In this article I will describe to you in detail and give an example of a presentation that has helped me out many times when selling cosmetics, even in the most unpredictable situations, and the scheme by which I present my product is the simplest:

Selling cosmetics, I have long noticed that it is very difficult for women to choose blush, they are either not noticeable, or too bright or do not highlight the cheekbones well. I struggled for a long time until I found velvet blush from Faberlic.

Firstly, they are delicate, applying them layer by layer, you adjust the intensity of the color yourself, in any case, they are more likely to highlight the beauty of your cheeks than to make them red. They are easy to apply either with your fingers (on the road) or with a brush.

After this discovery, people around me began to notice that I had cheekbones. And especially men, strangers, began to compliment me.

Most importantly, they will be a pleasant bonus for those who have close blood vessels, red stars on their face, or too bright blush.

For such women, this blush will be a real discovery, because correctly toned facial features, in combination with this blush, will hide your imperfections, and at the same time your cheeks will NOT look red. ”

Let's look at my presentation and look at the scheme by which it works.

1 . “Usually like this...”

I join this phrase to the problem of women, to the problem of my client, and this shows that I understand her very much

options:

-Have you noticed...

- It’s often like that...

- I know that …

These phrases connect you to the client, which makes her listen to you.

2. The product itself

A product as an incredible invention, a product as a solution to a problem, a product as a way out of a situation. Here it is very important to touch more senses: show the product, apply it to your hand, let it try. The more senses are involved, the more likely it is that the client will understand you correctly.

3. Use certain words

These include: unsurpassed, chic, velvet, which help to consider in more detail the image in which a woman wants to see herself. You are not selling a product, you are selling an image, the image of a woman in this product, the image of a woman with this product.

4 . Nice bonus

This is exactly the bonus that will help your clients bring more clients to you. Why did I give an example of women who find it difficult to choose blush? Because they have spider veins? Yes, this is really a problem for many, and it would be a sin not to voice it, even if the client does not have such a problem, but her mother or friend does. She will certainly remember this and order such a product as a gift.

Practice in front of the mirror, and then the number of your potential clients will increase!

One of the promising areas that can generate stable income is the business of selling cosmetics and perfumes. Despite the unstable economic situation, in Russia the number of outlets selling these products is only increasing.

Why should aspiring businessmen pay attention to this niche? The answer is the possibility of starting your own business with minimal investment, as well as a fairly quick return on the initial investment. Every person needs cosmetic products every day, so such products are in high consumer demand, which ensures quick turnover of funds and constant profits.

The cosmetics market in Russia today

Aspiring entrepreneurs who want to open a cosmetics store from scratch must have a clear understanding of what this business niche is. In recent years, the domestic cosmetics market has begun to acquire colossal proportions: if only 7-10 years ago the bulk of trading and manufacturing enterprises in this area were located in the capital and megacities, today there is a significant increase in their number in large and medium-sized settlements.

The target audience purchases not only organic food products, but also cosmetics made from natural ingredients, and in large volumes, so the choice of a niche for business is obvious. It is also worth noting that a huge number of trading enterprises sell their goods via the Internet. This fact means that businessmen may not invest money at all in opening real stores and not spend money on their maintenance, while receiving a very significant profit.

Research on the cosmetics and perfumery market suggests that over a third of all products sold are low-quality counterfeits or contraband. Unfortunately, almost all of these goods are sold through online stores, the owners of which knowingly violate consumer rights.

In Russia there are no specialized units that could combat the illegal trafficking of cosmetic (and other) products of dubious origin. Even if law enforcement gets on the trail of the store owner, they are unlikely to be able to prove his guilt; moreover, most Internet businessmen register websites in other countries.

To avoid problems with the law and maintain the company’s impeccable reputation, all cosmetics must be certified. This will also allow you to sell it online using Google and Yandex search engines. Permitting documentation must confirm not only the high quality of the product, but also indicate that it will not cause harm to the health of consumers.

How to open a cosmetics store from scratch?

Let's look at the stages in order.

Business registration

The first step after drawing up a business plan for a cosmetics store will be to register your activities. The best way to do this is to choose the individual entrepreneur form and go through a simple registration procedure at the Federal Tax Service department.

Important: An entrepreneur needs to decide on the choice of taxation system. For a store selling cosmetics, the optimal solution would be UTII, but this format is only suitable for those retail outlets whose area does not exceed 150 m2. If you need to check your tax debt in the future, you can visit the official website of the Federal Tax Service and obtain the necessary information.

