly appreciated by skincare customers. Beyond the skincare industry, the most successful brands on the internet all adopted clear and simple branding.
Aesthetics have recently become essential when it comes to selling a product. Whether it's your logo, homepage, or packaging, customers want to see consistency. If it does not appeal to them, then they will not buy it.
As a matter of fact, more than 50% of the millennials we surveyed for our report on the latest skincare trends highlighted visual as an essential criterion when they look for a new product.
3 - Green is the new black – Ethical choices are trending.
The demand for greener products keeps growing, scaling up the relevance of ethical choices.
To give you an idea, consumer interest in sustainable products rose by 74% in 2020 while the vegan skincare market grew by 219% in the last five year. Looking at these numbers, ethics are something you do need to consider while designing your new product, and growing your business.
Why are people turning toward skincare? Because they want to take better care of themselves. They want to invest in products that will improve their well-being. Here, natural, organic and vegan products are trending as they are perceived as healthier and safer options in comparison to those brands and products that don't market themselves this way.
New skincare brand Made by Coopers managed to rapidly build a strong community around their organic, ethical and clean skin products
Social media play a central part here as they are the 'go-to' place for eco-consumer looking for green alternatives.
4 - The constant trend: price
When launching a product, finding the right price is essential. It's mainly about finding the perfect balance between a price your customer is willing to pay whilst being profitable enough to sustain your activity.
Thinking about the right price, you will also need to consider your target audience. How much are they willing to spend on their skincare?
Our research shows that customer interest is 6 times higher for new brands with prices ranging below £15. And ultimately, the price remains the key consideration for most customers searching for new skincare products.
If you are struggling to price your product, we designed a free and simple tool that you can use to figure out your new pricing strategy to further develop your business.
5 - It's all about the reviews
You might wonder how to trigger the desire to buy your products among your audience. Easy: pay attention to reviews. Millennials will tell you that they are tracking down the best reviews.
Recommendations are not enough. People want to make sure the product is nothing short of incredible. That it is worth their money, if they are not satisfied with the reviews, they will not buy the product.
Therefore, it is vital to nudge testers and buyers to give feedback on their experience of using your product. Also, be reactive to feedback. Make sure your customers are aware that you care about their experience.
In summary
Skincare is taking over, and if you are looking to grow your business or invest in new products, there is definitely a lot of potential out there.
Yet, if you really want to break into that market, thinking minimalist, natural and affordable might make it easier for you. Finally, it would be best if you did not neglect the power of brand values and customer reviews, which can easily turn into make-or-break factors.
