Starting with winning projects is essential, yes, but it is not everything. The climb to success is studded with organisation, requires a lot of commitment but above all a good dose of preparation. Knowing the business dynamics helps to estimate the time, Studio Concept is the agency that supports those who turn ideas into reality, offering effective communication solutions for start-ups in the skin care and makeup sector.
We have created an in-depth article on How to promote cosmetic products.
Indice
What is a start-up?
We often observe rather sui generis definitions of the term. Working habitually in the cosmetics and design sector, there are thousands of companies that attempt to climb the ladder to success every year.
There is no point in hiding the reality: many are meteors, therefore destined to disappear. The very concept of a start-up is missing; this must be an enterprise capable of disrupting the market with the force of an innovative idea.
Let’s face it, anyone who comes up with a new make-up product runs a very high risk of being identical to so many others. That’s why it’s not enough to be a start-up, ideas count.
When does a start-up stop being a start-up?
In technical jargon, start-ups are no longer such when they are referred to as “unicorns”. Yes, there are cases of great growth even in the cosmetics sector.
The iconic ClioMakeUp was a start-up, introduced a novelty that globalised women’s make-up secrets and became an authentic unicorn company.
Theoretically, one can stop considering it a start-up when the company has multiplied its value, but especially when it leaves the field of innovation and stabilises as an established reality. Not many start-ups make it to the next level, which is precisely why they are named after the legendary creature.
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What are the main characteristics of a start-up?
Very often the term is abused, not every new reality constitutes an innovative start-up. The first requirement is in the novelty, it must be a young entity in the specific field of application.
Turnover is important, a start-up typically does not invoice more than EUR 5 million annually. There is no listing so there is also no redistribution of profits, it is not even a spin-off of a business.
Technically, these are the main requirements for a start-up, there are others. Movements within companies can generate more solid start-ups, the cosmetics sector is in fact more lenient towards stronger players. Many start-ups start from private initiatives, here emerging is really a business.
Stages in the corporate life cycle
A successful reality starts with a well-defined project, a cosmetics start-up must rely on a careful selection of products and a graphic design capable of penetrating the market. Effective communication is the element that expresses the characteristics of a product but, above all, distinguishes it from all others; it follows a launch strategy appropriate to the sales channels.
The online reality requires a strong marketing base but above all a structured language to target the audience.
Being there is not enough, it is necessary to know the natural cycle in the life of a company in order to ensure its success in the market.
Market Research
Everything starts with the search for the right product, new ideas need to be developed but without losing touch with the real needs of the market. Here the research phase is essential in order to be able to respond with a product that really works. Gathering opinions from people, taking advantage of online tools but above all facilitating collaboration with partners in the field: these are the steps that must not be neglected. First you need to listen.
Business plan: write a business plan
A clear roadmap must be followed, objectives must be clear from the very beginning. Organisational work must refer to well-defined periods; this generally refers to the first, third and fifth year after start-up.
Having clear levels is the necessary way to define budget requirements and the consequent economic return. If the product works, the market rewards it.
Close Collaborations
Launching a new business, especially when the sector is cosmetics, requires solidity behind the brand. That is why networking is crucial and can lead to successful partnerships, where sufficient funds are available, the necessary expertise is often lacking. Having well-established partners means that you have a guide that can lead the brand into the markets, which can provide a boost for a successful start-up.
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Secure financing and loans
The most frequent case is when the idea is there and it works but the funds to develop it are not adequate to see it through to market. Here the only way is to access credit, the instruments available are various and knowing them can help you get started. Start-up initiatives can offer advantageous credit conditions, a good business plan is always essential.
An alternative is crowdfunding, which rewards the most successful ideas; this is already a good test case for an idea that works.
Market your product or service
Getting to this step means being one step away from verification by the real public. Assuming that the product line is really good, that the communication and marketing are really strong, the market has the final word.
Here organisation is the main ally, efficiency can really make a difference.
Do you want to launch a start-up in the cosmetics world and need an initial consultation and comparison to understand the priorities for action, the timeframe and the most problematic elements for the launch?
You don’t have an infinite budget and you need to keep costs down, but you want to rely on a highly professional agency at the right price, able to support you in building your brand, writing texts, defining storytelling, producing visual content, managing your ecommerce and social channels?
You have launched your start-up, but you are not satisfied and want a comparison with a specialised beauty agency?