When registering your company, you need to select an OKVED code. The following are suitable for this:

• 52.33 – “Retail trade in cosmetics and perfumes”;
• 52.33.1 – “Retail trade in cosmetics and perfumery products, except soap”;
• 52.33.2 – “Retail trade in toilet and laundry soap.”

After registration, you will need to obtain a number of permits to open and operate your store. To do this, the entrepreneur needs to contact Rospotrebnadzor, the fire inspectorate and the SES. In addition, you need to open a bank account. The cost of registering an individual entrepreneur is 800 rubles. Taking into account the payment of state duty, the costs will be about 2.5 thousand rubles. If you plan to create a large store, it is recommended to register the enterprise as an LLC. In this case, you need to spend 4 thousand rubles on registration and 10 thousand on the authorized capital of the company. The total cost will be at least 20 thousand rubles.

Selection of premises

The next stage of organizing a business is choosing a suitable location for a store selling perfumes and cosmetics. This step is one of the most important, since the location of the outlet affects traffic and profit margins. It is necessary to look for premises that are located in areas with high foot traffic. Areas near:

• densely populated residential areas;
• shopping and entertainment centers;
• markets;
• metro and public transport stops;
• central part of the city.

To successfully sell cosmetics, you need to take care of the proper placement of products at the point of sale. Most entrepreneurs make the typical mistake of using store space irrationally. If you do not display products around the perimeter, but concentrate them in one place, visitors simply will not pay attention to them, which will affect sales volumes. Therefore, it is worth learning the basic principles of merchandising. It is important to select a room with high windows so that there is good daylight inside the store and visitors can view the products. A small retail outlet usually has an area of ​​30-50 m². It is also necessary to provide places for the location of:

• sanitary zone;
• staff office space;
• product warehouse.

A good option would be to locate the store next to a beauty salon or massage parlour. This will allow you to earn additional profit daily from the sale of consumables. The room should have an attractive design and exterior. It is also worth taking care of the presence of a bright sign with the organization’s logo and outdoor advertising.

If you turn to a professional designer, he will be able to develop a store interior concept and create comfortable conditions for receiving visitors. Taking into account repair work and rent, the costs will be about 200 thousand rubles.

Equipment purchase

What kind of commercial equipment should there be for a cosmetics and perfumery store? There are no uniform requirements for this item, but its quantity will directly depend on the area of ​​the outlet.

To equip a small hall, it is necessary to give preference to closed racks and display cases to minimize the risk of product theft by unscrupulous visitors. A sample list of equipment would look like this:

• vertical glass showcase – 30 thousand rubles;
• hanging shelves - 30 thousand rubles;
• glass counter (2 pcs.) – 40 thousand rubles;
• shelving for a warehouse (5 pcs.) – 20 thousand rubles;
• furniture for staff – 25 thousand rubles;
• cash register – 10 thousand rubles.

Total costs for the purchase of equipment will amount to 155 thousand rubles. New businessmen should know that suppliers of cosmetic products are interested in increasing sales and quality distribution. Therefore, most of them provide their partners with shelves, display cases and other equipment.

Formation of assortment

In order for a cosmetics store to bring tangible profits, you need to competently formulate an assortment, as well as find suppliers who will offer favorable terms of cooperation. How to determine exactly the products that sell best? First of all, you need to understand what the target audience of the store will be, to which the assortment will be oriented. It is also worth visiting similar retail outlets and analyzing their work. You cannot save on purchasing goods and buy uncertified ones. This will be discovered sooner or later, and the store will suffer heavy losses, since a substantial fine is provided for this offense.

An entrepreneur can choose products from Russian and foreign manufacturers, who are required to submit permits for all goods. First of all, you should pay attention to well-known brands, because buyers know them. At the same time, both expensive cosmetics and perfumes and goods from the economy segment are in good demand.

We must not forget that the city already has a sufficient number of competitor stores. For this reason, it is necessary to create a unique selling proposition for customers. A businessman should try to find a manufacturer of unique products that are poorly represented (ideally, absent) from other sellers. To increase sales, the windows must include such products as body care and personal hygiene products, as well as all kinds of consumables (manicure accessories, washcloths, toothbrushes, cotton swabs and pads, etc.).

