Beauty Business is a pretty space to be in where you aim to provide perfect services to the customers with a mission to help consumers look their best. In the United States, approximately $49.2 billion is generated by cosmetic sales every year. The global cosmetics industry is valued at $571.10 billion.
If you have always dreamed of starting a business in the beauty sector and have a professional background in beauty, there is a lot of opportunity in store. The below list of beauty business ideas will serve as a good guide to begin your journey.
1. Natural Skincare Products
Nowadays people are aware of the harmful effects of the toxic elements present in beauty products. This is the reason there is a dramatic increase in the demand for organic natural products.
You should definitely capitalize on this golden opportunity by creating your own product line. You can have both online as well as offline presence to sell your brands. Strong branding is a must. Do a thorough market before you begin your journey.
In 2021 the global natural skin care products market size was valued at USD 6.7 billion and is expected to expand at a compound annual growth rate (CAGR) of 6.6% from 2022 to 2030.
2. Hair Salon
The demand for hair salons would always be there because this is an evergreen business with high-profit potential. Initially, you will have a high capital investment to set up your salon because the equipment and the special salon furniture are costly in nature, but the long-term sustainability is high.
The second option could be to have a franchise of a reputed brand operating in the hair salon industry.
The market size, measured by revenue, of the Hair Salons industry was $51.6bn in 2022 in the United States.
3. Makeup artist
Becoming a makeup artist is an ideal business for people who are quite creative in nature and have exceptional skills. Weddings, dance competitions, proms, theatrical makeup, TV shows, and movies are some of the occasions where you showcase your art skills. A strong online and offline presence is a must for anyone who wishes to be a makeup artist.
The market size of the makeup business was at $39.58 billion in 2022 & is projected to grow from $41.49 billion in 2023 to $58.15 billion by 2030.
4. Beauty Blogger
Beauty bloggers are those influencers that people look for advice and recommendations of products. Being a beauty blogger, you will be expected to have a thorough knowledge of the beauty industry and trending products. You should be adept at the all details such as the pros and cons of a product recommended, pricing, competitors, etc.
To gain a loyal audience you must differentiate your blog by specializing in a specific niche. Many beauty bloggers are making a killing on the internet. You should guest blog on other popular sites and utilize SEO best practices to get a higher ranking in the Google search engine.
5. Beauty Vlogger
The concept of a beauty vlogger is the same as a beauty blogger, the difference being you focus more on visual content through videos. You do more unboxing of new arrivals in the market and highlight their positives and tell people how they can make people look better or affect a particular beauty aspect in a better way.
The medium of earning for a beauty vlogger is through sponsors, advertisements, and through affiliates.
6. Direct Cosmetic Seller
Direct selling means you sell products of reputed brands to the people without the presence of a physical retail environment, and make commissions. Most direct have a model of multilevel marketing set up meaning you recruit a sales team and share commissions, the bigger the sales team the more money in the form of commissions.
Direct selling business ideally suits extroverts and you should make the best use of local events, host parties, and utilize your social media presence to promote your products.
In 2017, the cosmetics & personal care products direct selling market was ranked as the second highest revenue-generating segment in the overall global direct selling market, after the wellness products category. According to the World Federation of Direct Selling Associations (WFDSA), in 2017, the cosmetics and personal care products segment held 32% of the market share in the overall global direct sales market.
7. Laser Technician
Skin rejuvenation and hair and tattoo removal by using laser techniques have gained traction and present a huge business opportunity in the beauty industry. The market is huge. You must be a trained specialist with a license.
For beauty clinicians and entrepreneurs, starting a laser beauty studio makes sense, and once you are trained and certified you can start the business from your own home and capitalize on the built-in traffic of a med spa or a salon.
8. Mobile Salon Owner
Mobile salons are a trending business these days. Along with your license and insurance, you will need other things like chairs, mirrors, a water source, and a power supply. For busy customers mobile salon is a good option and you can tap such customers who have demanding schedules.
You must target the right localities and promote your mobile salon business on social media and community gatherings to make people aware of your offerings.
9. Online Cosmetics Store
If you have your own beauty products you can sell them online through your website or various other marketplaces like Amazon. You can also start your own e-commerce online store and sell your products. There is also another option of selling beauty products of other companies through e-commerce stores by means of affiliate marketing and earning commissions.
The Online Cosmetics Market size is estimated at USD 13,790.55 million in 2023, and by 2028 it is expected to reach USD 20,707.60 million, growing at a compound annual growth rate of 8.47% during the 2023-2028 period.
10. Image Style Consultant
An image style consultant is a person who helps people look and feel best by advising them on makeup, clothing, and colors for them. The best part of this business is that it requires low start-up costs and you can operate from home. You can also form partnerships with personal trainers, life coaches, nutritionists, makeup artists, and hairstylists.
11. Wigs Store
People wear wigs because of several reasons. Some of the situations where wigs are preferred are party costumes, fashion statements, illness-related hair loss, and baldness. To make your wig store a success you should have a strong online presence and should inspire the site visitors with different types of stylish wigs.
