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Cosmetic business on the downturn as patronage drops 

Cosmetics Psoel1 Beauty products

Thu, 1 Dec 2022 Source: thebftonline.com

The gradual increase in prices of goods across the country has left dealers in the cosmetics business within the Tema Metropolis worried about the resultant low level of patronage and sales of beauty essentials.

Vida Acquah, a cosmetics dealer in Tema Community One, told the Ghana News Agency in an interview that the general increment in the prices of goods and services had affected the sale of body creams and other skin products.

“We buy from wholesalers at high prices and therefore we also add little amounts as profit. A Nivea body spray at the wholesale end is pegged at GHc20.00 and sold at the retail end at GHc25.00 after factoring in other costs involved to get the product to the customer,” Madam Acquah stated. 

She debunked a growing feeling within the public sphere that retailers were the cause of the frequent price increment, stressing that retailers depend on what wholesalers offer which also depend on taxes and foreign exchanges.

Madam Kate Hayford also a dealer in beauty essentials noted that skincare products had an expiring date and due to the low patronage, most of the products get expired.

“There are some facial products that have expired because the demand for them is low, and people complain about the price. These products go waste, and no profit is made, we are in hot times,” she said.

Madam Hayford noted that even though some products expired in the long run and people do not buy body essentials like they used to, “we are losing our investment.” 

Benedicta Lumour another dealer also said that Rexona roll-on which used to be sold at GHC25 just about two weeks ago now sells at GHc28 and Ever Sheen body cream which was sold at GHC20 is now sold at GHC25.

Other dealers in cosmetic products also noted that the profit margins on their product at the retail stage is small but unfortunately, they are at the receiving end losing their capital dwindles day by day. 

Source: thebftonline.com
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