Because of its attractiveness, there are many brands and companies that have become distributors of wholesale perfumes. Since, this type of products have a high turnover and have a wide audience, both women and men.
Consequently, it is a market that offers optimal benefits in terms of profits and recognition. According to official data, Spain has a turnover of around 8,200 million euros from perfumery and cosmetics products. Which, allows to confirm that it is a profitable trade in the country and also worldwide.
So, it is worth knowing how perfume wholesale distributors operate, in case you want to become one of them. In addition, we will provide you with some very interesting information in order to achieve success in a perfume business.
How does a perfume distributor work?
Basically, a distributor is a person, company or organization that takes care of transporting a product to the place where it will be sold. Thus, it works as an intermediary between the company that produces the items and the final destination to be provided to customers. In effect, the distributor works as a point of contact that is used by the producing companies in order to sell their products.
In other words, the perfume distributor acts as an intermediary between the producer of the perfumery articles and the retailer or consumer. For this, he/she uses traditional sales channels (such as shops) or modern points of sale (such as online stores). In addition, the functions of a distributor that determine an effective work to generate sales and provide profits to the distribution company, are summarized in:
- Doing activities to produce demand for a product in customers and as a result, raise sales of that product. To do this, you have to devise strategies based on the characteristics of the market.
- To inform about the characteristics, peculiarities and innovations of the perfumes sold. As well as carrying out related procedures and formalities (such as promotions, order preparation, delivery invoices, etc.).
- Adapt production batches to the requirements of customers or potential customers. For example, through the packaging of the goods depending on customer standards.
- Advise customers in terms of the purchase and sale of the product, home delivery and all necessary service.
- Store merchandise to meet the needs of wholesalers and retailers, as well as customer demand at any given time.
- Finance the product, to provide payment facilities with respect to the time of payment to customers or the purchase of the goods in cash.
- Assume all estimated risks, whether it is the obsolescence of the goods or non-payment by customers.
How does wholesale perfume dstribution work?
In the case of wholesale distribution, it is distinguished as a process of selling products to retailers, who are responsible for making the final sale of the item. Therefore, wholesale distributors of perfumes are an ideal link between the manufacturer of the product and retailers.
Now, specifically, wholesale distribution works efficiently by purchasing quality products that are in high demand and can be offered at low or affordable prices. This is usually achieved through high volume.
In that sense, if you choose to buy perfumes in bulk, you can be a distributor able to get a low price from manufacturers, to ensure economy to your customers and in turn, acquire higher profits. Noting that, in this way, distributors can sell to retailers at a unit price that is higher, so as to take the difference between costs as profit.
This is how wholesale perfume distributors really work. Taking into account that, their main distinction lies in the wholesale and retail price. In the case of the former, it is the price that a retail establishment pays for a product (in quantities) and the retail price is that for which the same product is sold to the public.
Therefore, the difference between the two retail and wholesale prices is known as “mark-up” which is what is generated to pay the retailer for selling to the final consumer. But, in spite of such difference, both prices can affect each other directly, due to fluctuations in one of them that will result in the variation of the other; since they are totally related.
Best Perfume Wholesalers
If you want to have as a reference some of the best wholesale perfume distributors in Spain, meet the ones we present below:
- 500Cosmetics: One of the best perfume wholesalers that has focused on satisfying the needs of its target audience in terms of beauty, health and wellness. Because it offers affordable prices and manages an optimal logistics process, it allows you to acquire benefits when selling perfumes at retail. Above all, for its optimal dropshipping system that allows you to start your own business without investing money initially.
- Perfumerías Sabina: Since 1973, it has been the pioneer in the sale of perfumes in the Canary Islands and currently leads sales in the Autonomous Community. In addition to boasting an extensive catalogue of references, it also stands out for its excellent delivery times in Spain, regardless of the area from which the order is placed.
- Disdroper: It specializes in the marketing of perfumery items that is distinguished by the sale of lots of perfumes wholesale and also offers cosmetic and drugstore items. Among its main benefits, we find that it works with the best brands on the market and are highly experienced professionals in the sector.
- Farlabo: It is a company that is dedicated to the perfumery sector is also pondered as another of the most recognized distributors of colognes of all kinds in the country. Which, guarantee quality and professionalism to all those retailers who wish to buy perfumes and sell to offer a good experience to their consumers.
