Are you passionate about fashion and looking to start your own business in the hair accessories field? Are you planning to start a scrunchie business?
Good! You are in the right place to learn.
The global hair scrunchie market is rising as fashion trends increase.
The market was valued at US$2.2 billion in 2022 and is expected to reach US$4.2 billion by the end of 2031, with a growing CAGR of 5.9% from 2023 to 2031. Source
In this post, we’ll discuss the essential steps (market research, different business models, sourcing material, branding, production, packaging, marketing, selling, etc.) to kickstart the business from scratch.
The year 2024 is the right time to get into the world of the scrunchie business.
So, if you are looking to get started, let’s dive into the steps.
Is Scrunchie Business Profitable?
Yes, the scrunchie business is profitable, considering its growth potential and the current market trend, as you can see in the Google trend infographics here. The trend is stable.
Suppose you are a housewife, a student, or just a person who wants to start a startup. So, the business of making scrunchies can be profitable for you.
The business does not require any special skills, but you should have some basic making, managing, and marketing skills.
- Proper market research
- A unique strategy
- A strong focus on product quality
With a good team, you can easily scale your business.
When you consider starting a scrunchie business, you should consider both pros and cons. The given basic points can help you to make your decision better.
- High market demand
- Low entry barrier
- Niche market
- Good profit potential
- Started from home
- Low inventory required
- Easy to sell online
- Competition can be high
- Low profit margins
- Supply chain issues
- Time commitment
How To Start A Scrunchie Business? Simple Steps
1. Best way to start a scrunchie Business
Choose a business model to start; there are four main ideas (manufacturing, wholesale, retail store, and e-commerce or online store).
Making a scrunchie and setting up a wholesale line can be profitable if you are looking to start with large production and distribution operations.
However, the other two ideas are for small-scale operations; you can set up an online store or an offline retail store.
Choose the business model that is best suited to your goals, budget, and market (competition, demand, resources, and skills).
Business Model 1: Manufacturing
The concept of a manufacturing scrunchie is to produce scrunchie in large quantities and sell them to other businesses at wholesale prices.
To set up a manufacturing line, the requirements you need (raw material, equipment, sewing machine, and some basic sewing tools).
The process of making a scrunchie requires proper sewing skills, knowledge of different types of fabric, and designing skills.
If you want to manufacture scrunchies and sell them, the advantages are (good profit margin, creativity freedom, and the ability to sell in bulk to wholesalers, retailers, and individual customers).
Still, there are some disadvantages; the startup cost can be significantly high (for buying machinery and raw materials, as well as hiring staff for production).
Business Model 2: Wholesale
The wholesale business model is buying products from manufacturers at a wholesale price and then selling them to individuals, retailers, and hair accessories stores.
Requirements you need to set up a wholesale business are good supplier or manufacturer connection, store space for inventory, and marketing skills for selling the scrunchies.
The advantages are a less upfront investment and no need to worry about the product quality; your supplier will be responsible for that.
However, buy high-quality scrunchies from the manufacturer (check the quality and quantity, compare the pricing of different manufacturers, and order trending designs).
Disadvantages: Lower profit margins, limited offers from suppliers, and high competition.
The basic difference:
|Business model||Target customer||Sourcing|
-Hair accessories stores
|Manufacturing||-All of the above |
-With individual consumers
|-Raw materials suppliers|
Retail scrunchie store
A retail scrunchie store is a physical store where you can sell scrunchies and other hair accessories products, find a high potential location (near malls, shopping centers, high streets), and open your store.
Starting an Ecommerce store
Another popular way is to set up an e-commerce scrunchie store online, where customers can browse your products, select them, and place an order.
There are two best ways to set up online stores (one is to create your own website, and the other is to create a store at popular online e-commerce marketplaces).
Find the best place to set up an e-commerce store.
- To create your e-commerce store, you can use Shopify or WooCommerce+Wordpress.
- To create an e-commerce store, consider eBay, Etsy, and Amazon.
Other requirements are purchasing inventory, setting up shipping, and marketing the store.
|Retail Store||-High customer engagement |
-Potential for high profits
-Direct customer interaction
|-High startup costs |
|Ecommerce Store||-Low startup costs |
|-High competition |
-Low customer engagement
-Shipping and fulfillment costs
2. Know your audience
It is important to find out who your ideal customer is for buying scrunchies. Analyze potential customers and learn their needs, interests, and preferences, considering demographics.
