SHARING FIRSTHAND EXPERIENCE IN SKINCARE INDUSTRY
STUDY FROM REAL CASE OF A CHULA STUDENTS ALL-ROUND GUIDE FROM START TO YOUR FINAL LINE
Growing up in a family deeply rooted in the mass production of skincare items like soap, Big's interest for the busness was cultivated from an early age.
With the capital means and connections Big is poised to kickstart his own skincare venture, fueled by his unwavering passion for entrepreneurship.
Self-exploration is an essential and often underestimated step in starting a business. Before diving into the world of entrepreneurship, it's crucial to take a deep and honest look within oneself. This introspection involves identifying your passions, strengths, and weaknesses, as well as understanding your values, goals, and aspirations. It's a process that allows you to align your business idea with your personal identity, ensuring that your venture is not only pro table but also personally ful lling. Self-exploration also helps in developing resilience, as it prepares you to face the inevitable challenges and setbacks that come with entrepreneurship.
Big's enthusiasm for entrepreneurship extends beyond individual pursuits, as he is equally driven by the prospect of creating meaningful partnerships in the skincare industry.
Unique Ingredient: The use of mangosteen as a key ingredient in the skincare product provides a unique selling point, as mangosteen is known for its antioxidant and anti-in ammatory properties, which can bene t skin health.
Natural and Sustainable: The emphasis on natural and sustainable ingredients aligns with the growing consumer demand for eco-friendly and clean beauty products.
Competition: The skincare industry is highly competitive, with numerous established and emerging brands. New entrants may struggle to stand out in this crowded marketplace.
Regulatory Compliance: Adhering to stringent regulations and certi cations for natural and organic products can be challenging and may delay product launch or require signi cant resources.
Big's thought process for forming a business plan is deeply rooted in his self-exploration journey. Having discovered his passion for both entrepreneurship and skincare, he recognizes the need for authenticity in his business endeavor. He understands that his family's expertise in mass-producing skincare items like soap can serve as a strong foundation for his venture. However, Big is determined to infuse his personal values and aspirations into the business plan. Through self-exploration, he has identi ed a commitment to eco-friendly and sustainable practices, which he intends to integrate into every aspect of his business, from product formulation to packaging.
Furthermore, Big's self-exploration has uncovered his enthusiasm for forming partnerships. He believes that collaboration with like-minded individuals and businesses in the skincare industry can enhance innovation and market reach. With this insight, his business plan not only outlines strategies for product development and marketing but also lays the groundwork for building strong alliances with suppliers, distributors, and even fellow entrepreneurs who share his vision. By drawing on his self-discovery journey, Big is poised to create a business plan that re ects his passion, values, and ambitions, setting the stage for a skincare venture that is both personally ful lling and commercially success-
Motivation is the driving force behind Big's aspiration to make his skincare business a resounding success. It serves as the relentless energy propelling him forward, even in the face of challenges and setbacks. Motivation is essential because it keeps him focused on his goals, ensuring that he remains committed to the long and often arduous journey of entrepreneurship. Beyond personal determination, motivation also plays a pivotal role in inspiring and mobilizing his team. Big understands that a motivated team is more likely to share his passion and work
As Big prepares to bring his vision to life, he is in the process of weaving together various elements of his business plan. He is meticulously selecting sustainable suppliers who align with his values, ensuring that the raw materials used in his skincare products adhere to his commitment to eco-friendliness.
Business plan is a necessary stage to provide a clear picture of your business vision and direction.
What should be included in your business plan?
Month 1-2: Market Research and Business Plan
Conduct market research to identify trends and target audience. Create a detailed business plan outlining your brand, products, and nancial projections.
Month 3-4: Legal and Financial Setup
Register your business and obtain any necessary permits. Set up a business bank account and secure funding if needed.
Month 5-6: Product Development
Develop your skincare product formulations. Test products for safety and e cacy.
Month 7-8: Branding and Design
Design your brand logo and packaging. Create a brand identity and marketing materials.
Month 9-12: Website Development and Pre-Launch Marketing
Build an e-commerce website.
