If you think selling lip balms is not a viable business opportunity, then you need to think again! An online survey conducted by a beauty company on Facebook revealed that the average woman applies lip balm about two to twenty times a day. Yes, you read that right, twenty times. Nobody likes having dry chapped lips. A good lip balm helps to keep your lips moisturised.
Lip Balm Business Success Stories
A quick search on the internet will reveal testimonials of people who have turned their lip balm craft into big brands available in the market. Here is to name but a few that stand out.
Mizzi Cosmetics
Mizzi Cosmetics is a well-known cosmetic brand that manufactures the Lip Luxe lip balm. The founder, Brenda, started making lip balms to help cure the problem of chapped lips in her family. Close to seven years down the line, what started as a solution-seeking venture has now turned to be a booming lip balm business.
The Lip Luxe lip balm has received several praises including one from Kylie Jenner, the owner of Kylie Cosmetics.
Zandra Beauty
The founder, Zandra Cunningham has been obsessed with lip balms from a young age. At the age of nine, her father stopped supporting her habit and Zandra had to find a way to get herself lip balms. So, she started making her own at home.
Ten years down the line, she now owns a cosmetic business, Zandra Beauty, that is worth over $500,000.
Pura Cosmetics
The founder, Rose Dylon started making lip balm as a school project in her mother’s kitchen. Five years on, Pura Cosmetics is now a multi-million-dollar brand that sells its products to over 30 individual retailers.
Other renowned brands in this business include Nivea, Maybelline, LipSense, Vaseline, Burt’s Bee, Chapstick, and Blistex amongst others.
Laws for selling Lip Balm
Cosmetics, like any other product produced for human use, are regulated by the Medicine and Healthcare Products Regulatory Agency (MHRA) in the United Kingdom or the Food and Drug Administration (FDA) in the USA under the Federal Food, Drug, and Cosmetic Act. These agencies are responsible for ensuring that products are safe for human use. They, therefore, have the mandate to grant, renew, suspend, or revoke business licenses and certificates of business that do not comply with their requirements.
According to this Act, cosmetics, lip balms included need to be properly labeled if they are meant to be sold. To properly label your lip balm products, you need to indicate;
- Ingredients: from the most used to the least used and additional products such as colorants.
- Quantity: This is to tell the consumer how much of the product is in the container.
- Manufacture: it includes the name of the person/company that produces the product and their physical address.
You are free to use any ingredients you would like when making your lip balm, however, if using color additives, you need to have the approval of the regulatory body. This is mainly because some additives are not fit for human use.
Adulteration and mislabeling of lip balm products that are for sale is prohibited by the law.
How much does it cost to make lip balm
The cost of production of a single tube of lip balm depends on certain factors such as the holding weight of the tube you will use for the lip balm and the type of ingredients you use for your lip balm.
The average lip balm tube weighs about 4 grams. Therefore, when making the lip balm you will only require a small amount of each ingredient to make up the 4 grams. On average, the cost of making a single tube of lip balm could be as low as $0.35 to $2.5.
What you need to make lip balm
All you need is a few basic ingredients available at your local store and are good to go.
1. Wax
Wax helps to harden the lip balm making it easy to apply. The most popular option is the beeswax. It is most preferred since it contains natural emulsifiers that help in retaining moisture. If going for vegan lip balms, a plant-based wax such as Carnauba will be your best option.
Other wax options include Lanolin, Paraffin, and Candelilla wax.
2. Oils
Sunflower or Grapeseed oil is a great option if you are going for a lip balm that is more absorbent. However, if you are going for a lip balm with a heavy consistency then you should try using avocado or olive oil. If looking to make a lip balm with a glossy finish you should consider using castor oil.
Other oil options include jojoba oil, sweet almond oils, and coconut oil.
3. Butter
Butter helps in adding a protective layer to the lip when you apply the lip balm. Examples of butter that can be used include mango, shea butter, cocoa, and tucuma butter.
Extra ingredients that could help differentiate your lip balm from the rest include;
4. Fragrance
This is what your clients will smell when they open the lip balm container. Having a unique fragrance is a good way to create your brand identity. Fragrances that you could use include cinnamon, candy fragrance strawberry, or cherry fragrances amongst others.
5. Colorant
Conventional lip balms are made glossy and colorless. However, by using an oil-based colorant you can make your lip balm to be in any color you would like. This is a great way to make your lip balm stand out from the rest.
6. Flavors
These come in handy if you want your clients to be able to taste your lip balm. Examples of flavors include honey, candy, cherry, cinnamon, strawberry, and apple flavor amongst others.
7. Essential oils
Examples of oils that you could use include peppermint oil which is known to provide that fresh and revitalizing feel. Vanilla oil is believed to be a great mood lifter. Lemon oil is known to provide relaxation benefits. Lavender oil is known to be calming.
How to Actually make the lip balm;
First, you need to melt 20% of wax and 20% butter in a pot. Thereafter you can add 50% of liquid oil then let the mixture cool down. Once it’s cooled, you can add the extra additives, that is, flavor, essential oils, and fragrance. Finally, you’ll need to let the mixture cool before you can pour it into containers.
Lip Balm Containers
Different brands package their lip balms in different containers. Depending on your preferences, you could find lip balm containers you like at your local craft stores or order them online on sites such as amazon, esty, or aliexpress. The containers could either be tubes, tins, roll-ons, jars, or pots. Empty lip balm containers range from $3-$20 per lot of 10/20/20/50.
How to Start a Lip Balm Business
A few pointers to get you started on your lip balm business include;
- Sell your lip balm in person
When starting a lip balm business, your priority should be to get people to know about your products. You can do this by selling your lip balms to your friends and family. Ask them to promote your business to others in their circle. Another great option is selling your lip balms to your local boutique shops and craft stores. If they like your products, they could provide you with great wholesale business. Attend craft fairs and farmer’s markets as a seller. Get a stand to showcase your products and build networks.
- Start an online shop
With platforms such as Etsy and Shopify, starting an online shop is as easy as creating an account and listing your products on the site. Another option for selling online is to create a seller account on online shops such as Amazon and AliExpress. This is a great option since these sites have a ready market. You will only need to be strategic with your product placement in terms of price and quality. Give customers a reason to choose your products over all the rest.
- Marketing your Products
For an online shop, you will need to do a lot of marketing to drive sales to your online store. This can be done by actively marketing your products on social media platforms such as Facebook and Instagram.
You could also choose to work with social media influencers. These are people who have a huge organic following on social media. Having them use and review your products is a good way to get people to know of your business and generate sales.
In Summary
The lip balm market has great opportunities if you are willing to think creatively and go the extra mile. Be innovative, create a wide range of products, and have fun with your product.
So Can you make money selling Lip Balm?
A lot of people are making money selling lip balm and lip gloss so it is absolutely possible to build a successful business doing just that.
There key steps are:
- Learn how to make the lip balm well.
- Do some Market research to find what is selling
- Package your product attractively.
- Pick a sales channel and market your lip balm to start generating sales.