Recruiting staff

As a rule, neat girls are attracted to a store selling perfumes and cosmetics as sales assistants. They must know the product range well and be able to sell it. To motivate staff, many entrepreneurs set a rate and charge a percentage of sales to employees. Also, the payment may be fixed. Employees must be engaged in displaying products and putting order on the shelves.

For a small retail outlet, it is enough to hire two salespeople who will work in shifts. Please note that most stores are open daily, so the schedule should be coordinated with the staff. To work you will need to hire:

• seller (2 people) – 30 thousand rubles;
• cleaning lady - 10 thousand rubles;
• administrator - 20 rubles;
• accountant - 15 thousand rubles.

Monthly expenses for wages of store employees will amount to 75 thousand rubles. The duties of director and administrator can be performed by the entrepreneur himself. In addition, you can entrust accounting to remote workers, which will reduce costs.

Conducting an advertising campaign

One of the main issues of running your own business is attracting a large number of buyers. In order for people to visit a retail outlet with pleasure, it is necessary to adhere to a reasonable pricing policy, as well as to have a large product range.

We have already talked about the importance of proper store location. The more potential buyers learn about a new point of sale of cosmetics, the faster it will bring a stable profit. It is worth contacting an advertising agency and ordering the distribution of leaflets and flyers in the area where the store is located. It is also necessary to create thematic communities on social networks, where subscribers will learn about your activities, upcoming discounts, promotions and assortment updates.

About 20 thousand rubles should be allocated for an advertising campaign. Buyers will spread information about the new store among themselves. The presence of discounts for regular customers, sales during the holidays, the ability to pay for goods in cash and using a terminal, free packaging of purchases will allow you to attract many people and reach a good level of earnings.

Business plan for a cosmetics store

To find out the amount of initial investment and possible profit, you need to draw up a business plan for a cosmetics store. In many ways, startup costs will depend on the size of the outlet, the quantity and type of goods, suppliers and other important factors.

Let's calculate the one-time investments required to open a business. These will include:

• business registration – 2.5 thousand rubles;
• design and renovation of premises - 150 thousand rubles;
• advertising campaign – 20 thousand rubles;
• trade equipment – ​​155 thousand rubles;
• purchase of goods – 150 thousand rubles;
• other expenses - 30 thousand rubles.

Total - the amount of initial costs will be 557.5 thousand rubles. You also need to calculate your required monthly expenses. These include:

• rental of premises – 50 thousand rubles;
• utility bills - 15 thousand rubles;
• taxes – 20 thousand rubles;
• employee salary – 75 thousand rubles;
• additional expenses - 15 thousand rubles.

The total monthly costs are 175 thousand rubles. How to determine the possible profit of a retail outlet? It is quite difficult to answer this question, since the markup, depending on the type of product, can vary between 30-90%. If we take the average performance indicators of cosmetics and perfume stores, then their profitability is about 15-20%. At the same time, return on investment can be achieved after 12-18 months of work.

Let's assume that the revenue for 1 working day will be 10-12 thousand rubles. This means that in a month of operation the store will bring in 300-360 thousand rubles. From this amount you need to subtract 175 thousand mandatory payments, resulting in a profit of 125-185 thousand rubles. It is also worth considering that on average you need to set aside about 40 thousand rubles from your earnings to purchase goods for the store, so the estimated net income will be 85-145 thousand rubles per month.

How to sell cosmetics online?

Today, the Global Network opens up unlimited business opportunities for entrepreneurs. You can successfully sell clothes online, famous brand cosmetics, accessories and any consumer goods. What are the advantages of this type of activity? First of all, it should be noted that the startup costs will be significantly lower.

If you draw up a business plan for an online cosmetics store, you will see that you do not need to pay salaries to employees, make repairs or buy retail equipment. The main expense item will be the purchase of a website, its promotion using various advertising channels and payment of taxes. To run a store on the Internet, it is enough to register an individual entrepreneur.

As for suppliers, you can consider the option of working with dropshipping. To briefly describe such a scheme, the entrepreneur will be required to present a range of products on his website, attract the target audience, and the partner company, whose goods will be sold in the store, will pay a certain percentage of each transaction. The businessman also does not have to deliver the goods to the customers, since the seller takes on these obligations. If you find suppliers and purchase cosmetics yourself, you need to carefully study the needs of your target audience.