Start building your social media presence. Plan a pre-launch marketing campaign to generate buzz.
“Timelines and milestones are crucial for skincare businesses as they o er a roadmap aid in risk management and decision-making”
- Anonymous
“Brand value is vital for businesses” as it distinguishes them from competitors, builds trust and customer loyalty, often enables higher pricing, facilitates amarket expansion, and enhances resilience during crises.
A strong brand value attracts top talent, fosters partnerships, and creates emotional connections with consumers, leading to market leadership and long-term success. In essence, brand value is a strategic asset that underpins a company's reputation, consumer relationships, and its ability to thrive in competitive markets.
First of all, the stage of researching about trends and ingredients is vital. As a business owner, you have to understand what is safe and scienti call-proven for customers.
One way to capture a customer’s heart is through customer-centric approach. In today’s business ecosystem, delivering values to clients is above pro t generation.
ResearchGate and ThaiJO are useful tools in discovering new knowledge about your ingredients. Some knowledge you already have are often myths in which you have to debunk.
In addition, another great trick is to talk comprehensively with your R&D team. They all know how to formulate products e ectively for Thailand’s unique climate.
Listen to your heart, not what others say. The thing is that when you are new to the business world, you are prone to follow people’s advice too much. You need to write down a standpoint of your formula and develop based on suggestions, not change!
The most exciting part, yet it is also the most merticulous step that needs your attention.
Trials and errors are super e ective for this part. Before pinning an ingredient, you need to experiement with it for at least one month to prevent adverse results on clients. For our case, we chose Garcinia Mangostana Extract, Salicylic Acid (BHA), and Tea Tree Oil, with Sodium Palm Kernel as the soap base. Before we released, we tried this product on ourselves for 3 months and document all changes on our skin.
You cannot have your cake and eat it too. That is my motto.
You have know that in the skincare industry, all-in-one product does not truly exist. For example, skin brightening agents and exfoliants cannot be formulated together for safe use. Together, they are too harsh on our cells, leading to contact dermatitis.
"Identify one purpose per one product and adhere to your words."
Customers mean more than anything to us. Apart from secondary research, we conducted primary research to gain a deeper understanding of Thai consumers’ pain points. Formulating a skincare product indeed needs to be excellent in quality. However, in addition, the ingredients sourced should also support farmers and SMEs.`
Qualified manufacturers allow upto three adjustments of ingredients and formulation free of charge. We the owners must take advantage of this and perfect very minute details.
Well, in the end, we have to say that it is okay to make mistakes. Nobody was born perfect. It can take several adjustments before the end product can be released. Take Nhamr’s case for example. This soap was sent back to the manufacturer over 20 times before the end soap was released to the public.
In reality, nothing is eternal. Time changes; people’s perception simultaneously change. In other words, formulation of a skincare product must also change according to time and people’s skin.
For small orders, it is best to order from small factories. For large orders, large factories are best.
CHOICE A
Bangkok Soap, Ltd. Company
• Larger orders
• Luxurious ingredients
CHOICE B
Thai Herbal Village, Ltd.
• Larger orders
• Cheapest costs of production
CHOICE C
Chiang Mai Soap, Ltd.
• Large orders
• Easy international exports
CHOICE D CHOICE E CHOICE F
Lanna Craft CD, Ltd.
• Small orders
• Cheapest among SMEs
Handmade Soap by Pui, Ltd.
• Small orders
• Reasonable
Jarus Sang Soap, Ltd.
• Small orders
• Free FDA and tax registration
Newbies entering the skincare industry may nd it di cult to deal with numerical data. Yet, with proper cost control, you are sure to achieve the break-even point e ciently.
There are 2 crucial steps that you have to embrace in order to control the costs of production. Our case-Nhmar by Big- has wasted an extra 30,000 Baht on costs.
As classic as it is, spreadsheet software is extremely e ective. With this, you can see the expendicture and revenue clearly. Plus, the commands reduce errors in calculations.
The myth goes that the bigger the company the cheaper the quote is. In fact, small orders are likely to be cheaper if they are ordered from SMEs, vice versa.