Steps to becoming a perfume distributor
Because of its advantages, it is likely that you study the idea of becoming a perfume distributor of the hand of optimal suppliers with whom you can create an excellent relationship and acquire benefits. So, we want to show you the main steps to follow to become a perfume distributor and succeed:
Step 1: Define how you will sell your perfumes
The first step to follow is to determine how you prefer to sell your perfumery products. If you choose to do it in a physical store, we recommend you to bet on olfactory marketing, which will inherently help you to capture the attention of your target audience and this will result in being able to build loyalty and make many more sales. In the following section, you can learn more about what this marketing consists of.
But if you prefer to make your sales online, we advise you to start by looking for a reputable website through which you can offer and promote your product (either on eBay or on social networks like Facebook, for example). These platforms will work as your showcase to sell and you can even choose to do dropshipping to avoid the execution of large investments to undertake.
In addition to this, you can create your own website as an online store to promote all the perfumes you sell and at the same time simplify the buying process. In this case you need to maintain an optimal inventory to meet the highest possible demand and you also have to accept credit card payments through a certain bank or a third party processor (PayPal, for example).
Step 2: Legalize your perfume shop
In any case, whether you sell your products from a physical store or use the online channel, you need to obtain a tax identification number in your country. This means, you must legalize your business (however small it may be) and have the required licenses to distribute perfumes.
This way, even your clients can feel more secure, since you will provide them with the utmost reliability by doing everything legally. Otherwise, your reputation can be called into question.
Step 3: Choose an optimal perfume manufacturer
Another recommended practice to be a good distributor of perfumes, is based on selecting an excellent manufacturer with whom you can partner to ensure quality, efficiency and economy to retailers or end customers. At the same time, it is recommended to request as much exclusivity as possible to capture a larger audience.
In terms of exclusivity, you can contact the wholesale department of the manufacturers of your favorite perfume brands and show a sales plan that exceeds the expectations of those companies, so you can represent them and become a direct distributor.
Step 4: Select who you will sell the perfumes to
You should also focus on studying your niche market and analyzing what your target audience is like, in order to choose who you will offer and sell your products to. Mainly, it is recommended to provide the catalog to boutiques and stores that have a potential audience similar to yours, in order to ensure more sales.
You can even look for marketplaces, craft fairs and any festivals where you know your potential customers can gather; this will help you increase your sales. In any case, make sure to display your products in different scenarios in order to gather more sales.
Step 5: Advertise on social networks
It’s a good idea to market your perfumes online. So, beyond creating a website dedicated to this, you should run advertising campaigns on social networks and electronic media. In this way, it will be easier to keep your current customers informed about new products, possible discounts and sales data of interest; which will help to retain them more quickly.
Additionally, a good social media marketing strategy will allow you to expand and reach many more people, without having to make an abominable effort. This means an increase in sales, an increase in the number of customers and the satisfaction of the brand that you work with as a distributor.
What is Scent Marketing? Advantages
It is defined as a brain stimulation technique through which a chain of association is connected with an emotion, by means of aromas. Consequently, different associative processes are immersed where the individual is able to link the smell with a memory.
This novel strategy has proved advantageous for many types of business, especially for the sales of perfumery articles. Highlighting that, it guarantees the following benefits to these businesses:
- Increases sales: If you work with the olfactory stimulus, you are naturally much more likely to conclude a successful sale.
- Strengthens the branding strategy: It is identified as a type of marketing that helps brands to transcend more easily in order to achieve the objectives set out in your strategy implemented from the beginning.
- Guarantees much more exclusivity in relation to the competition: A unique scent allows your customers to associate your brand with exclusivity and luxury. Thus, the fact of using a unique scent helps to secure the consumer.
- It creates permanence in the users: Scent marketing has the ability to make the consumer feel more connected to the brand and thus, the smell will influence the time the person stays in the establishment to be longer.
However, this type of marketing only offers advantages to distributors who choose to work physically or offline. Since, it is an acoustic experience that, of course, does not allow to boost a business virtually or online. Therefore, it cannot be implemented in virtual processes to attract people and interact with them in order to sell more.