How to Start a Cosmetic Business in Australia

April 24, 2023 · News

With Aussies spending roughly $22 billion on beauty products each year, getting into the cosmetics industry certainly looks appealing—but where do you start and how can you give yourself the best possible chance of success?

If you want to know how to start a cosmetic business in Australia, you’ll need to:

register the business by applying for an Australian Business Number (ABN)
develop your product offering
decide on the best sales, marketing and distribution models, and
establish reliable systems and processes to support business operations.

While these are the core components involved in establishing a cosmetic business in Australia, there are a few elements of this process that can have a big impact on the level of success your business can achieve.

Having helped an extensive range of new businesses enter the highly competitive Australian cosmetics market, we’ve identified a few of the key things we believe will be crucially important to your success.

Setting the Benchmark

For any cosmetic business to be a success, you need a thorough understanding of what you’ll be competing against. In Australia, the cosmetics landscape is characterised by a combination of both big-name brands and smaller boutique businesses, each offering something that differentiates them from their competitors to forge their unique market position.

When making your own brand of cosmetics, it’s important to have a clear picture of where your products will fit into this market. Do some research to understand your key competitors and what they’re offering, and identify some benchmark products that are most similar to what you want to offer.

Doing this will help you clarify what you want to achieve and how you’ll make your products stand out, ultimately making the product development process significantly easier.

Creating the Vision

Having a clear vision for your brand, products and packaging is another essential element of every successful cosmetics start-up. It allows you to define the values your brand stands for and what it aspires to be, which in turn enables you to craft your unique selling proposition and distinguish yourself from competitors.

Once you know what you’re envisioning, work with a graphic designer or brand manager to better refine your visual identity. Doing this early in the piece will ensure you’re prepared when you commence the product development phase, also allowing you to apply your brand consistently everywhere from your website and social media to your PR and product packaging.

Choosing the Right Manufacturing Model

Your manufacturing model is another crucially important decision. Self-manufacturing cosmetics is vastly different to outsourced manufacturing, so it’s important to carefully consider your options.

Self-manufacturing will require you to assume end-to-end responsibility for the manufacturing process, including product formulation, testing, materials procurement, production and packaging. In contrast, outsourced manufacturing is the more ‘hands-off’ approach, essentially having your products made to order by an experienced manufacturer.

There are numerous benefits to partnering with a contract cosmetic manufacturer including faster time to market, reduced risk, at-scale production, GMP compliance, superior quality assurance and greater convenience.

Partner with Wild Child

When you’re ready to get your cosmetics business off the ground, partner with Wild Child.

An Australian contract manufacturer specialising in skincare, cosmetics and sunscreen, we make it quick and easy to get your products to market. We can make your products to specification, or you can select from our catalogue of pre-developed cosmetic formulations. Utilising our private labelling service, we can also apply your unique branding to your packaging to get your products market-ready.

Find out more about who we are or contact us to get started.

Frequently Asked Questions

Yes, our minimum order quantities (MOQs) are a function of the calibrated weights of our mixing vessel and the capacity of our filling lines. Depending on the unit size of the final product the MOQ will typically be around 10,000 units.

We do not have a product catalogue. Products will be suggested by our Product Development team based on the information you provide through the new product enquiry form.

Yes, with a better understanding of your product requirements we will develop a lab sample(s) for your review and ultimate approval. Depending on level of customisation or development required, this service may incur a fee.

Typically, 12 – 14 weeks from the placement of purchase order and payment of the deposit. Please note, the manufacturing lead time is dependent on the availability of the raw materials and packaging components, which can be confirmed prior to the placement of your order.

No, all our pricing is EX WORKS. Whilst we do not provide freight and distribution services, we can assist with the freight quotation and booking from our Facility.

Upon placement of purchase order, a 50% deposit is required, and balance is due prior to the release of the finished goods.

Yes, we can provide packaging options based on formulation compatibility and compliance standards. Alternatively, clients can provide their own packaging with the understanding that it must be compatible with our equipment and meet compliance standards.