Knowing what is best for your business, especially rst business, is the best way to prosper in the coming future. There are good results:
From the case of Big, he could have saved over 30,000 Baht only if he had chosen the right size of manufacture of his order.
Over 25 percent of your cost of producing one product can be save if you know what grade of ingredients is adequate.
Packaging, which will be mentioned next, plays a big role in costs control. Make sure you know what style your audience favors.
In the long run, Nhamr Soap by Big has saved over 200,000 Baht in one year by understanding how to choose appropriately.
Stock management. Newcomers may neglect the stock level. Initially, products unarguably sell very slowly. As the product becomes more popular, it sells fast
30%
30% is the sweet spot here. The rule states that around 30% of the product per lot should be readily available.
You have to take into account other factors too. For example, if your supplier’s production time is long, you have to adjust your minimum stock level accordingly.
50+ is the lesson I learned from Nhamr Soap business. When the volume of daily order is larger than 50, it is perhaps necessary to
Cloud warehouse is a one-stop service that rents you a warehouse along with packing and postal services. In this way, you have more time
8%
Last is the 8% rule. The costs of warehousing should be no more than 8% of a product’s selling price.
Integrating latest technologies and implementing the right Warehouse Management Software (WMS) can increase productivity, improve warehouse operations and satisfy customers.
To run a successful warehouse, all parties involved in the business must share a common goal to maximize the usage of space, labor and equipment, maximize the security on all items, minimize unnecessary handling of goods and reducing the overall costs.
Analyzing supplier performance can help ensure the company receives products reliably. For instance, you might consider whether the time it takes for a supplier to deliver an order is su cient.
When pickers pick the items o the shelves, process the order and move it to the shipping station, it is important that they verify the right item and quantity is being shipped. Packers at the shipping station spend all day packaging the products and putting the right labels on them.
Do not repeat my mistake; let my experience be your compass towards wiser decisions and smoother journeys in your entrepreneurial pursuit.
Welcome to the exciting realm of entrepreneurship, where dreams and ambitions come to life. In this section, we're unveiling a game-changing concept: "Crafting Custom Boxes for Your Startup: Your Journey to Packaging Success." Within these pages, we're your trusted companion as we dive into the intricacies of ordering packaging that truly re ects your brand. We'll demystify the world of box types, providing you with a comprehensive understanding of the options available. Moreover, we're here to guide you in nding the perfect match for box types and minimum order requirements with the budget you have. From understanding the process of creating your own branded packaging to exploring the diverse box varieties, our aim is to empower you with the knowledge and insight to make packaging decisions that set your business on a path to distinction from the very beginning.
My rst experience with ordering custom packaging was an eye-opening rollercoaster. What seemed like a simple process quickly turned complex. Investing 10,000 baht in a custom designer led to unexpected hurdles, from grappling with box measurements to receiving les incompatible with the box company's requirements. As a painful realization, I discovered the company had a free in-house design team. And let's not forget the myriad of box types and minimum orders I was clueless about. But amidst the challenges, I've learned to advocate for research, seek advice, and explore all available options. This experience has armed me with insights I'm eager to share, hoping to spare others the bumps on the road I encountered.
Select Paper Grade: Determine Box Type and Size:
Types: o set or cardboard box. Determine the speci c dimensions and size requirements
Determine your preferred paper grade for the box. Consider factors like thickness, durability, and visual appeal.
4 3 6 5
Inquire about the customer's budget limitations for the packaging. Understanding the
Specify Printing Details:
Gather information about the printing requirements, including the number of colors to be used for printing and any mini-
Discuss Packing Requirements: Communicate with the customer to understand any speci c packing or stacking requirements for the box.
Ensure that the customer provides the necessary design les in Adobe Illustrator (AI) format, including the box
E ute is good for
- Small box
- Special design box
- Premium products
B ute is good for
- Light-weight products
C ute is good for
- Medium-weight products
BC ute is good for
- Heavy products
- Creating large strong boxes
Good for premium. Good strength.
Good for emphasize printing color.
