How to Start Aroma Therapy Business in India?
In Aroma Therapy or Aroma Therapy business owners are said to sell their own products through some retail stores or even through various online platforms. Aroma therapy has the aim of mentally healing the customer along with physical healing with the help of the products, thus having a great market potential for business.
The potential of the Aroma Therapy Business is wider on a global scale. In India, the Aroma Therapy industry has flourished over the years with various types of products available in the market through enhancing, such as soaps, cosmetics, and so on.
Even if we consider some Global numbers of different countries, the potential is very high, with a turnover of around 20 billion USD of all allied industries, we can estimate the demand that this industry is currently generating in the market. The numbers keep on growing over the years.
When it comes to India, from the above figure of 20 Billion USD, India is responsible for contributing around 10% of the total figure, that is around 200 Million USD if we count the allied industry of cosmetics, aroma, and so on.
Already sounds like a very profitable business for you? This is just the beginning, let us understand about this business at a deeper level.
1. License Required for Aroma Therapy Business
A. Drug license
B. Firm Registration
C. License of Cosmetics
D. Pollution Board
E. Current Bank Account
F. Trade Mark
G. GST Registration
H. Trade License
2. Investment required
With various types of Aroma Therapy products that can be manufactured, let us have a look at an average number of total investments that would be required for starting your Aroma Therapy Business in India is as follows.
|Small Scale||3 to 6 lakhs|
|Medium Scale||7 to 25 lakhs|
3. Expected Profits that can be Made.
For every business we have an expectation of earning profits on a maximized level, however, the profits of the business highly depend on the quality of your products and the number of orders that you receive every month. Still considering an average amount of Profit that can be earned by individuals doing Aroma Therapy business on a monthly basis would go around INR 30000 to 90000 per month.
The above figure would be for beginners and for businesses that are on small-scale, but if we consider a business that is running at a full-fledged speed and generating good volumes over a period of time, then the profit which can be expected could also go to an astonishing number of more than 1.5 lakhs per month.
4. Target Consumers
A. Local shops: For Aroma Therapy business your primary targets should be your local shops. Word of mouth would work better with the shops owners who know you and can support you at the initial stage.
B. Retailers: When it comes to products that are related to Aroma Therapy business, retail stores are one place where they would sell faster compared to other stores, customers normally look for them at such stores.
C. Supermarkets: We already read the point about retail stores, supermarket is a combination of various retail stores, so it is already clear how beneficial it would be to crack a deal with some supermarkets.
D. Online Retail Stores: With so many products that are listed on Online retail sites and apps, you can display your unique products related to Aroma therapy and reach an audience on a wider scale.
E: Distributors: Distributors have a huge network of wholesalers to retailers, and so on. Convincing Distributors is never an easy task, but worth the time to take the efforts.
F. Online Blogs: When it comes to Aroma Therapy, many therapists claim that they are making a decent amount of sales through their own blogs or website, by posting regular updates and content about the same. Online viewers are responding well, along with acquiring valuable information about the same.
5. Raw Materials required
Just like any other business, you’d require some raw materials, that would act as a base for your product quality. The following are the various types of raw materials that are required for the Aroma Therapy business.
A. Essential Oils
D. Packaging materials
E. Carrier oils
G. Plant materials
H. Propane source
6. Equipment Required
Along with raw materials, you would also require various equipment that would help you to process the Aroma Therapy further at each stage. The Equipment ranges from various start to end processes.
C. Chemical-free land
D. Natural Extracts
F. Weighing Scale
G. Lemon glass
H. Sandal Oil
K. Miscellaneous Equipment
7. Manpower Required
For the manufacturing process of Aroma Therapy Products you would require workers who are skilled and are also experienced in the same field. Unskilled workers would only aid you in terms of the labour work and running the machines, hence skilled workers are preferrable.
A. The manpower required to set up a small scale-based Aroma Therapy business would be around; 2 to 3 skilled workers. Even if you deal with one or a few products, this number is enough.
B. The manpower required for a Medium-scale Aroma Therapy business, that is dealing in various products at the same time would go up to; 4 to 7 workers at the most.
8. Profit Margin
In Aroma Therapy Business, with efficient product quality and market price and once your business is well-established in the market, you can keep expectations of making a profit margin that would range between 9% to 25%.
9. Some Useful Tips for your Business
1. Marketing strategy: For the Aroma therapy business you should focus most of your funds on the marketing section. There are too many product brands available in the market and too many practising therapists that it may become difficult for you to stand out amongst the others. In such a case, a well-executed marketing strategy would help your business better, reach a potential audience and get you good sales.
2. Focus more on Women: Yes, you read it right. Your primary focus should be to pitch your products related to Aroma Therapy to females on a greater scale rather than men. When it comes to Aroma Therapy, the interest rate and chances of selling your products are higher with females, as they are more inclined towards Aroma therapy and experiencing health benefits mentally and physically.
3. Social Media: When it comes to Aroma Therapy Industry, it is recommended to therapists and product dealers to make themselves present on the various social media platforms. Results and surveys have claimed that many successful therapists sell their products and maintain that conversation with the customers through various social media handles such as Instagram. Social media can help you boost your business in this case.