• contextual ads in search engines;
• targeted advertising;
• e-mail newsletter;
• posts in your own community.

Important: Do not forget that word of mouth works on the Internet, as in real life, so it is extremely important to provide your customers with only high-quality and certified products.

Detailed analysis of what NOT to do, using 4 examples

What is the difficulty of selling cosmetics on social networks and what rules might there be?

1. This is not an easy task, because where potential customers “live”, you are not alone - competitors are there too. But the consumer doesn’t actually see the difference. Well, a new cosmetics company and good, so many of you have opened in a few years.
2. The woman ALREADY uses cosmetics. She chose her and this is already a habit - to interrupt her, you need arguments. And very strong. Judge for yourself - would you easily refuse a hairdresser whom you have been going to for a long time and in whom you are 100% sure? It's the same with cosmetics.

You can sell on social networks in different ways, but this channel is especially beneficial because you can find a passionate audience here. It’s easy to track a person by comments under a post, by membership in a thematic public, by interests and profession.

And come up with a targeted offer to those who should really be interested in it - and we know about it.

It is much easier to sell to such people.

In theory.

Let's see how it happens in practice. The examples you will see below are attempts by cosmetic companies to offer their products and events to professional cosmetologists.

Rules for selling cosmetics on social networks - 11 catastrophic mistakes

Please note - this is a PERSONAL message!

Now in order:

A) “We invite all cosmetologists to a seminar in Dnepropetrovsk”. I'm not all cosmetologists. I have a name and you know it. Tell me, when you meet a friend and want to invite her to an event, do you say that too?

Using a name is one of the most effective sales techniques. Professional salespeople will give a lot to find out the name of a potential client BEFORE contacting him. And here the name is on a silver platter, but it’s not being used.

B) "Pre-registration is required" And “The condition of the seminar is a deposit...”. Wait. What is this tone? You start by setting conditions for me, although you haven’t even interested me in the event yet.

C) The seminar is divided into two parts and each has a module "Getting to know the company". Error: The reason why the reader should spend time getting to know the companies is not given. Why are they good, famous, remarkable?

D) Okay, the master has read the letter - what should he do next? There is no call to action, it is unclear how to take part in the event. A person is forced to make a lot of decisions on his own - he does NOT want to do this.

The main mistake was that the event was not sold. Because the most important thing is missing here:

• Why should a master still go to this seminar?
• Why does he need Dermium Lab products?
• Why does he need to get acquainted with the Casmara company and its new products in the second part?

No benefit.

Read more about how to find it.

Next example:

In this example, the benefits are precisely indicated (increased income, etc.). Their weakness is that they are too formulaic - competitors offer the same thing to cosmetologists.

A) Again, there is no calling by name - it’s just unpleasant for the person.

B) On social networks, people want to communicate with people, not with “Fast delivery of teddy bears from China” pages. If you created a page for a cosmetics brand, introduce yourself at the beginning of the message. These are the basics of sales.

Imagine we approach a person on the street. Is this how we talk like in the screenshot? Do we immediately dump all the information on him or first find out if he is interested in this and tell him what our names are and who we are?

So why do things differently on social networks?

B) Phrase "we want to inform". Don't write like that! You are already reporting, so save the person from false curtsies "Let me offer you" and the like.

G) “Theoretical day of global learning will take place”. At this point the reader fell asleep. A very complex and incomprehensible phrase with a weak verb of the state “to take place.” Write more simply. Don’t burden a person with abstruse phrases and ornate turns of phrase. This is NOT what he needs.

D) “Systematize knowledge about unique technologies...”. An unfounded statement and a primitive manipulation that is working worse and worse. Who said this technology is unique? Where is the proof? Stop throwing dust in your eyes - get to the point.

And the most important thing:

• This message lacks understanding of the target audience. Who is the person writing to? He writes to the cosmetologist! What does it mean? That in order to come to the seminar, a specialist needs to free up his working day - that is, not register anyone and lose money. FOR WHAT? Secondly, the master ALREADY works with some brands of cosmetics, he chose them, they suit him - it’s very difficult to interrupt. And certainly not with that kind of message. We need ARGUMENTS!

A) An abundance of emoticons and flowers - kindergarten. Yes, this is possible when selling cosmetics on social networks to a specific audience. But when you write to an established specialist like this, it looks ridiculous and frivolous. And this is how the sender is perceived and treated the offer.

