How To Open A Brand Of Cosmetics In Russia - Experts Tell

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How To Open A Brand Of Cosmetics In Russia - Experts Tell
How To Open A Brand Of Cosmetics In Russia - Experts Tell

Video: How To Open A Brand Of Cosmetics In Russia - Experts Tell

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The growth of the global cosmetics market is many times ahead S&P 500 and even inflation, and Russian lipsticks, creams and body scrubs are now made by almost everyone who is not yet engaged in the production of domestic cheese, sausages and coffee brewing. It all started about five years ago, when the first media personalities like makeup artists Olga Romanova and Sergei Naumov launched personalized cosmetics. At the same time, there was a worldwide success of Natura Siberica, whose body soap and oil can be bought both in a separate boutique on Tverskaya and in London Harrods. Finally, heavy artillery joined in - instabloggers who come up with beauty products both independently and in collaboration with the Organic Kitchen brand, recently the brand has already released its third collection of products with Internet stars. Of course, there are also solo enthusiasts who have started making cosmetics for themselves.

Many people associate this trend with sanctions and the exchange rate of the ruble - it has become cheaper to produce our own than to bring in, - others believe that we have simply gained experience in working with international brands in order to do the best ourselves. Anna Dycheva, General Director of Reed Exhibitions Russia, the organizer of the Intercharm exhibition, is sure that the Russian way is not unique: “First of all, this trend is associated with the spread of the Internet, online payments, increasing the effectiveness of advertising in social networks - all this has reduced the cost entering the cosmetic market around the world. In addition, the modern consumer is more and more looking for naturalness and adherence to ethical principles in cosmetics, so the creators of indie brands find their customers."

Is it really so easy now to open and develop your own beauty brand, what difficulties will you have to go through and where to start? The story is told by those who have already succeeded.

Text: Daria Burkova

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Where to begin?

Elena Krygina

creator of the brand Krygina Cosmetics

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First of all, a concept is needed. You need to understand whether you are going to invent something or just want to stick your own logo. In most cases, brands stop at the second option, because it is easier, and there are really a lot of good recipes on the market. There is another problem here - there are many similar products. Pencils, for example, are almost all the same, because they are mainly produced by two factories all over the world. Or endless hydrogel patches that you can already order on AliExpress with the desired logo. Developing your own is cooler, more expensive, more difficult. It also develops communication skills well, because you have to negotiate a lot.

How do I register a brand?

Sergey Ostrikov

founder of Hello Beauty and BLOM

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Brand registration is just a formality. In general, all documents can be kept from a random legal entity in the spirit of Romashka LLC. It is worth registering a trademark to protect your rights to the brand, but it is not necessary to get started. Difficulties arise when entering new markets: in each of them, you need to re-register a trademark, since Russian rights, for example, do not mean anything in the United States, and vice versa - an American brand is not legally protected in the Russian Federation until the trademark is issued. In general, there can be only one fear here - that someone has already registered an identical name before you. And after submitting the application, you will have to wait about a year for other companies to claim the rights to the brand.

Christina Farberova

founder of personalized cosmetics brand Openface

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There are no separate forms of ownership for the production of cosmetics; both individual entrepreneurs and LLC are suitable. But keep in mind: not all industries work with individual entrepreneurs, some conclude an agreement only with a legal entity.If you have a sole proprietor, I recommend you to think carefully about the choice of OKVEDs (these are codes for types of economic activities), which must be indicated when registering a company. Make sure that among the OKVEDs there is a wholesale or retail trade in cosmetics and online trade.

Do you need your own laboratory?

Elena Krygina

creator of the brand Krygina Cosmetics

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It is not necessary to build your own laboratory at the start or even in five years. It is costly and unprofitable. Launching a cosmetics brand is a serious investment project. You need to be immediately ready for the fact that you will spend a lot of money, and the laboratory is an extra expense: it needs to be maintained, hunted for specialists, made so that it would be interesting for them to work for you.

Ekaterina Karpova

creator of the Pure Love brand

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Our recipes are complex in terms of technology, and when four years ago we entered into large supplies, we decided to build our own production. With small volumes of output, of course, it will be costly to maintain it, and to bring it into self-sufficiency is very difficult.

Where to start production?

Elena Krygina

creator of the brand Krygina Cosmetics

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Almost all factories produce cosmetics for a third-party brand, even if they release products under their own name. There are several options for cooperation: they can develop your product, or they can only cook if you come with a ready-made formula and provide the ingredients. Most likely, there will be several contract productions, perhaps even dozens, since not everyone will be able to close the full cycle of product creation. Someone works only with dry crumbly textures, while others - with dry, but compact. It so happens that a company can cook a product, but cannot spill, because they do not have a device that would fit your packaging.

Christina Farberova

founder of personalized cosmetics brand Openface

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There are differences in boilers in different industries. If you want to make a small batch of cosmetics, you will have to look for a production with a small boiler, where they can cook a small amount of product at a time. One of these, for example, is the Rassvet factory next to the Flacon factory.

