The cosmetics and self-care market, like fashion, has transformed recently. Every day, new items enter the market, along with various platforms where you can buy them.
However, the cosmetics sector has always had its fair share of difficulties. As a new business, you must be aware of and ready for these challenges.
Keeping Product Integrity
The issues offered by the beauty and personal care products are comparable to those faced by food and drinks in some aspects. Spoilage and shelf-life are essential considerations, as is FDA clearance.
To provide a sterile atmosphere in a manufacturing setting, additional attention must be made to workstations that may involve specialized material handling. A controlled environment with regulated temperature and humidity may be required for storage.
Even firms that do not manufacture goods (such as warehouses and 3PLs) must adhere to some of these regulations. Letting items get excessively hot or cold may affect their color, fragrance, or consistency. Customers will not only be dissatisfied with the items they get, but they may also fail to perform as stated or become spoilt and dangerous.
Problems like these may spell catastrophe in an industry where consumer loyalty and product ratings can make or break a company.
Warehouse managers must protect their merchandise at every beauty and cosmetics fulfillment stage. Lot management is essential for tracing a product’s origin, position in the warehouse, and destination. This is required if a product is recalled, but it is also valuable for identifying stock that may have gotten contaminated.
Presentation and packaging
Internet influencers earn a living by posting unboxing videos, beauty instructions, and regular skin-care routines. In the cosmetics business, looks are everything. The same is true for how the items are packed and displayed.
There are two essential needs for beauty product packaging. It must be safe and consistent with the brand.
Let’s start with security. Containers must be protected from breakage and leaking by boxes and packaging materials. When many items are transported together, the manner they are wrapped or kitted must be orderly and appealing. When offering an outstanding client experience, just throwing them in a box together will not be enough.
Appearance and branding go hand in hand. The most successful businesses are immediately identifiable with branded boxes, wrapping paper, and even tape or stickers. Popular industry phrases and messages (such as animal-free testing, vegan, pure, clean, and sustainable) may be communicated to the client via packaging. These techniques are not limited to high-end cosmetics: Even low-cost goods invest in intelligent, well-designed packaging.
By mapping out kitting processes, warehouse management software may assist in driving unique packaging at the production site or a 3PL. Pickers and packers will have a clear fulfillment plan to follow, and management will be able to track their progress.
Selling on Many Platforms
The development of cosmetics eCommerce has created the problem of dealing with the distinct needs of numerous platforms.
A brand may still sell to drugstores, but it may also have expanded to industry heavyweights like Ulta or Sephora. In addition, they may keep their website to offer DTC (direct-to-consumer). They might also utilize an eCommerce shopping cart such as Amazon, Shopify, or Magento.
Businesses must have EDI (electronic data interchange) capabilities to interact and exchange information with multiple shops.
Offering cosmetics and personal care items across many platforms enable businesses to create alliances with other vendors or grow their product range. For example, collaboration with a subscription box supplier may expose the brand to a whole new audience.
Consider brands such as Dollar Shave Club. They began by promoting razors to men and have now grown to cover a variety of personal care goods for both men and women.
Beauty product trends like apparel are about personal taste, style, and fashion. Customers want brands to give what they want when they want it.
This begins with a WMS capable of predictive analytics. This leads to a strong inventory management system, which may assist managers in keeping high-demand products in stock by monitoring what is on the shelf and notifying them when they are running short. Beauty firms must struggle between never running out of in-demand items and purchasing so much that they are burdened with out-of-date goods.
After everything is packaged, the shipment must be quick. You’re not only racing against the time to maintain the product steady and in excellent form, but you’re also up against the competitors.
Businesses that can fulfill orders quickly and correctly have a higher chance of fostering client loyalty.
Decide on return policies ahead of time.
Refunds are unavoidable regardless of what you sell. You will not want the cosmetics returned. There is no likelihood of reselling anything that has been opened and half used. In addition, shops may levy RTV (return-to-vendor) fees. Instead, send DIF (destruction in the field) instructions to the businesses where you sell.
It may alleviate the problem of handling returned stuff, but you must still select how to refund or replace products for dissatisfied consumers. A WMS system that records your customers’ data may be configured to easily refund money back, store credits, or supply a replacement.
Knowing what occurred first is just as essential as putting things right with the consumer. Are most returns made at a single retail location? Possibly there is an issue there or with a specific batch that was transported there. Are fulfillment issues caused by a single selector? Is it possible that a piece of automated equipment is causing damage to the bottles before they leave the warehouse?
Effective warehouse operations tracking may assist managers in tracing the source of incorrect orders or damaged items. After the issue has been identified, it may be resolved.
Overcoming beauty and cosmetic fulfillment challenges
Proper warehouse planning, fulfillment methods, packaging, and shipping are all part of the solution to the cosmetic industry’s issues.
Knowing the unique qualities of the items and consumer expectations is what sets it apart. Your brand will be in good hands after you tailor your processes and procedures with warehouse management technology.