The global hair wig market is projected to grow from $2.28 billion in 2021 to $3.0 billion in 2028 at a CAGR of 4.0% for the period 2021-2028.
12. Eyelash Extensions
Long eyelash is a sign of sophistication for many ladies as they tend to make them more appealing and feel more confident. The demand for eyelash extensions has increased these days. You can start as a home-based business in the first place and offer services to the client’s home. Once you gather a good number of clients you can open your own salon.
Consumers paying attention to grooming and becoming fashion-conscious are aiding in the growth of the eyelash extension business.
13. Botox Clinic
Nowadays more and more people are spending on Botox to look their best. To start a Botox clinic, you will need Botulinum toxin, Botox kits, dermal filler kits, needle-free injectors, and others. You should be well versed in the risks of Botox and comply with the state’s permits and licensing regulations.
Botox was the number one non-invasive procedure in 2022. Over 7.4 million people in the United States received Botox treatments.
14. Anti-Aging Clinic
Anti-aging treatment includes reducing wrinkles, age spots, fine lines enhancing skin texture, and tightening sagging skin. Who would not like to have a youthful appearance? Anti-aging treatment can boost one’s self-confidence. The anti-aging clinic is a massive market, the opportunity is huge.
As per the research study conducted by Custom Market Insights, the demand of global Anti-Aging Market share & size was valued at approximately USD 60 Billion in 2021 and is expected to reach a value of around USD 120 Billion by 2030, at a CAGR of about 7.5% during the forecast period 2022 to 2030.
15. Hair Removal Service
This is another beauty business idea that has good demand. You can either set up a hair removal clinic or can provide doorstep service to the client. Laser equipment is commonly used nowadays for hair removal purposes. You should be skilled enough to start this business.
16. Nail Salon
This business can be started at a low cost and from the comfort of your home. Starting a nail salon can be fun for a beauty enthusiast because it is easier to start. Men and women, both enjoy getting professional manicures and pedicures occasionally.
17. Anti-Tan Salon
Anti-tan salons are those salons that specialize in getting rid of skin tan. When people have maximum exposure to sunlight, they get tanned skin. The demand for anti-tan salons is much more, you have to just choose the right location and market your services well. Anti-tan salons use advanced skin brightening procedures to make the skin look natural and glowing.
18. Beauty Spa
Beauty spa is a great in-demand business with huge earning potential. You should be ready to invest a good amount in the beginning. Also, you should have permits and licenses in place. You should have good management skills and marketing strategies in place.
19. Body Piercing
Body piercing involves puncturing the skin to insert jewelry into body parts. It is a way to adorn self in a unique way. It is a way to showcase a personal style. It is a lucrative beauty business idea in the beauty industry.
20. Mobile Facial Spa
The mobile facial spa is an innovative business idea where facial services are provided to people who have a busy work schedule and cannot make it to the salon. Services are provided to the client’s desired location such as a house, office or hospital, and more.
21. Perfume Retailing
This is another great retail beauty business that holds good earning potential. You can sell perfumes offline or online. You can have an e-commerce store and focus on perfumes that are in great demand.
22. Stretch Mark Removal
Stretch mark removal is a cosmetic procedure aimed at eliminating or minimizing stretch marks on the skin. The reason why stretch marks occur on the body is rapid weight gain or loss, growth spurts, pregnancy, or hormonal changes. Though they are harmless many people seek their removal to improve skin aesthetics.
23. Barber Shop
A barbershop is a lucrative business opportunity for someone who is a skilled and professional barber. The demand is already there as it is one of the evergreen businesses. You can open the shop in cities as well as small towns. You also have the option to have a franchise of a well-established brand.
24. Cosmetic Trade Shows Exhibitions
Beauty industry professionals are always eager to showcase their products and services and trade shows are one of the ways they can do it. If you are an extrovert with good networking ability you should definitely consider this business idea of staging a cosmetic trade shows exhibition.
25. Tattoo Parlor
If you are passionate about tattoo art then a tattoo parlor is a perfect business opportunity. This is a lucrative business. People usually have tattoos on their skin to tell unique stories about themselves, commemorate meaningful moments, or express individuality.
26. Lip Gloss
The lip gloss business is a massive business opportunity. You should buy gloss-making materials and get skilled at the process. You should offer enough variety of shades and finishes to suit every style and occasion. This business is getting traction every passing day.
27. Lipstick
This is one of the most essential items that a woman keeps in her purse. You can formulate your own lipstick and or can become a distributor or retailer of lipstick brands. It is very important to have only those brands which have a great demand in the market. You can have an online as well as offline presence.
28. Lip Scrub
The lip scrubs are poised to grow in the United States because of the increase in lip issues. The major reason is smoking cigarettes. The lip damage is the major reason why this business is gaining traction.
