cosmetic business

The rising of local small skincare enterprises amid the pandemic

cosmetic business
dok. pixabay

Several skin care local products have already fulfilled the market today. The phenomenon is inseparable from a relentless marketing tactic that has been done by some young beauty entrepreneurs to reach more consumers who are mostly still impacted by imported skin care products.

Local skin care businesses always have some tricks to survive in the midst of the cutthroat skincare market in Indonesia. A couple of local skincare brands have even been able to raise sales revenue amid the pandemic.

The owner of Saturday Looks brand Cindy said, that the shifting of activities from working at the office to home, causes many women to spend a lot of time to have taken care of themselves. Thus, the demand trend for skin care goods has grown significantly.

“The opportunity is still big. Moreover, the needs of women for skin care have varied, so if we can really provide good products, we certainly won’t lose the consumers,” Cindy said.

Cindy started her skincare business cost of 300 million rupiahs. She admitted, that the return on investment was only within 3 months. She chose the target market for women aged 17-35 years with one of her flagship products, peeling masks. After choosing the factory to produce her products, she also introduced them through the endorsement strategy that is commonly used by many new brands.

“I had invited six prominent beauty influencers to have used and promoted our products. In the beginning, the cost of this strategy was quite huge. But, it has impacted our branding,” Cindy noted.

On the other hand, the CEO of Ocean Fresh Hamid Mukthasim took a different way to be able to stand out from the crowded cosmetic market. He started his business by raising issues around environmental sustainability, public health, and public welfare amid the public awareness of more ethical and environmentally friendly goods.

“We have tried to create a prestigious branding as equal to the well-known imported brands. We also emphasize the richness and distinction of Indonesian natural ingredients. Then, let consumers try and prove the efficacy of our products,” Hamid explained.

He also added, in order to compete with popular imported brands, Ocean Fresh is now implementing standards in each of its products, starting from safety standards, halal certification, and strict quality control. The products are ranging from shampoo, body soap, body lotion, facial wash, and night cream.

The widespread use of natural ingredients in the beauty industry also motivated Ria Templer and her mother to build a strong value beauty brand that is based on Indonesian herbs and spices, called Utama Spice.

During the pandemic, Ria admitted, that sales of its skincare products have gone down by nearly 80 percent, due to many spa services in Bali must close. However, she has found another way to survive by raising awareness through an online retail marketplace.

“This online marketplace platform is very much trusted. We have been able to book sales revenue until 50-100 million rupiah from one online platform marketplace,” Ria noted.

By focusing on online sales, Utama Spice has doubled its revenue through public activity restrictions. She said that proving that the beauty enterprise can be environmentally conscious whilst also turning a profit is imperative.

The development of the cosmetics industry in Indonesia has shown a good trend. According to Indonesia’s Central Statistics Agency (BPS), in the first quarter of 2020, the growth of the chemical, pharmaceutical, and traditional medicine industries including cosmetics grew 5,59 percent. Meanwhile, they also have estimated the growth of the cosmetics market in Indonesia will increase by 7 percent in 2021.

*Various sources*





Leave a Reply

Your email address will not be published. Required fields are marked *

error: Content is protected !!