Good for green products
Businesses need to plan their product launches strategically and well in advance of their planned launch date. This is because a successful product launch requires the e ort of many teams and departments across the company. The examples of online platforms you can launch your products are Lazada, Shopee, Line, etc. You can also launch them on the brand-owned websites by keeping your customers noti ed often.
We can’t wait to announce that something exciting is coming your way. Please stay tuned!
It is the step where a business releases something new in the market for purchase. A successful product launch includes several marketing campaigns and sales tactics geared toward e ectively spreading the word about it. During a product launch, the sales team also tracks how the product’s sales are performing in the months following its launch. The sales team may also gather customer feedback. Product campaigns also help ensure sales and capitalize on any interest.
An e ective retail product launch focuses on the best elements of a new item and helps customers see the value in purchasing it. As a result, these customers may be more likely to purchase this product. This can help make sure the product makes an impact in its market and on the bottom line of your company. During a new item launch, you can get a good idea of the resources and training your team will need to sell it properly. Similarly, a new product launch gives both your digital team and retail store employees an estimate of the costs.
Create Suspense build buzz and get people talking before products hit the market.
Influencers more likely to check out your new product if they hear about Promote It to Email List notify your customers about product launch allows you to
Test Locations test product's location and place it near other relevant products for
Inventory is the goods or materials a business intends to sell to customers for pro t. Inventory management, a critical element of the supply chain, is the tracking of inventory from manufacturers to warehouses and from these facilities to a point of sale. The goal of inventory management is to have the right products in the right place at the right time. Inventory can be a brand’s most important asset. Inventory management is where all the elements of the supply chain converge are. Too little inventory when and where it is needed can create unhappy customers. However, a large inventory has its own liabilities: the costs of to store and insure it, and the risk of spoilage, theft, as well as damage.
Practice the 80/20 inventory rule for better inventory management.
In the fast-paced world of skincare entrepreneurship, e ective promotion and impeccable packaging can make or break your brand's success. This spread delves into strategies that will elevate your brand's visibility and crafting packaging that leaves an indelible mark on your customers.
S tep into the world of industry events and networking. Forge connections with fellow entrepreneurs, in uencers, and potential partners. Collaborations can amplify your brand's reach and introduce it to new audiences.
Promotion is a powerful tool that propel your skincare business forward. As you master these strategies, your brand's story becomes intertwined with your customers'. Your promotion e orts will amplify the uniqueness of your brand. This journey isn't just about skincare; it's about creating an experience that resonates and evolves. Your brand's tale is waiting to be written – make it extraordinary.
Develop a content strategy that educates, entertains, and resonates with your audience. Blogs, videos, and tutorials that share skincare tips, ingredient insights, and personal stories create a genuine connection and establish your brand as an authority.
Embrace the power of social media. Craft engaging content, leverage in uencers, and run targeted ads to connect with your ideal customers. Engage in meaningful conversations and showcase your brand's journey to build a loyal online community.
In the world of skincare entrepreneurship, crafting exceptional products and staying ahead of industry trends is a pivotal part of your journey. This spread illuminates the path of product development and the importance of market research in creating skincare products that resonate with your target audience.
Not every formulation will be perfect from the start. Embrace the trial and error process, seeking continuous improvement. Gather feedback from trusted individuals and potential customers during the testing phase. Adapt your formulas based on their input. Remember, customer feedback is invaluable for re ning your products.
Begin by delving deep into the world of skincare ingredients. Understand their bene ts, formulations, and potential side e ects. This knowledge forms the foundation of your product development.
Authenticity is the cornerstone of e ective storytelling. Share your personal experiences, struggles, and triumphs. Let your audience see the human side of your brand. Your personal story can resonate with potential customers who share similar experiences.
Behind every successful skincare brand lies a compelling personal story. In this spread, we explore how sharing your journey and experiences can captivate your audience and build a loyal customer base.
Transform your personal stories into compelling content. Write blog posts, create videos, or engage with your audience on social media to share these stories regularly. Encourage your customers to share their experiences with your products. These testimonials can reinforce your brand's narrative and in uence potential buyers.