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In Russia or abroad?

Elena Krygina

creator of the brand Krygina Cosmetics

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It can be produced in Russia, Europe or China. You need to go to China for a ready-made formula and for volumes. Nothing will be developed here for you, if we are not talking about a serious scale. They have so many giant customers that you're just a grain of sand. But in China there is a large selection, you can select a lot of good products. In Europe, formulas are being developed, but they can only be adjusted a few times. What technical task was given - such a product was made, something was corrected in detail - and it is necessary to release it. In Russia, you speak the same language with people, you are closer to them in every sense: you can go to production, test a product together with a technologist, correct something, try to better convey your idea.

How to develop a formula?

Christina Farberova

founder of personalized cosmetics brand Openface

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I'm sure that in order to make a good product, you need to dive into its development and production. The development of formulas can take place both in contract manufacturing (there are laboratories there), and at freelance technologists. If you choose freelancers, and not contract manufacturing, you will have to buy raw materials for samples on your own (and contract manufactures, as a rule, have their own assets) and make sure that the technologist correctly prepares a flow chart for production (preparing trial copies and finished products is not same). For a brief, the technologist needs: the desired cost of the product, ingredients, texture, color and smell, the required effect on the skin, the type of packaging. If you decide to manufacture cosmetics, you will have to control how the received samples meet expectations.And it would also be nice to organize the process of testing samples and send comments on improvements to the technologist. Here you definitely need to find a professional whom you will trust.

Where can I get the packaging?

Sergey Ostrikov

founder of Hello Beauty and BLOM

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With packaging in Russia there are the same problems as with components for cosmetics - you have to work with many suppliers. Pipettes can travel from abroad, boxes are printed in one region, cardboard inserts inside boxes - in another, bottles pout - in a third. It can take up to a month to develop the first package, but all the following products from the line are issued much faster. At the same time, the packaging does not freeze in time, it needs to be refined all the time: for example, if the legislation has changed, the range has expanded, there is a desire to differentiate the product from competitors or simply refresh the type of product.

Anna Vatulina

founder of the Elixir brand

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We developed the packaging design in several stages over six months - and with three different designers. We decided to make our own version from scratch after Intersharm: it turned out that all the packaging on the market was already used by other brands. We realized that our unique cream should be in a unique package - after all, the form should reflect the content. I wanted the packaging to emphasize the synergy of innovation and naturalness, which are inherent in the formula, and also fit into the concept of conscious consumption. We have developed a pack with replaceable units so we use fewer materials and customers save money.

Christina Farberova

founder of personalized cosmetics brand Openface

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It is very expensive to make your own packaging. To do this, for each element, you need to order an individual mold, which costs from twenty thousand dollars. An important thing to keep in mind when ordering packaging from a catalog is minimum quantities. The plant cannot produce a batch less than a certain amount, so you have to buy out the whole thing - whether you need that much or not. As a rule, the minimum volume is ten thousand pieces.

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How to certify?

Sergey Ostrikov

founder of Hello Beauty and BLOM

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Certification in Russia is not such a difficult process. Now there are many agencies that help to draw up documents and submit them for certification. It doesn't cost a lot of money and doesn't take years, everything is quite humane.

Daria Minich and Ekaterina Belyaeva

the founder of the brand belka

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There are various authorities that will not ask for any documents at all - pay and that's it. We wanted to do certification in a place that inspires confidence - for us it is Rostest. Their operators help us a lot, because it is difficult for an outsider to understand the wording of the law - even a lawyer does not always succeed. We tell them what products we have, specify what samples are needed, how long the process will take. And they explain everything, decipher the wording of the law. It's important to us that they don't really test on animals and animal ingredients. Because sometimes they claim the opposite, but in fact they carry out the Draise test on a rabbit's eye.

Elena Krygina

creator of the brand Krygina Cosmetics

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We had two formulas that we had difficulty with: Concrete cream pigments and Glass Gloss multifunctional gloss. We registered them as universal products that can be used on mucous membranes as well. The problem is that universal products have never been registered with us at all, so we have created a precedent for using such a texture in front of our eyes in Russia. It turned out that in this case it is necessary to conduct more in-depth research. We were not at all ready for this, because "in-depth research" includes testing on animals.

We had to go through this procedure once to get a certificate. We have taken a hit: now when someone will register a similar product, they will not have to conduct an in vivo study.We have not tested other products in the line - there was simply no need to do so. You need to understand that most of the products marked "cruelty free" have already been tested: once the active ingredient or formula involved in the composition, in any case, was tested - albeit under a different brand.

Daria Minich and Ekaterina Belyaeva

the founder of the brand belka

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We have developed our own badges: we have “Mineral” and “Protein” with the words “Not tested on animals”. Why would we pay the UK to lease a Leaping Bunny badge when we made our own squirrel? We are not the first to come up with our own designations. Americans have it all the time - they have their own bunnies there, "100% natural", whatever comes to mind. Now, even in Europe and the USA, everyone puts the "Gluten Free" badge, but we decided that this is obscurantism - we still have to put "No GMO" on.

