Aromatherapy - Making Your Passion A Business
"Follow your passion and the money will come.
" We've all heard this quote at some time.
Truth is, it's not quite that simple.
If you follow your passion only, you will fail.
You need to set aside the passion in your heart and dig into the logic of the brain to run a successful business.
My background and career for the past 40 some years has been in sales & marketing.
Ten years ago I walked away from that career to find a new path.
I was strolling through an artisan area in Toronto and found a little kiosk that was selling essential oils (actually they were these horrible little jars of fragrance and essential oils blended together, but I didn't know the difference at the time).
I bought 3 or 4 of them and just loved the smell.
As a result, I started to do some research on these oils and discovered a whole new world - one that I wanted to be part of! I took some money out of my savings and went back to school.
Off I went to study at Healing Fragrances School of Aromatic Science.
I was going to be an Aromatherapist! While I was nearing the end of my studies, I started searching for a job as an aromatherapist.
I searched every newspaper and all the job sites: workopolis, monster, craigslist, kijiji..
..
and - nothing.
Not one job posting for an aromatherapist.
So, I tried the Spas.
No luck there either - they only wanted registered massage therapists.
I thought, ok, I'll create my own job.
This was not as easy as it sounds, but it was an incredible learning experience and I have some great tips to pass along.
My Tip # 1: Find a partner who has the skills you lack.
I had the skills to do massage, make a blend and create creams, but I had no skills with computers, websites, accounting or filing taxes.
I approached a friend who had these skills and we formed a general partnership.
I operated a clinic in my home offering treatments and selling some of my blends to our clients.
It didn't take long to realize that our potential was limited! Just to make a salary for myself, I had to do 80 treatments a month.
That is a lot of treatments, and if I got sick or wanted to take a vacation I didn't bring in any money.
We needed a new plan if both of us wanted to make a living from this business.
So my tip #2: Create a business plan.
Establish a business plan with sales goals and expenses.
Account for a salary for yourself and partner based on time dedicated to the business.
Pay yourself what the job is worth, not what you think you are worth.
You can always give yourself a raise if the business is profitable.
Tip #3: Know the laws and make sure your products are within the guidelines.
In Canada, all skin & body care products made for sale must be registered with Health Canada under the Cosmetic Notification Department.
There are very strict guidelines that apply to labeling a product for retail.
There are also strict guidelines for restricted ingredients and percentages allowed in the products.
Cosmetic products and therapeutic products fall under two different categories.
If you want to create a therapeutic product for retail, you must apply for a NHPN - Natural Health Product Number (this is the former DIN #.
) In the United States, products must comply with the FDA, although they are not as strict as Health Canada.
Tip #4: Make sure you have adequate insurance coverage.
You need manufacturing insurance if you want to sell to retail stores, or if you want to have your own retail outlet.
This applies to venues you rent or products you sell from your home.
Tip #5: Develop a marketing "action plan" The next step is to determine who your customers are.
If you are selling a product, are you selling to retail or wholesale? From here you can develop your marketing strategy or "action plan".
There are 3 main components to marketing: 1) Promotion, which can be done through social media, consumer shows, articles and interviews; 2) Advertising - either consumer direct or to the retail trade; and 3) Direct Sales.
Tip # 6: Price your products for growth.
In the beginning you will be doing most of the work yourself, but as you grow you will need help.
You need to calculate time for tasks and determine at what sales level you will need to hire staff or contract out the work.
Tip #7: Outline a clear and concise Terms & Conditions policy.
This is a very important tip.
Make sure you have determined payment terms and return policies before you start to sell your product or service.
Tip #8: Form or join a buying group.
Small business pay a premium for supplies and this applies to both services and products.
Investigate buying opportunities with other businesses similar to yours.
We often buy large quantities of oils and split them with other small aromatherapy businesses.
Tip #9: Deliver what you promise.
Everyone can sell a product once, but you can't survive on one-time sales.
To ensure repeat customers you must deliver exactly what you sold in a timely manner.
If the customer is not satisfied with the product or service, deal with it immediately.
Negative word of mouth will drastically hurt your business.
Tip # 10: Grow an extra layer of thick skin.
Try not to take criticism personally.
You will not please everyone, so relax, let your passion explode, work like you don't need the money - and have a ton of fun!
