How Much Does it Cost to Manufacturer Skincare Products

How Much Does it Cost to Manufacture Skincare Products?

Understanding how much products cost to manufacture is essential for pricing your products appropriately; ensuring your customers see financial value in your products, but also generating necessary profits to help you scale up and grab new opportunities.

So how much does it cost to manufacture skincare products?


Product development costs cover everything relating to creating your product, such as sourcing raw materials, designing a formula, packaging, and labeling. They also include the actual costs of formulation, and the labor involved in filling and packaging.

While it may appear more cost effective to undertake these activities in house, it’s important to remember that the initial costs of manufacturing equipment such as mixers and filling machinery, as well as the cost of sourcing raw materials from a supplier, can be a large upfront investment. Many beauty brands actually find it more cost effective to outsource formulation to an external manufacturer who already has the necessary equipment in place, and a pre-built network of trusted, affordable ingredient suppliers.


Working with a manufacturing partner can bring the cost-per-unit down from what it would cost to produce skincare products exclusively in house. The cost of producing skincare products with the help of a cosmetic manufacturer will vary by the company you select, the type of product you wish to create, and whether you opt for a customized formulation or a white label product. However, as a general rule, the cost of manufacturing skincare products with a manufacturing partner is between X and X.

When budgeting for the creation of a new skincare product, remember that product development is just one area. It’s also important to take into account business expenses and overheads, as well as any costs associated with marketing and sales. By taking the time to identify a cosmetic manufacture that meets your budget, you can help to ensure that your new venture into beauty and skincare is highly lucrative and profitable.