How to sell?

Sergey Ostrikov

founder of Hello Beauty and BLOM

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Making cosmetics is not as difficult as selling it: you need to understand the market, feel the audience, see trends, and have knowledge in the legal, financial and marketing spheres. We try to cover all possible sales channels - from online stores to federal chains. Probably gone are the days when people were chasing cosmetics - now it is more important to come to consumers and be where it is convenient for them to shop.

Ekaterina Karpova

creator of the Pure Love brand

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We have direct sales from the site and through instagram. As a chemical technologist, I write articles about care and ingredients in the media, I give lectures. For us, this is the best way to get to know the customer better.

Daria Minich and Ekaterina Belyaeva

the founder of the brand belka

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To find a sales market and your buyer, you need to spend a lot of effort. Concept stores are good at promoting the product, but few people know about them, so we aimed to get to retailers with points in big cities. So that a girl who lives, say, forty kilometers from Kazan, could come to the nearest large shopping center and find our product there.

Sales on the site are highly dependent on our activity. When discounts start or a big blogger writes about us, we barely have time to collect orders. The rest of the time, old customers return, people who order first for themselves, and then take them to their mother and girlfriends. Now, by the way, there is an influx of new customer groups. Previously, we focused on people only of our own age (twenty-five - thirty-five years old), but gradually customers, both younger and older, reached out to us. For example, we have a pink holographic highlighter that is mostly ordered by adult women. A post on Beauty Insider helped us attract older audiences.

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How to promote a brand?

Sergey Ostrikov

founder of Hello Beauty and BLOM

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If you have money, it's easy. A huge number of agencies will come to your aid and will do everything for you. If there is no money, then an interesting challenge begins. It is impossible to learn this in two weeks, there is no book "How to Marketing Cosmetics" (although now I am writing just that). Another problem is that everything is constantly changing - from the scheme of working with bloggers and social networks to marketplace tools.

Anna Dycheva

General Director of Reed Exhibitions Russia, the organizer of the Intercharm exhibition

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Try to draw up a clear portrait of your consumer: who he is, how he lives, what his interests, age, way of life are. All this is important for correct positioning.

Anna Vatulina

founder of the Elixir brand

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We started our promotion with market professionals. First of all, we send creams for testing to advanced beauty journalists, professional bloggers, and independent cosmetologists. We receive their reviews, share them with the audience. And then we look. Cream is a subtle and very individual story.

Daria Minich and Ekaterina Belyaeva

the founder of the brand belka

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We believe that bloggers promote the media much more effectively, the main thing is to find your person with whom your audience intersects as much as possible and whom you can trust.Media works well for reaching and building brand awareness and reputation. At one time we tried to establish contact with various magazines, but we did not have a budget for advertising in the media, we did not know how it works. We started writing letters, asking what job options were possible, but no one answered. And now we have grown so that we are entering Europe.

And what about the production of perfumes?

Timur Solodov

perfumer NŌSE perfumes

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I think the main difference between a perfume brand is a more complicated paperwork and production procedure. Unlike cosmetics, perfumes in Russia cannot be created in their own laboratories; you need to organize contract production with a plant that has a license to work with alcohol. Otherwise, market conditions are not very different: ingredients are purchased mainly abroad, distribution channels are similar.

Perfume is a more expensive and emotional purchase. The question of the quality of ingredients in the production of perfumery is of fundamental importance: it is better to spend time searching, testing and selecting the best oils than to understand later that the purchased raw materials should not be used. There are several companies in Russia that import synthetic molecules from large international corporations, such as Givaduan, IFF, Firmenich. They purchase large volumes of these substances, bottle them in small bottles, and sell them at an affordable price. You can also buy directly from the manufacturer, but then you have to take a lot at once.

As for natural ingredients - essential oils, absolutes, CO2-extracts - they had to be looked for all over the world. In Russia, such oils are mostly of "bath quality" and are very different from those used in perfumery, and there is almost no choice. Nevertheless, we have found an enthusiast who makes wonderful oils from Russian plants, and we buy Altai poplar bud oil from him. In general, today we work with suppliers of natural ingredients from Italy and France, who, in turn, cooperate with small producers from all over the world - from Madagascar to Canada. Plus we have established contact with a family in India that has been producing oils for over two hundred years.

In order to find your buyer, it is important to be open, not to be afraid to write and send samples to those you like. So we started to cooperate with stores in Hong Kong, USA, Europe and, of course, in Russia and the CIS. After the perfume was on the shelves of several stores, others themselves begin to show interest - this is how the snowball begins to grow. It turned out that the phrase "Russian perfumer" is of great interest to the Western public. For them, this is something unexpectedly new, unusual.

Photos: paulynn - stock.adobe.com (1, 2, 3, 4)

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