B) Lots of exclamation marks. Usually they resort to this technique when there is essentially nothing to say. And people have already learned to recognize this. A person perceives several exclamation marks as a scream. Sell ​​through the benefits of the offer, present arguments - then you will get the effect.

Last example:

Let's break it down piece by piece:

1. There is a call by name - finally, at least someone guessed it. Test.

2. “We would like to introduce you to a professional German brand”. If you want, introduce me, but don’t waste my time reading long, useless phrases. The adjective “professional” is very weak.

3. “We have been present on the European market for 56 years”. This is good, specificity and a strong fact in itself. BUT! You need to move on to selling the company at the end, when you have interested a person in the Offer. For now, the fact about 56 years is not interesting to him, because... It’s still unclear WHY he needs this? What's the offer?

4. Next comes a list of the assortment - nothing remarkable. As a result, the brand in the eyes of a cosmetologist is still no different from dozens of others. Well, certificates, well, samples and protocols of procedures - everyone has it!

5. "My name is Inna". Test. For the first time, someone introduced themselves, but you need to do this at the beginning of the message (I remind you, imagine that you approached a person on the street - you need to introduce yourself, right?).

6. “My name is Inna and today I am the official distributor of the brand”. A very complex phrase, try not to write in such long and cliche phrases. After all, you can write it simpler “I’m Inna, I represent such and such a brand.”. Everything is simple and clear.

7. “I am looking for professional cosmetologists to cooperate with and we are ready to work on mutually beneficial terms”. Yeah. So this is the Proposal. This is where we need to start, but for some reason it was shoved to the end. The Proposal itself is, of course, too abstract, "mutually beneficial terms"- wild stamp. Although, it is clear that the company does not want to “shine the conditions” in the first message. And now we come to the main thing - what the sale of cosmetics on social networks should be like according to the rules:

• Call by name
• Perhaps we’ll add a conclusion to our proposal, show through some fact that a cosmetologist needs this (in short - 1-2 sentences “Hello, Elena. I just read the articles on your website - you write very well, interesting and useful”)
• Introducing ourselves
• We voice a proposal (in this example it is cooperation)
• We reveal it - we show how the work proceeds, what is the benefit of the parties
• We provide the benefits of cooperation
• Introducing the company
• We end with a call to action (in the example, this is a request for a price list, or a discussion of individual conditions, or to receive samples). IMPORTANT: do not try to sell 3 options at once - choose one

This is a head-on selling option if the company does not have the resources for multi-way combinations. Multi-pass – what are they?

We are in social networks. There are a lot of opportunities to study your target audience. First, we can enter a person’s information field: like his posts, comment on them, etc. This is how we accustom him to our brand, to the fact that he has us.

Afterwards we can write a message, ask some intermediate question, communicate somehow, get to know each other.

And only after that, when the time comes, write an advertising message. By this point, the cosmetologist already knows us, so the advertising message can be warmer and more friendly. The chance that it will be read and responded to is much higher.

As you saw in the article, the perception of the Proposal depends on the text and the sequence in which we present the information.

To learn how to write selling texts and appeals, read the material “ATTRACT MORE CLIENTS IN THE BEAUTY INDUSTRY” (it is for cosmetologists, but it contains basic information: from how to develop an Offer to targeted techniques for strengthening the text).

HOW TO SELL ORIFLAME COSMETICS - THE ART OF HIGH SALES

Almost every person on the globe now uses one or another cosmetic product, which is why the cosmetic industry is gaining momentum and making significant profits.

However, in the business of selling cosmetics, three questions arise, like three pillars, as in any other activity:

• who to sell to?
• what to sell?
• how to sell cosmetics?

The answer to the first question is quite easy to find; you just have to open the catalog of any cosmetic company. For example, we open the Oriflame catalog and see that this company produces children's, teenage, youth, men's and women's cosmetics. Women's cosmetics, in turn, are divided into cosmetic lines for women of certain age groups. Thus, the Oriflame range of cosmetic products covers all population groups.

The second question is also not particularly difficult to answer. In Oriflame's catalogs, parents can easily find any product to care for their child; teenagers are mainly interested in anti-acne products; young people aged 20 to 25 prefer decorative cosmetics. Men most often purchase shaving products, as well as pre- and post-shave skin care complexes. Women are most interested in decorative cosmetics. And, of course, everyone, without exception, purchases cosmetic complexes for skin care.