29.Hair Weave
The hair weave business is growing market because people prefer wearing hair extensions to make hair look longer or thicker. You should also keep in mind that hair should look natural and, in the process, you should be careful not to damage the scalp.
Why you should start a beauty business
Starting a business in the beauty industry makes sense because of its resilience and consistent growth. It is an evergreen sector to venture into because the demand for beauty services and products remains stronger than ever driven by the desire for personal grooming, self-care, and aesthetic enhancement. Beauty treatments boost confidence and create a positive impact on people’s lives.
There are multiple niches in the beauty industry to be in, from skincare to cosmetics to wellness to haircare. With meticulous planning and the right marketing strategies, you can definitely make handsome money in the beauty sector. Below are some of the statistics of the beauty industry that can serve as a guide.
Cosmetics Industry Statistics in 2023 (United States)
| Yearly cosmetic sales in the US | $49.2 billion |
| Average monthly spending on cosmetics by Americans | $244 – $ 313 |
| The American cosmetics & beauty market is valued at | $91.4 billion |
| Most valuable cosmetics company in the US | L’oreal |
| Most profitable sections of the cosmetic industry in the US | Facial & Eye cosmetics |
| Largest Global cosmetic market segment | Skincare |
| The US share of Global cosmetics purchase | 24% |
| The annual growth rate of the cosmetics industry | 3.8% |
Other interesting statistics of the cosmetics industry
- According to Statista, globally, skincare and haircare are leading the cosmetic industry in terms of sales and account for 60% of the global cosmetic market combined. Women and men are more concerned about the way they look and feel and always want to present themselves in the best possible way.
- By 2026, the global anti-aging cosmetics industry is estimated to reach $60.26 billion. The growth is mainly because of an increase in lifestyle standards and income among the population across the world. The increase in the aging population is expected to contribute further to the growth of anti-aging solutions.
- From 2021 to 2027 global cosmetic industry will have a CAGR of 5.3%. The growth rate is primarily because of changing lifestyles, and the rise of men using beauty products in their daily routines.
- 60%+ of the YouTube beauty content is controlled by influencers. Influencers are the way of the future as far as beauty product promotion and advertisement. People find the visual content of beauty products more appealing. People find watching the real person using the brand much more comfortable rather than the company advertising the products.
Pros and Cons of Beauty Business
| Sr. No. | Pros | Cons |
| 1. | Great Financial Opportunity: It is a lucrative business to be into with ever-increasing demand for beauty products & services | Sacrifice: It takes hard work and a longer time for your business to settle down. |
| 2. | Variety of Specialities: There are numerous beauty niches you can enter into. | High Upfront Costs: You have to invest in inventory, marketing, packaging, etc. |
| 3. | Client loyalty: Happy clients become your loyal customers and bring more clients. | Variable Income: Your income may be variable because of location and your niche. |
| 4. | Impact on People’s Life: A beautician creates a positive impact on people’s lives. | |
| 5. | Vast Market: The beauty market is huge; you are assured of customers. |
Frequently Asked Questions
1. What is the most profitable beauty treatment?
The profitability of a beauty treatment varies and is dependent on various factors like the latest trends, your expertise, location, target market, etc. The profitability of your business also depends on the overhead costs. But some of the beauty businesses that are in good demand and are highly profitable are dermal fillers and Botox, laser hair removal, semi-permanent brows, eyelash extensions, etc.
2. What beauty products are most in demand?
As per the trends, the beauty products that are in high demand these days are lipstick, facial creams and moisturizers, foundations, concealers, eyeshadows, mascaras, blushes, highlighters, and bronzers.
3. Is the beauty industry still growing?
Yes, the beauty industry is still growing. Statistics say that the cosmetics industry is growing at a compound annual growth rate of 5.3%. At this growth rate, the cosmetic industry market will be worth $463.5 billion in 2027.
Conclusion
The beauty industry is a vibrant sector that provides numerous business opportunities for aspiring entrepreneurs. The demand for beauty services or products will always be there because it’s a human tendency to look and feel better. But you should be up to date with changing consumer presences and adapt yourself accordingly. You can carve out your own space in this big industry by laser-focusing on one niche initially and gradually can branch out. To promote your business, social media is a great tool, because often people look for beauty influencers for advice and recommendations.
Resources:
- https://www.zippia.com/advice/cosmetics-industry-statistics/
- https://www.fortunebusinessinsights.com/makeup-market-102587
- https://www.grandviewresearch.com/industry-analysis/natural-skin-care-products-market
- https://www.ibisworld.com/industry-statistics/market-size/hair-salons-united-states/
- https://www.fortunebusinessinsights.com/industry-reports/cosmetics-personal-care-products-direct-selling-market-100183
- https://www.mordorintelligence.com/industry-reports/online-cosmetics-market
- https://www.fortunebusinessinsights.com/hair-wig-market-106241
- https://www.cosmeticsurgeonoftampa.com/botox/botox-statistics-you-need-to-know-in-2022/