Dec 14 , 2023

How to Start a Wig Boutique

How to Start a Wig Boutique

A wig boutique is a retail business that sells a wide variety of hairpieces and extensions. As a result, this type of business can be very profitable. However, it is important to understand the typical operating costs associated with running a wig boutique so that you can accurately predict your budget.

According to Statista, the hair wig and extension industry has grown significantly over the years and now boasts an estimated annual revenue of $69 billion. As such, many entrepreneurs are now exploring opportunities to open a wig boutique of their own. While a wig boutique requires a significant investment of capital, it can be a very profitable endeavor.

The e-commerce boom has made it easier than ever to find high-quality wigs, but that doesn't mean it's always easy to pick out the right style by peering at an image on your laptop screen. The trick is to buy from an e-tailer that offers real help, says Davidson, who regularly hops on FaceTime calls with Wigbar clients. "Go with a site that lets you communicate with someone via email or a chat feature," she advises. "Give the customer service rep your measurements, ask what they'd recommend, and ask lots of questions."

Whether you're dealing with alopecia or losing your hair due to chemotherapy, wigs are increasingly becoming a go-to option for women who want to enhance their appearance with a look that's both chic and convenient. In fact, some women even use wigs to save their damaged locks from chemicals, like dyes or hair straightening, which can cause serious damage over time.

In addition to offering a wide selection of readymade wigs, this three-generation family business carries a huge inventory of hairpieces and extensions, too. Stylists from around the country shop here for everything from short pixie bobs to long, flowing styles (synthetics $175-$500; hand-tied human hair $650-$2,000), plus braids, falls and buns.

While wigs are the primary focus at this Gresham store, Mehrholz and her team also offer men's hair pieces and toupees. Most of the customers come to her for a special occasion, but others, like cancer patients, simply need more thickness or fullness. In these cases, she will work with a client until they find a perfect fit.

Like any other type of small business, a wig boutique will have to pay for a number of fixed expenses, such as rent, monthly utilities and insurance. In addition, the business will likely incur other variable expenses, such as shipping costs and advertising.

Another crucial expense that many business owners forget to account for is maintenance and repair costs. Depending on the size of the establishment, these expenses can be substantial and can significantly cut into a boutique's bottom line.

To help reduce these expenses, it is essential that a wig boutique tracks its inventory carefully and keeps a close eye on the costs of shipping and handling. This will help the owner to keep the business in good financial standing and avoid potential losses.