And finally, the last question in order, but not least: how to sell cosmetics? This process is carried out in different ways. Some open distribution stores, some distribute cosmetics via the Internet, and some become sales consultant .

Let us turn, again, to the Oriflame company for an example. This cosmetic company has a large number of cosmetics sales consultants working in network marketing system. Preparing such a specialist is not an easy task. For this purpose, special professional sales training is used, various seminars and courses are held. Each sales consultant must follow in his work several commandments proposed by current specialists.

These are the commandments:

• a sales consultant must work with women on an emotional level, and with men taking into account their decision-making logic and remember that both of them enjoy buying cosmetics;
• the more “patented complexes” in a cosmetic product, the easier it is to justify the cost;
• In order to sell more, the sales consultant must study the instructions himself and accompany the product selection process with advice on its use.

High-quality, effective natural cosmetics Oriflame attracts the attention of buyers. That is why it is not difficult to sell it. It is necessary to show the Oriflame catalog to potential buyers, then select and place an order or sell the funds directly if this happens at the service center.

To do business with Oriflame you can:

• sell products to the client (and receive 22% of the purchase price of the product)
• attract new consultants to work in the company.

Oriflame cosmetics are distributed through direct sales, as this is an excellent way of communication, flexible work hours, a source of additional income for the sales consultant and the opportunity to develop your own business. And there are no requirements for age, education, gender, or work experience!

Oriflame helps everyone become professionals!

If a sales consultant knows how to motivate a client to buy, is sociable and active, he will be successful. Professional sellers must be able to: competently approach the client, conduct a dialogue with him, find out his needs, be able to interest him and offer exactly what he needs. When offering cosmetics, you cannot be intrusive! The client has freedom of choice, and the seller has the law “The customer is always right!”

Each Oriflame sales consultant has a professional set, which includes:

• catalogues,
• set of samples and
• a small standard set of Oriflame cosmetics.

In the process of work, objections always arise, which must be answered as friendly and kindly as possible. There is never any need to argue!

In general, sales success is about a sales consultant in 5 steps. Here they are:

• establishing, gaining trust. You can't make a first impression twice!
• identifying customer needs.
• product presentation + price range.
• work with objections.
• selling goods + multiplying sales.

Under no circumstances should you despair. You need to remember and constantly remind yourself that practice gives experience, and experience and constant self-improvement help you become professional sales consultants! A little creativity, communication, charm - and success will come!

I INVITE YOU TO MY SUCCESS TEAM!

Becoming an Oriflame consultant and getting all the benefits of the company’s consultants is easy and simple! Get started today!

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* The calculations use average data for Russia

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Average bill:

Payback period:

Direct sales of cosmetics are still popular, as they benefit not only companies and their distributors, but also consumers, allowing them to bypass store markups. But the amount of profit in this business depends entirely on the seller.

Direct sales are a suitable option for your own business, especially if these are your first steps in entrepreneurship. The idea is relevant for women, mothers on maternity leave, students and anyone looking for a part-time job. Direct sales are an alternative to traditional work and a source of additional income. If desired, you can build a full-fledged and profitable business through direct sales. This option is also suitable for novice entrepreneurs. After all, organizing your own business based on direct sales is quite simple: you don’t have to rent premises, buy equipment and invest large sums. The main element of direct sales is the entrepreneur himself. The success of the business will depend only on his personal qualities.

Increase sales without investment!

“1000 ideas” - 1000 ways to differentiate yourself from competitors and make any business unique. Professional kit for developing business ideas. Trending product 2019.

You can open your own business for little money. To do this, you will need to purchase an inexpensive distribution kit. To start making money from direct sales, you will need a budget from 0 to 15,000 rubles. This distinguishes direct sales from franchising and other types of investments that require significant costs. It is quite difficult to name the exact amount of investment: each company has its own strategy and policy (both in the matter of attracting distributors and in the matter of paying for their work). Therefore, carefully study the different options and choose the one that seems most suitable to your expectations and requirements.

Direct selling benefits not only companies and their distributors, but also consumers. Firstly, this is a high-quality service: product demonstration, personal consultation, home delivery and guarantees. Secondly, this is savings - often the prices for cosmetics sold directly are significantly lower. Thirdly, this is an opportunity to purchase unique goods that are not on the shelves of traditional stores.

