Why Sell Hair Extensions & Wigs? Is the Market Saturated? Over?

After being in the beauty industry for over a decade and eventually becoming the world's first hair business streamer.

I’ve seen all the ups and downs within the industry.

Is it slow? Is it even dead?

A lot of people get cold feet about getting into the hair business, convinced that it’s a saturated market.

Every good market is saturated.

Do you and all of your friends pick the same brand of bread or cheese?

Do you all use the same eyeliner?

Of course not.

I ran a question through Chat-GPT

And there are a few distinctive qualities of the hair business industry that thought I should share with you.

 

Growing Market

The market is the problem, and your business is the solution.

Think of it that way.

People who buy hair extensions and wigs suffer from hair challenges and loss.

The demand increases according to that.

Because every day someone is positive about her condition and seeks a solution.

At the same time, fashion benchmarks are continuously changing depending on social media trends.

TikTok especially fuels product trends and it’s never expected.

So, if the market is either dead or thriving. It’s thriving for sure.

Diverse Customer Base

Wigs are not for a certain segment anymore.

People from all demographics are buying this stuff, even men.

There is always advancement with the products.

Women working from home might want a headband wig for quick meetings.

Women who appreciate ponytails can buy ponytails with stretchable cuffs to wear easily anytime when needed.

Women who love their hair short most of the time but need a specific long style out of fun can make use of various extensions.

E-Commerce and Social Media

The barrier to entry has become ridiculous.

With 30 bucks lying around in your pocket, you can become a business owner.

You won’t need an exit strategy to recover from a $30 loss.

By tying this up with social media, you can leverage a flow of worldwide customers.

The trick to that is consistency, you have to be always active even for small portions a day, until you autopilot the business when the e-commerce snowball accumulates.

Customization and Variety

We recently established custom ghost wig-making at Private Label.

You can always explore different territories with advanced targeting techniques.

What we did is target hair professionals and stylists who don’t have the time or the resources to professionally color a wig.

Then they can sell them to their clients under their name.

The hair industry offers a lot of areas to grow.

Even if you wanted to get into the synthetic hair industry, you might find your audience there.

We didn’t, but as I said, the market defines the opportunity.

Marginal Profit

Beauty is luxury and with luxury comes high margins.

The competition will probably affect your profit margins.

But as long as you don’t participate in the race to the bottom.

You will have quite a room to grow.

I had been in the food industry for a while with CurrySimple.

Let me tell you, a single wig is more profitable than 2 boxes of curry sauce.

Emotional Satisfaction

It’s easier to sell with a unique feeling.

Hair business customers can conveniently leverage beauty.

It comes with distinguishing feelings and symbols like self-confidence and empowerment.

That also helps you to find a higher purpose to persist with your business.

When you cater to deeper needs, it’s enough to keep going.

Flexible Business Model

Private Label started as an online store to be able to move to a small store before opening our showroom in Atlanta.

You can save a bunch of expenses in the beginning and be minimalist about it.

By reinvesting continuously, you can expand and scale up.

But most successful businesses don’t need a lot of logistics to manage.

Thrive as an online business long enough.

Your main source of revenue will always be e-commerce.

Community and Partnerships

Through Hair Biz Radio and Hair Business Masterclass, I have been able to relearn a lot of aspects of my business.

Even if it took a lot of time, there is now, a supportive community that empowered many women to find themselves in the beauty industry.

Any business can fail if you’re distracted.

Focusing your resources and mind on a specific job for enough time will finally pay off.

Out of the hair industry, feel free to take any step if it has more potential than doing nothing.

Because motion is a blessing.