As evidenced by stable online search volume, the scrunchie search trend is stable and evergreen with year-round demand.
To conduct market research, you can:
- Analyze online sales reports.
- Monitor social media
- Review industry growth data.
- Use Google Trends to track market trends
- Analyze local businesses
Potential target customers are:
- Women of all ages
- Teenage girls
- People with long hair
- Athletes with long hair
- People looking for hair accessories
- Dance and gymnastics enthusiasts
To conduct in-depth research on the market, you can follow the given steps.
3. Write a scrunchie Business Plan
As other businesses require a plan, in the same way, to start a scrunchie business, you need to create a plan, which is an important step.
To create a plan, add the complete details of your business goal, action plan, strategy, how much initial investment is needed, marketing plan, and other considerations.
Having a thoroughly researched plan for your business can help you reach the target and become successful.
A plan should include the given points:
Find templates online for more information about business plan writing. Explore different sources online, such as small business administration and Bplans.
4. Setup a Manufacturing Process
Making a scrunchie is a simple process; you can make it by hand with a sewing machine. Business requires a large production process, so it is important to consider a sewing machine.
Let’s discuss the process and requirements.
#Step 1: Learn how to make scrunchies
To learn scrunchie making, you can:
The great way is to learn yourself and get hands-on experience; practice is important to improve productivity.
#Step 2: Set up a manufacturing space
Setting up a scrunchie business from home is a good option, but renting or buying a commercial space is a better choice.
When you consider a location, you must check the facilities (electricity, transportation, proper manufacturing space, and workforce) that should be available.
Different business models, such as manufacturing and wholesale, may have different location requirements, so always focus on those things.
#Step 3: Purchase equipment and raw materials
There are wide varieties of scrunchies, and the making process remains the same, but the design and fabric used differ.
You can make all kinds of scrunchies and sell them according to customer demand.
Equipment and raw materials are needed to make scrunchies:
- Buy different types of fabric: Cotton, Fleece, Rayon, Silk, Velvet, etc.
- Material: Elastic bands, thread.
- Equipment: Scale, Loop Turner, Tape measure, Fabric scissors, and Needles.
- Machine: A Sewing machine
You can purchase the equipment and raw materials from online or local craft stores.
Before buying anything, research their pricing, compare the price, read reviews, check buyer comments, and ask for recommendations.
#Step 4: Make scrunchies
- The scrunchie-making process is very easy.
- First, cut the fabric into strips of the desired size.
- Then, sew the strips together to form a tube.
- Insert an elastic band into the tube and sew the ends together.
- Trim any excess fabric or elastic.
Watch the video to learn the making process;
#Step 5: Package and label your product
To successfully market the product, it must be well packaged. So, once your scrunchies are made, you need to package and label them for selling.
When packaging the scrunchies, include your logo, website details, email, social media ID, and a brief description of the product.
For packaging, you can use bags or boxes.
5. How much does it cost to start a scrunchie Business?
It is easy to calculate the startup cost of the scrunchie business; it does not require much investment, and you will be able to start it from home with less budget.
Starting the business required around $1,000-$2,000 on average, including raw materials, equipment and tool costs, machines, online presence, website setup, etc.
6. Develop A Marketing Strategy
Create an effective marketing strategy to promote your scrunchie business in the competitive fashion accessories industry.
Some of the most popular marketing methods are:
- Create a website
- Search Engine Optimization (SEO)
- Social media accounts
- Online advertising
- Email marketing
- Collaborate with influencers
By following those marketing methods, you can easily promote your scrunchies.
7. Create a website for your business
To set up a professional website, you will need some important requirements.
Step 1: Buy a domain name:
- Having a domain name is the most important part of creating a website.
- Domain name is the address of the website; choose a unique name.
- Register your domain with the best domain name registrar, such as Namecheap.com or GoDaddy.com.
- The price is around $8-$10.
Step 2: Buy Hosting:
- Once you buy a domain, then buy good hosting, which gives you good server speed and an affordable price.
- Choose a hosting service according to your needs (shared, cloud, or VPS hosting).
- The most popular hosting companies are BlueHost, Hostinger, SiteGround, etc.
Step 3: Set up your website:
- Set up yourself; if you have the skills to develop a website, on the other hand, hire a web developer or freelancer.