Direct sales: the situation in Russia

In Russia, the direct sales market has been developing for 20 years. According to research, the main customers are women aged 30-55 years, and the average amount of each purchase is about 1,500 rubles.

Most large direct selling companies sell cosmetic products. In this area, there is high customer loyalty: when purchasing company products from one representative, most buyers return to him with other orders. This form of interaction with the client allows for an individual approach and inspires trust in the buyer. Therefore it remains relevant. So direct sales are still a popular channel for selling cosmetic products.

Currently, the direct sales market for cosmetics is actively growing. In 2016, it grew by 11% and reached almost 120 billion rubles and continues this trend. At the end of 2017, direct sales of cosmetics amounted to more than 58 billion rubles. The popularity of direct sales is due to the fact that consumers are trying to save money by bypassing intermediaries (stores), who charge a high markup.

You should also evaluate all the advantages and disadvantages of the business in order to understand what working conditions await you.

Advantages and disadvantages of direct selling for the seller

Advantages	Flaws
Interaction with the buyer. The seller sees the buyer’s reaction and can adapt to his needs. Personal presentation of the product for each consumer	Different sellers may interpret product information differently. This makes it difficult to convey a single, cohesive message to all consumers.
No point of sale costs. There is no need to invest in sales floor equipment, utilities or product security.	Audience coverage is limited by the high cost of this type of sales. It is quite difficult to reach a large number of potential buyers
The level of income from direct sales is proportional to the efforts made	Reaching large audiences through the personal selling channel can be expensive
	The obsessiveness of sellers who do their best to sell as much as possible
There are no education, work experience, financial or physical requirements. People of all ages and backgrounds can succeed in direct selling.	The success of direct selling largely depends on the personality of the seller and his ability to communicate with people
Can be used as a source of additional income, flexible work schedule
Targeting a specific market and consumer
Unlimited potential for personal and financial growth
Opportunity to receive support from the company and undergo training

Therefore, direct sales of cosmetics have advantages both as a business and as a service format.

How to start a direct sales business

Opening your own business selling cosmetics directly is quite simple. The main thing is your ability to interest people and the desire to succeed. They will teach you the rest of the nuances, and as you work you will gain the necessary experience.

First, let's understand the meaning of direct sales. This means the sale of goods or services, which occurs through personal contact with the buyer. Such sales take place in a place convenient for the client: office, apartment, restaurant, etc. – outside standard retail outlets.

Features of direct sales:

Direct contact with the client in a convenient area;

Personal presentation of products or services;

Comprehensive consultation with the seller;

Opportunity to try the product before purchasing;

This is both a service and a presentation at the same time.

In general, the algorithm for doing business in direct sales of cosmetics includes 5 main steps. Next, we will analyze each of them in more detail.

Step 1. Selecting a company and product

All direct selling companies are members of the Direct Selling Association (DSA). Choose those that follow the rules and regulations of the APP ethics, conduct business ethically and provide quality service. The list of companies can be found on the APP website.

The main requirement for a product is that it must represent a unique and advantageous offer that is not available for purchase in regular stores. The market is oversaturated with similar offers, so if you find something new (improved, adapted to a narrow target audience, more budget-friendly, but no less high-quality), it will be easier for you to sell such a product. Firstly, you will be able to interest customers. People are drawn to new products. Secondly, you will not lose interested consumers, since you are the only seller of such a product (the only one in the client’s field of view). Thirdly, it will be easier for you to highlight the key benefits of the product and create an attractive presentation.

Please note that the uniqueness of the offer is not only a new product, but also services. Combine a new product and convenient service. Come up with a new service that will make you stand out in the market. Ideas will be suggested by the buyers themselves. Listen to them, take into account their interests and expectations. Your task is to offer the optimal solution to your client’s problem.

When you choose a company to work with and products to work with, ask yourself the following questions:

How much money will it take to cooperate with this company?

Is there a demand for your product or service? How new is your product or service to the market?

What training system does the company offer? Give preference to the company that provides training and education.

What is the reward system in this company? Find out everything about income, bonuses, commissions and liabilities.

What guarantees does the company provide for the product? Is there a product return policy available? This is important for both you and your clients. The possibility of returning is part of the service.

