Ever so often, we witness the establishment of many low-funded businesses, as people find ways to make money or create side incomes for themselves. In Nigeria, small businesses can arguably be referred to as the bedrock of the economy; many people depend on such small businesses to survive.
Interestingly, there always seems to be a particular trending small business at every given point in time. A few years ago, bead making became a trend. Almost every Nigerian woman knew how to make ornaments from beads —ranging from simple wrist bracelets for personal use to complicated elegant necklaces for commercial purposes. Later, hat making was added to it. Even churches held workshops to teach women these skills as a means of making an honest living.
These days, “side hustles” have evolved to include makeup (or makeovers as they are mostly referred by most), tailoring, human hair sales, the sales of organic skincare products, etc. Since Nigeria is a capitalist economy, many business ideas keep coming up almost on a daily basis, providing options for both the sellers and consumers.
Another business leading the trend in the Nigerian SMEs space is the sales of perfume or fragrance oils. The use of these beautifully scented aromas started trending and people are cashing out by buying wholesale, to resell in smaller bottles.
Let’s learn what this business is about and how you too can key into the opportunity to make extra income.
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Perfume Oils; What are they?
Perfume oils are blended synthetic aroma compounds or natural essential oils that are diluted with a carrier like propylene glycol, vegetable oil, or mineral oil.
These oil fragrances are in high demand, as many people believe that they last longer on the skin than regular spray-on/alcohol-based perfumes.
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Why people are buying
Oils are more concentrated with fewer fillers. As a result, they stick to the skin longer and do not contain dehydrating chemicals.
Also, since they are being sold in small bottles, they come at affordable prices (some sell each bottle for as low as N600), so people can easily buy 5 bottles of different fragrances for different occasions. As the bottles are handy, people can carry them anywhere, even in small bags, unlike the bigger more expensive alcohol-based perfumes.
Why you should venture
It is an ideal business to venture into, as it requires low capital to start. Repeated sales are guaranteed since they are beautiful fragrances at pocket-friendly prices. Also, it is a business that does not require renting a shop. As they are packaged in small bottles, one can carry as many as twenty bottles in a bag, and everywhere you go becomes your market; with an active online presence, your market size becomes larger.
Starting the business
According to Nairametrics‘ findings, most of these oil fragrances are majorly imported from Dubai, which is known for its aromatherapy and has different fragrances and aromas blended into perfection.
Most Nigerian distributors get these blended scents at cheap rates in Dubai, package them in miniature bottles, and sell to the retailers who finally deliver them to the consumers.
According to a perfume oil retailer who pleaded anonymity, the oil fragrance business can be started off with as low as N10,000 or N25,000.
According to her, she started off with N25,000 which was able to get her 50 pieces of 3ml bottles at the rate of N500 each. The price depends on the distributor, as some get them at even cheaper rates.
It is profit worthy
She further narrated that she resold the perfumes at N1000, N900 and N850 each, depending on the bargaining power of the customer. But at the end of the sales, she was able to make a profit of N15,000.
The business, according to the reseller, is based on how strong the marketing skill of the seller is. With good skill, the products can be sold out within two weeks or less.