Introduction
Nowadays, there are a lot of hair care product companies that are opening up. It is a result of the increase in demand for natural organic products specifically made for natural hair. Starting a business in the past has been a challenge due to the lack of proper information. Starting a hair care product business is not as easy as it seems. It only gets easier if you have a business mentor, the right information, and the appropriate paperwork. Some people are always afraid of starting a new business because of making mistakes. Besides, entrepreneurs will confirm that making mistakes is part of succeeding in a business.
Discussion
Starting a business where the target customers are individuals with natural hair is the main idea of the business. Some of the natural hair products include conditioners, hair growth oils, leave-in conditioners, shampoo, and styling gels made from natural raw materials. The youths are among the many people who use natural hair products, thus increasing the demand for natural hair products (van der Zwan et al. 279). The millennials take a very careful approach while choosing natural hair products and products that have natural raw materials. This is the main reason this is a promising business idea since the youth will always buy natural hair products with naturally derived ingredients.
Natural hair products are always customized into new products according to the customer’s preferences and needs. Customization and launching new products increase the product demand, making sure that the business is always promising and successful. To customize and launch new products, natural hair companies should ask customers some questions concerning their hair care habits and hair type (GĂ©raudel et al. 359). It is believed that various people have different hair types and different hair habits, thus requiring consultation. Some of the products that should be customized include conditioners, hair oil, shampoo, and styling gel.
SWOT Analysis
There are some strengths and weaknesses that are associated with this line of business. Some of the strengths include targeting, which is normally amongst the millennials. The young people who are just stepping into adulthood are the main target customers. They are targeted because they are very sensitive with their natural hair care. Products such as hair oil growth and leave-in conditioner have been a solution to their dull hair, itchy scalp, and dry hair (Barnett 69). Such types of problems are very common in their age group. Another strength is the focus on the need of customers. Natural hair products focus on customers’ needs, such as nourishing their hair at their young age. For instance, hair growth oils are made to increase the growth of their hair and make their hair bouncy and bulky. The focus on the need for a product has made it increase in demand among people who face hair problems.
The distribution strategy is another strength in the health care industry. Natural hair products are usually available in both rural and urban areas. Some of the rural areas are not a target to many international companies, thus reducing competition in those areas. Trust and goodwill of customers are also another strength in hair care products. Ensuring that customers trust natural hair care products by ensuring that the ingredients are from natural raw materials is a must-do. Using natural raw materials while manufacturing natural hair products is the main factor of trust.
The inability to keep up with the trends and competition in the market is one of the weaknesses in the hair care industries. The market is changing rapidly as international companies are launching new products, filling the niche, and increasing competition. It might be challenging to much up the speed when the multinational companies have already customized and launched new products in the market (Vlados and Chatzinikolaou 79). The inability to create a powerful image is also another weakness in the health care industry. Customers will always prefer to use products from premium brands rather than from unknown brands.
The opportunities include natural hair products for men. As the concept of metrosexual is increasing by the day, the number of natural hair care products increases. Men also want to have shiny and dark hair, which can only be achieved through natural hair products from natural ingredients. The growth potential in the styling gel market is another opportunity in natural hair care products. The current styling gel in the market is only for relaxed hair (Gaston et al. 91). Manufacturing styling gels that are for natural hair can help fill the niche and create opportunities.
One of the threats that face natural hair products is competition. Competition from well-established and powerful brands is increasing every day, making it hard for start-up companies to thrive. It is because many people trust their products since they are well established. Partnering with others brings together different ideas and information that will help grow the business. Starting a natural hair products company will require an initial capital of around $500 to $25,000, depending on the cosmetic formulator that makes the product (Barnett 69). It is necessary to have a business mentor who works to provide accounting as a legal adviser to the entrepreneur.
Conclusion
In conclusion, starting a natural hair care company is fun but very tedious. To succeed in this line of business, it is important to take note of the target market and the target consumers. The opportunities and threats should also be noted and the competitors to ensure that your business grows. While creating natural hair products, it is crucial to test them before selling them to ensure that you make something that reacts well with people.
Works Cited
Gaston, Symielle A., et al. “Chemical/straightening and other hair product usage during childhood, adolescence, and adulthood among African-American women: potential implications for health.” Journal of Exposure Science & Environmental Epidemiology 30.1 (2020): 86-96.
GĂ©raudel, Mickael, Johanna Gast, and Katherine Gundolf. “New product and service launching in new ventures: a multilevel approach to innovation antecedents.” Economics of Innovation and New Technology 26.4 (2017): 353-367.
Barnett, Michael. “The politics of black hair: A focus on natural vs relaxed hair for African-Caribbean women.” Ideaz 14 (2016): 69.
van der Zwan, Peter, et al. “Factors influencing the entrepreneurial engagement of opportunity and necessity entrepreneurs.” Eurasian Business Review 6.3 (2016): 273-295.
Vlados, Charis, and Dimos Chatzinikolaou. “Towards a restructuration of the conventional SWOT analysis.” Business and Management Studies 5.2 (2019): 76-84.