What are the conditions for leaving the business? The reasons for leaving may be different: you did not like the actual terms of cooperation, you wanted to switch to another business, you did not receive enough profit, etc. Therefore, it is better to clarify all the nuances in advance in order to avoid unpleasant surprises later. The APP Code of Conduct requires member companies to accept back any unused product purchased within the last 12 months if the seller decides to go out of business. In this case, compensation for the return of products must be at least 90% of the original cost, if no bonuses or commissions were paid for these products.

Step 2. Determining the target audience and sales methods

It is necessary to decide on the target audience and find clients. Your target audience will likely be women between the ages of 30 and 60. You will most likely find your first buyers among your friends. But to succeed in this business, you need to continuously recruit and develop a client base. The Internet will help. Find groups and forums where the female population of your city is concentrated. Leave an ad there. Create your work account on social networks and add friends to your potential clients.

The standard direct sales methodology involves 2 main ways to attract customers. The warm market is made up of your friends. Cold market - employees of offices, stores, where you come with catalogs. But it is not always advisable to spend money on buying a stack of catalogs. If you are looking for clients via the Internet, it will be enough to send a link to the electronic version of the catalog.

Sales of goods involve step-by-step interaction with the client. You need to think through the strategy and every stage: from acquaintance to concluding a deal.

The success of direct sales depends entirely on the professionalism of the seller, which includes the ability to:

identify client needs;

present the product;

affect people emotionally;

find an individual approach to each client;

work with failures.

Many beginning entrepreneurs are stopped by the stereotype that only “salespeople by nature” can engage in direct sales - i.e. people who are able to sell without special training. However, this is a misconception. Anyone can master the direct sales method – the main thing is desire and a well-developed strategy.

Step 3. Choosing a strategy

First of all, you need to clearly define your goals. In a cosmetics business based on direct sales, there are three key goals:

1. Find products that can be sold profitably;
2. Sell additional products to the same customers, increasing profits;
3. Collect a client base – i.e. create email and postal mailing lists.

Once you have decided what products you will sell, you need to choose a method of work. The first option is to purchase the most popular products and sell, first of all, the existing assortment. Two advantages come together here: product demonstration and the possibility of instant purchase. This makes the service more convenient for the buyer. After all, cosmetics are products that are best chosen not from catalogs, but in reality. Catalogs cannot convey the exact shade, structure, or smell of cosmetics. So the presence of the product offered will endear the client to you. In addition, people don’t always buy cosmetics for future use; many people remember that they need to buy mascara when they run out. In such cases, it is unlikely that the client will wait several days for the order to go through the entire chain from you to the manufacturer and back. Therefore, the opportunity to buy products “here and now” also increases consumer loyalty. The main disadvantage of purchasing goods is the money issue. This will require considerable investment, which may not pay off. There is a possibility that some items will not be sold, and they will hang like dead weight among the assortment. You can avoid this if you clearly understand the needs of your audience.

The second option is to act as an intermediary, thereby avoiding investments. In this case, you will proceed according to the following scheme: you fill out a receipt for each individual order and send it to the wholesale supplier, who creates the order and mails the goods directly to the customer. That is, in essence, the wholesale supplier acts as a warehouse. Your profit is the difference between the wholesale and retail price. An option is possible when the completed orders are sent back to you, and you personally transfer the order to the client. The main advantage is clear – you don’t have to invest your own money and take risks. But the disadvantages include:

time and postage costs for delivering orders to the supplier;

The wholesale purchase price increases, and your profit decreases.

In most cases, entrepreneurs use both options in their work: they invest in the stock of the most popular goods, and use intermediary for rarer items.

Ready ideas for your business

Another important stage is data collection. Be sure to record information about each customer, including what they purchased and when they purchased it. This will help assess the demand for specific products and determine the needs of each client in order to interest him in a new offer in the future. Also collect the names and addresses of your customers. This is how you build your mailing list. If you use the data you collect wisely, it will become the foundation of your success in direct selling.

It is best to create a computer database. The mailing list must contain the following information: client’s full name, postal and email addresses, phone number, notes with information about when and what exactly the client ordered. By the way, your mailing list itself can become a valuable commodity - some intermediaries will be willing to pay for the customer base.

Step 4. Research the legal issue

Whatever field of business you work in, it is important to know the legal nuances of your activities.

Direct sales in Russian legislation are considered as retail trade and are a type of non-stationary retail trade. At present, direct selling companies in the course of their activities rely on:

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