We're going to explain the journey of your makeup from the country of origin to Colombia.

The world of makeup is fascinating, but have you ever wondered how those colorful and shiny products make their way to your hands? Behind every lipstick, eyeshadow, or foundation, there's a complex importation process involving multiple parties and requiring meticulous coordination. In this article, we'll explore step by step how your makeup products travel from their place of origin to your vanity.

Makeup Importation Process

Market Research

The crucial step to enter the world of makeup is to conduct market research on cosmetic products. It's a fundamental tool that provides a deep understanding of the commercial environment in which makeup products operate. It allows identifying trends, analyzing consumer demand, and evaluating competition, all of which are crucial for making informed decisions about importing makeup products. When conducting market research, it's important to consider several factors. This includes assessing consumer preferences, identifying market niches, and understanding regulations and market trends in the destination country. Additionally, it can provide information on the economic viability of importing makeup. This includes evaluating market prices, expected profit margins, and costs associated with importing, storing, and distributing the products.

In summary, market research is a vital tool in the makeup importation process. It provides a solid foundation for strategic decision-making and helps ensure success in a highly competitive market. By understanding consumer needs and preferences, as well as local market conditions, companies can maximize their chances of success by effectively and profitably importing makeup products.

The Search for Suppliers It's a strategic process that can take time and requires a deep understanding of the international market. Both cosmetics companies and entrepreneurs like yourself who want to dive into this world must consider a variety of factors when selecting their suppliers, such as:

• Product quality.
• Production capacity.
• Delivery reliability.
• Import regulations.
• Costs.

Negotiation terms (Incoterms) and conditions with suppliers are also an integral part of this process, where agreements and responsibilities are established to meet the needs of both parties and ensure a strong and beneficial business relationship.

If you want to learn more about negotiation terms (Incoterms) and find out which one is best for you, click here.

Once suitable suppliers and terms have been identified and selected, the logistics coordination phase begins. This is where specialized customs brokerage and comprehensive logistics services come into play. You must choose a good customs broker, and we have an article to help you choose the best one; click here.

We need to clarify the quantity we are going to import. We recommend that whether you are starting in this world of makeup or you are already an established small or medium-sized enterprise, you have samples of the products, and you can import them through a Courier. You also need to meet the requirements; learn more here.

Tariff Classification

Once you have defined the products and quantities, you need to classify them, as there is an international code that classifies each product. Below, we will provide you with a table with some tariff classifications for cosmetic products;

If you want to learn more about the topic, click here.

Customs Clearance:

Once the exciting purchase of cosmetic products has been finalized, a crucial stage of the process begins: customs clearance. This step is essential to ensure that imported products comply with all regulations and legal requirements upon entering the destination country. In this case, the INVIMA issues the following:

 - Sanitary registration 

What are the legal permits for the manufacture, importation, and distribution of cosmetics in Colombia?

For the manufacture and distribution of cosmetics and personal care products in Colombia, it is necessary to carry out the respective procedure for requesting or renewing the sanitary registration of each product, which is issued by the National Institute for Food and Drug Surveillance – INVIMA. This procedure requires an evaluation and historical substantiation carried out by a reviewing committee of INVIMA, as well as a technical (pharmacological) and legal evaluation that verifies the legal existence of the company and the physical and chemical characteristics of the product.

Payment of Duties and Taxes:

The payment of duties and taxes is a critical step in the importation process of cosmetic products and plays a fundamental role in fiscal and legal compliance. Upon entering a country, products are subject to import duties and taxes, which must be paid to allow their entry into the local market. Import duties and taxes can vary depending on the receiving country and the type of imported product. These costs can be calculated based on the declared value of the products, their tariff classification, and any existing trade agreements between the involved countries. It is crucial to understand and anticipate these costs when planning an importation, as they can significantly affect the total product cost and business viability.

Inspection and Documentation:

Once the goods are ready for clearance, they may undergo comprehensive inspections to verify their content, quality, and compliance with local regulations, both at origin and destination. However, if you have all the required documents and meet all the legal requirements, the likelihood of your goods undergoing inspection is minimal, which a customs broker can perfectly handle.

Customs inspections can cover various aspects, from verifying the quantity and quality of the products to identifying potential risks or irregularities. A customs broker can coordinate these inspections efficiently, ensuring they are carried out timely and without disrupting the flow of your products through the supply chain.

In addition to physical inspections, the preparation of necessary documentation is a fundamental aspect of customs clearance. The proper presentation of documents such as:

• Commercial invoices
• Import declarations
• Sanitary certificates
• Import registration
• BL or Air Waybill
• General mandate

Customs authorities is essential to ensure a smooth process.