- Add all types of information to your website (contact information, product details, pricing, etc).
Step 4: Create essential pages:
Step 5: Promote your website:
- To promote your store, optimize your website for search engines (SEO), use social media marketing, content marketing (publishing blog posts), etc.
8. How To Sell Scrunchie Online?
The concept of selling products online is that you can reach a wider audience of potential customers.
Key benefits of online selling:
Setting up an online sales strategy enables you to tap into the global marketplace, whether you want to sell through your own online store or an E-commerce platfrom.
Selling scrunchies online requires a proper strategic approach and a good understanding of online selling and the target market.
Let’s follow the steps.
#Step 1. Understand Your Target Customer
First of all, understand your target market.
Who are you selling your scrunchies to?
Are they teenagers, young adults, or fashion-conscious women?
Once you know your target customer, that helps to create a marketing and branding strategy accordingly.
#Step 2. Choose the Best Online Platform to Sell
For selling scrunchies online, there are many different platforms available, such as Etsy, Amazon, Shopify, and Flipkart (India).
When choosing a platform, consider your budget, target market, and product.
#Step 3. Create a User-Friendly Website or Online Store
After selecting a platform, create a user or SEO-friendly website.
Your website or online store should be easy to navigate and visually appealing.
Write a clear description of your products, and add high-quality photos, pricing, features, and buying options.
#Step 4. Promote Your Scrunchies
There are many different ways to promote your scrunchies online, such as social media marketing, email marketing, and paid advertising.
You can also reach out to fashion bloggers and influencers to see if they would be interested in featuring your products with their audience.
9. How do you sell Scrunchie on Instagram?
Selling your scrunchies on Instagram is the best decision.
Instagram is the perfect platform to promote your hair accessories products.
In the current scenario, most young youth (including girls) are active on Instagram, and they share their stories and photos.
On the way, you can also build your identity or branding, which can help you sell scrunchies on this platform.
Before starting Instagram marketing, you should learn some basic things, which are mentioned below.
FAQs [Frequently Asked Questions]
Here are some frequently asked queries related to the scrunchie business; we mention the answers in short sentences, so check them.
What Should I Name My Scrunchie Business?
You can choose some attractive, short, product-related, web-friendly, unique names such as Scrunchies Galore, miss Scrunchie, Scrunchchie Couture, Scrunchchie Love Club, Scrunchchie Collective, etc.
What Are The Different Types Of Scrunchies?
Casual, Ruffle, Cotton, Slip, Fleece, Velvet Scrunchies, etc.
How to sell Scrunchie online?
There are many ways to sell scrunchies online, including selling through online websites and social media platforms like Instagram and Facebook, creating your own e-commerce store, etc.
How Much Does A Scrunchie Cost?
On Amazon, the price of 1 scrunchie set starts from $5 to $20. A pack holds 12 pieces, and their price can be different, depending on quantity.
Is The Scrunchie Business Profitable In India?
The scrunchie business in India is profitable due to high demand and growth, but competition is increasing, and the market is saturated.
Where Can You Buy Scrunchie Wholesale?
You can buy scrunchies at wholesale prices from various sources such as online marketplaces like Alibaba, Etsy Wholesale, or Amazon Business. Also, you can directly contact manufacturers, wholesalers, or distributors.
How Can You Find the Right Supplier for Scrunchie Supplies?
To find the right supplier for scrunchie supplies, search online directories, attend trade shows, network with industry professionals, and compare pricing, quality, and shipping policies from different suppliers before deciding.
How Much Does the Average Scrunchie Wholesale Cost?
The cost of scrunchies wholesale can vary depending on the material, design, and quantity purchased. On average, the cost per piece can range from $1 to 10 dollars. It’s best to compare prices from different suppliers and negotiate for discounts to get the best deal.
How Much Should I Charge For Scrunchie?
Remember, scrunchies are relatively inexpensive, with a retail price range of $5-$15 and 6-12 per pack. Charge 2-3 times the cost of your Scrunchie to cover costs and make a profit.
Starting a scrunchie business is a great way to make an active or passive income source.
To successfully launch your business, you must understand the requirements, such as equipment, raw materials, packaging, a unique business name, and an online marketing strategy.
Hopefully, you have enjoyed this guide, and the post has provided valuable insights for your journey. If this information is helpful, please let us know by leaving your feedback below.