A cosmetic shop located near a beauty salon is the perfect destination for customers looking to enhance their beauty and self-care routine. This strategic location offers convenience and synergy—clients who visit the salon for services like haircuts, facials, or makeovers can easily browse and purchase top-quality cosmetics right after. From skincare products and makeup essentials to perfumes and personal care items, the shop provides a wide range of trusted brands and trendy beauty products. The combination of professional beauty services and easy access to cosmetics creates a one-stop beauty hub for anyone who values looking and feeling their best.
✅ Step-by-Step Guide to Start a Cosmetic Shop Near a Beauty Salon
Step 1: Research the Location & Target Audience
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Identify a high-footfall salon or commercial area with regular beauty-conscious customers.
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Study the salon’s customer base — age, gender, spending habits.
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Understand what cosmetics and brands are in demand.
Step 2: Choose the Right Business Model
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Option 1: Open a cosmetic shop next to an existing salon (as a separate unit).
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Option 2: Collaborate with a salon owner and set up inside their premises (on a revenue-sharing model).
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Option 3: Combine both under one business if you’re planning to run both.
Step 3: Get the Necessary Licenses
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GST Registration
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Shop & Establishment License
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Trade License from your local municipality
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FSSAI (optional, if you plan to sell herbal/cosmetic products with ingestible ingredients)
Step 4: Set Up Your Shop
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Choose a compact, well-lit layout with mirrors and testers.
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Use shelves, display counters, and testers to encourage impulse buying.
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Highlight bestsellers and combo offers near the entrance.
Step 5: Stock Your Inventory
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Source products from:
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Wholesale cosmetic distributors
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Brand franchises (Lakme, Colorbar, etc.)
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Online B2B platforms (e.g., IndiaMART, TradeIndia)
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Include a mix of:
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Makeup: lipstick, foundation, kajal, etc.
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Skincare: creams, serums, face wash
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Haircare: shampoos, conditioners
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Nail care, perfumes, beauty tools
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Step 6: Hire and Train Staff
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Hire 1-2 salespersons with basic knowledge of cosmetics.
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Train them on product benefits, skin tones, and upselling techniques.
Step 7: Create Combo Offers with Salon
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Offer discounts if someone gets a facial and buys a skincare kit.
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Give salon customers early access to new cosmetic launches or loyalty points.
Step 8: Promote Your Business
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Place a signboard outside the salon and shop.
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Use Instagram Reels & WhatsApp status to show product arrivals & offers.
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Collaborate with salon influencers for reviews and demos.
Step 9: Provide Value-Added Services
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Offer free skin-tone matching or mini-makeovers on purchases.
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Organize monthly product demo events or giveaways.
Step 10: Monitor Sales and Customer Feedback
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Track best-selling products.
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Keep customer feedback to improve your stock and services.
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Adjust pricing or inventory based on customer demand.
💰 Cosmetic Shop Near Beauty Salon – Profit & Investment Details
✅ 1. Initial Investment
Item | Estimated Cost (INR) |
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Shop Rent (100–150 sq.ft.) | ₹10,000 – ₹25,000/month |
Shop Interior & Furniture | ₹40,000 – ₹80,000 |
Initial Stock/Inventory | ₹1,00,000 – ₹2,00,000 |
Billing System & POS | ₹10,000 – ₹15,000 |
Marketing & Signage | ₹5,000 – ₹10,000 |
Licenses & Registration | ₹5,000 – ₹8,000 |
Total Investment | ₹1.7L – ₹3.5L (approx.) |
💼 2. Monthly Expenses
Expense | Approx. Cost (INR) |
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Rent | ₹10,000 – ₹25,000 |
Staff Salary (1 person) | ₹10,000 – ₹15,000 |
Restocking Inventory | ₹40,000 – ₹60,000 |
Utility Bills | ₹2,000 – ₹5,000 |
Miscellaneous | ₹2,000 – ₹3,000 |
Total Monthly Cost | ₹60,000 – ₹1.1L |
📈 3. Monthly Sales & Revenue (Example)
Assume an average bill of ₹500
Scenario | Customers/Day | Monthly Revenue |
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Conservative (10/day) | ₹500 x 10 x 30 | ₹1.5L |
Moderate (20/day) | ₹500 x 20 x 30 | ₹3L |
High Footfall (30/day) | ₹500 x 30 x 30 | ₹4.5L |
📊 4. Profit Margin
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Average retail margin in cosmetics: 30%–40%
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Branded cosmetics: 20%–35%
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Own/private label or local: 40%–60%
Let’s calculate profit for ₹3L sales:
| Gross Profit (at 35%) | ₹1,05,000 |
| Less Expenses (₹70,000 avg) | ₹70,000 |
| Net Profit | ₹35,000/month ✅ |
High-performing shops can easily earn ₹40,000 – ₹70,000 net monthly.
📅 Yearly Profit Potential
Net Monthly Profit | Yearly Profit |
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₹35,000 | ₹4.2 Lakhs |
₹50,000 | ₹6 Lakhs |
₹70,000+ | ₹8–9 Lakhs or more |
💡 Tips to Increase Profit
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Sell combo packs and gift boxes (high margin).
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Offer mini facials or makeup demos using the products.
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Run festive/bridal offers linked to the salon services.
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Launch your own brand or white-label products for higher margins.
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