" We've all heard this quote at some time.
Truth is, it's not quite that simple.
If you follow your passion only, you will fail.
You need to set aside the passion in your heart and dig into the logic of the brain to run a successful business.
My background and career for the past 40 some years has been in sales & marketing.
Ten years ago I walked away from that career to find a new path.
I was strolling through an artisan area in Toronto and found a little kiosk that was selling essential oils (actually they were these horrible little jars of fragrance and essential oils blended together, but I didn't know the difference at the time).
I bought 3 or 4 of them and just loved the smell.
As a result, I started to do some research on these oils and discovered a whole new world - one that I wanted to be part of! I took some money out of my savings and went back to school.
Off I went to study at Healing Fragrances School of Aromatic Science.
I was going to be an Aromatherapist! While I was nearing the end of my studies, I started searching for a job as an aromatherapist.
I searched every newspaper and all the job sites: workopolis, monster, craigslist, kijiji..
..
and - nothing.
Not one job posting for an aromatherapist.
So, I tried the Spas.
No luck there either - they only wanted registered massage therapists.
I thought, ok, I'll create my own job.
This was not as easy as it sounds, but it was an incredible learning experience and I have some great tips to pass along.
My Tip # 1: Find a partner who has the skills you lack.
I had the skills to do massage, make a blend and create creams, but I had no skills with computers, websites, accounting or filing taxes.
I approached a friend who had these skills and we formed a general partnership.
I operated a clinic in my home offering treatments and selling some of my blends to our clients.
It didn't take long to realize that our potential was limited! Just to make a salary for myself, I had to do 80 treatments a month.
That is a lot of treatments, and if I got sick or wanted to take a vacation I didn't bring in any money.
We needed a new plan if both of us wanted to make a living from this business.
So my tip #2: Create a business plan.
Establish a business plan with sales goals and expenses.
Account for a salary for yourself and partner based on time dedicated to the business.
Pay yourself what the job is worth, not what you think you are worth.
You can always give yourself a raise if the business is profitable.
Tip #3: Know the laws and make sure your products are within the guidelines.
In Canada, all skin & body care products made for sale must be registered with Health Canada under the Cosmetic Notification Department.
There are very strict guidelines that apply to labeling a product for retail.
There are also strict guidelines for restricted ingredients and percentages allowed in the products.
Cosmetic products and therapeutic products fall under two different categories.
If you want to create a therapeutic product for retail, you must apply for a NHPN - Natural Health Product Number (this is the former DIN #.
) In the United States, products must comply with the FDA, although they are not as strict as Health Canada.
Tip #4: Make sure you have adequate insurance coverage.
You need manufacturing insurance if you want to sell to retail stores, or if you want to have your own retail outlet.
This applies to venues you rent or products you sell from your home.
Tip #5: Develop a marketing "action plan" The next step is to determine who your customers are.
If you are selling a product, are you selling to retail or wholesale? From here you can develop your marketing strategy or "action plan".
There are 3 main components to marketing: 1) Promotion, which can be done through social media, consumer shows, articles and interviews; 2) Advertising - either consumer direct or to the retail trade; and 3) Direct Sales.
Tip # 6: Price your products for growth.
In the beginning you will be doing most of the work yourself, but as you grow you will need help.
You need to calculate time for tasks and determine at what sales level you will need to hire staff or contract out the work.
Tip #7: Outline a clear and concise Terms & Conditions policy.
This is a very important tip.
Make sure you have determined payment terms and return policies before you start to sell your product or service.
Tip #8: Form or join a buying group.
Small business pay a premium for supplies and this applies to both services and products.
Investigate buying opportunities with other businesses similar to yours.
We often buy large quantities of oils and split them with other small aromatherapy businesses.
Tip #9: Deliver what you promise.
Everyone can sell a product once, but you can't survive on one-time sales.
To ensure repeat customers you must deliver exactly what you sold in a timely manner.
If the customer is not satisfied with the product or service, deal with it immediately.
Negative word of mouth will drastically hurt your business.
Tip # 10: Grow an extra layer of thick skin.
Try not to take criticism personally.
You will not please everyone, so relax, let your passion explode, work like you don't need the money - and have a ton of fun!
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