Our dedication to excellence in managing inspections and documentation in customs clearance translates into greater peace of mind and confidence for you as an importer. You can trust us to protect the integrity of your products and ensure their safe passage through the complexities of the customs process.

Transportation and Distribution:

After successfully navigating all the hurdles of the importation and distribution process, cosmetic products are finally ready to embark on the last stage of their journey to their final destinations within the receiving country. In this crucial phase, transportation and distribution take center stage, playing an essential role in the timely and efficient delivery of your products to your customers. This stage must be managed with the utmost efficiency and professionalism, ensuring that your cosmetic products reach their final destinations in perfect condition and within the planned deadlines, depending on the negotiation term you chose with your supplier.

The transportation and distribution of cosmetic products can involve a variety of means and logistical resources, depending on factors such as distance, delivery urgency, and customer preferences. From using freight trucks for local deliveries to coordinating shipments or storage in strategically located distribution warehouses, we work closely with our clients to design customized transportation and distribution solutions that meet their specific needs and optimize supply chain efficiency.

Among the main distribution channels are:

Supermarkets/hypermarkets

The main distributors in the cosmetic sector in Colombia, alongside direct sales. The main chains are:

• Grupo Éxito (https://www.exito.com/)
• Olímpica (https://www.olimpica.com/)
• Jumbo (https://www.tiendasjumbo.co/)

Traditional stores

Small independent neighborhood stores are the most common format in Colombia, with a higher purchase frequency than supermarkets. They are characterized by their convenience and proximity.

Discount stores (Low-cost stores)

Colombian consumers show great interest in these establishments with low-price policies. That is why in recent years, private label products, including cosmetics, have increased.

• D1 (Grupo Koba) (https://d1.com.co/)

Beauty stores

After specialized food trade and direct sales, there are beauty stores whose sales share grows by almost 5% in the analyzed period. In recent years, new and innovative beauty store chains where the shopping experience plays a fundamental role have gained prominence.

• La Riviera (https://www.lariviera.co/)
• FEDCO (https://www.fedco.com.co/)
• CROMÁNTICO (https://www.cromantic.com/)
• CIEGO (https://www.blind.com.co/)

Pharmacies/parapharmacies

• Farmatodo (https://www.farmatodo.com.co/)
• Cruz Verde (https://www.cruzverde.com.co/)

Department stores

Department stores offer a wide range of national and international brand products arranged in departments and are located in the most important cities in the country.

• Falabella: The Chilean retail company had 26 stores in Colombia. However, in October 2022, it announced the closure of between 5% and 10% of them to strengthen the digital channel.

Arrival at Retailers:

After successfully overcoming all the obstacles of the importation and distribution process, makeup products finally reach their final destination: retailers or end consumers. This last leg of the journey is important because it is where your cosmetic products meet consumers eager to discover new trends and products that enhance their beauty and personal style.

When companies receive your makeup products, they can be a wide variety of establishments, from renowned department stores to specialized cosmetic boutiques or online selling platforms. Each of these channels offers a unique opportunity for your products to reach different consumer segments and meet a wide range of needs and preferences.

As an entrepreneur who has your retail cosmetics store, your makeup products have the opportunity to shine and captivate consumers with their quality, innovation, and style. From the shelves of a physical store to the pages of an online platform, your products are presented attractively to capture consumers' attention and tempt them to explore and experiment with your cosmetic products.

Here are some channels to enter the makeup world:

Direct selling

Three out of every ten cosmetics are sold in Colombia through direct selling or by catalog. Although catalogs offer diverse products, cosmetics are the best-selling category.

E-commerce

Following the massive growth of discount stores, e-commerce has become the most booming distribution channel for cosmetics in recent years. In 2021, online sales grew by 40.2% compared to 2020. For 2022, the Colombian Chamber of Electronic Commerce expects non-face-to-face sales to increase by 19% compared to 2021. The latest data has shown that the total online sales during the first quarter of 2022 were approximately 12.2 trillion COP, a nominal increase of 47% compared to the same period last year. This was revealed in a report by the Colombian Chamber of Electronic Commerce (CCCE).

• Mercado Libre (https://www.mercadolibre.com.co/)
• Linio (https://www.linio.com.co/)

Conclusion:

Behind every makeup product we use every day, there is a complex and carefully coordinated journey involving various parties, including cosmetics companies, customs agencies, and retailers. Understanding this process gives us a deeper appreciation for the effort and logistics required to bring these products from their place of origin to our hands.