How to Open a Perfume Shop

Opening your own business is no easy task. However, it's not impossible, and a perfume shop is the good boutique business as potential sales can be made year-round. Here are some steps to get you started on the path to opening a perfume shop.

Things You'll Need

• Knowledge of various perfumes and colognes
• A marketing plan
• A business plan
• A small business loan (or other form of financing)
• A sound location, preferably with lots of frequent traffic

Instructions

1. The first step in opening any business is to draft a business plan. This plan covers everything from financing ideas to the long-term goals for your business. Many people hire someone to write a business plan for them because this is the piece of paper you take with you to present to potential investors or loan officers when you are securing capital for your business. It should be well-written, clear, concise and to-the-point. You need to address why you think you can succeed at owning and operating a perfume shop, what your level of expertise is in the perfume industry and how you plan to generate--and maintain--a steady stream of revenue.

2. Invest in continuing education opportunities. Customers expect store owners to know their stuff, especially when it comes to the art of fragrances. Understanding the history of certain perfumes, their origins and chemical makeups is important. You have to be able to tell a customer why a certain fragrance will or will not work with their body chemistry and suggest alternatives. You have to know the different between eau de toilette and eau de parfum. You have to understand the difference between perfume and parfum. Invest in a course on fragrances, and make sure you know your stuff because when you open your perfume shop, you are now touting yourself as the expert.

3. Scout locations. You want to be in an area where people are already looking to spend some disposable income, like a small or open-air shopping market. Perfume is usually bought in conjunction with clothing or other gifts, so an area like this would be perfect. Once you've secured a location, keep in mind that the set-up and decor of your perfume shop is what will keep customers coming back--or not. Perfumes should be nicely displayed, showing off unique bottles and special fragrances. Many people like being able to buy gift-box options that include the fragrance and accompanying lotion, bath gel, powder and more.

4. Get the word out about your shop. Since you are a new business, it is up to you to let as many potential customers as possible know where you are and what kinds of perfumes you have to offer. Advertise with local media. Sponsor targeted events. Participate in community festivals. Do anything you can to put your brand out there for your audience to see. The whole goal is to keep traffic moving in and out of your perfume store to continue generating income. Advertising should be a large portion of your overall budget, after operating expenses. Take it seriously, and invest in the time to target potential clients on a regular basis.

5. Be diverse in your inventory. Don't just offer the popular, brand-name perfumes. Invest in some fragrances from other countries or little-known brands. Carry men's colognes, and range in price from cheaper perfumes to very expensive options. The more diverse you are in the fragrance inventory you offer, the broader range of customers you will have and the better your perfume shop will do. Go on scouting trips, looking for undiscovered fragrances. Solicit celebrity clients to put out their own perfumes sold exclusively through your boutique. Think big, and set high goals for success. You may be surprised at all you can achieve.