How to Start a Perfume Business in Australia: Step-by-Step Guide

This guide walks you through everything for you to open a perfume business — from your first spark of inspiration to seeing your bottles on Aussie shelves or in happy customers’ hands.

There’s something magical about a good perfume. It can lift your mood, spark memories, and even become part of your personal signature. If you’ve ever thought about creating your own perfume line, now’s actually a brilliant time to dive in — Australia’s fragrance market is growing, and more people are looking for niche, artisanal, and locally-made perfumes instead of big overseas brands.

Starting a perfume business might sound glamorous, complicated, or even a little intimidating, but with the right steps and a bit of creativity, it’s completely achievable. 

How to Start a Perfume Business in Australia: Step-by-Step Guide

Step 1: Learn the Basics of Perfumery

Before you start mixing oils and spraying testers, it’s essential to understand the craft behind a good fragrance. Perfumery is both an art and a science, and knowing the basic structure of scents will save you a lot of trial and error.

A perfume generally has three layers:

• Top notes: The initial scents you smell immediately after application. They are usually fresh, light, and volatile — like citrus, herbs, or light florals.
• Middle notes: Also called the “heart” of the perfume, these emerge after the top notes evaporate and define the character of the fragrance. Common middle notes include florals, spices, and fruity tones.
• Base notes: The long-lasting scents that anchor the perfume. Think musks, woods, amber, and vanilla — these provide depth and longevity.

Experimenting with essential oils and fragrance oils is a great way to learn. Aussie suppliers like New Directions Australia and Aussie Candle Supplies offer starter kits that let you test blends before scaling up.

While you don’t need a chemistry degree to start, you do need patience, curiosity, and a good nose. Keep notes of every formula and pay attention to how the scent changes over time — a perfume can smell different after 5 minutes, an hour, or even a few hours.

Step 2: Find Your Unique Selling Point (USP)

The perfume world is crowded, so finding what makes your brand stand out is crucial. Ask yourself:

• Will your perfumes use natural ingredients or synthetic molecules?
• Are your bottles and packaging eco-friendly or refillable?
• Who is your target audience — young professionals, luxury buyers, or niche collectors?

Some Aussie brands have nailed their USP beautifully:

• Goldfield & Banks: Celebrates native Australian botanicals like sandalwood, boronia, and wattle, combining local inspiration with luxury aesthetics.
• Recreation Beauty: Focuses on vegan, cruelty-free fragrances with a minimalist, beachy vibe.

Your Uniquer Selling Proposition can also be storytelling-based — people love knowing the story behind the scent, whether it’s inspired by a specific Australian landscape, a mood, or an emotional experience. Your USP isn’t just about ingredients; it’s the feeling your brand evokes.

Step 3: Research the Market

Before investing time and money, it’s essential to know your market. Understanding competition, customer preferences, and pricing will save you headaches later.

• Which brands are performing well in Australia?
• What price points are customers comfortable with?
• Are people buying perfumes online, in stores, or both?

It’s also smart to identify a gap in the market. Maybe there aren’t enough long-lasting perfumes under $100, or not enough Australian-made unisex fragrances.

You can test demand through small online surveys, Instagram polls, or by giving samples to friends and family to get honest feedback.

Learn from Successful Australian Perfume Brands

One of the most effective ways to research is by studying brands that are thriving locally:

• Goldfield & Banks: Native botanicals, sophisticated presentation, globally recognised.
• Recreation Beauty: Vegan, cruelty-free, minimalist, with an emphasis on lifestyle.
• Leif: Clean, modern design celebrating Australian landscapes.
• Map of the Heart: Storytelling-focused, with sculptural bottle design and a strong niche following.

By observing these brands, you’ll understand how Australian perfumes combine authenticity, design, storytelling, and market positioning to stand out. Take notes on what works and consider how your own brand can offer something unique.

Step 4: Develop Your Signature Scents

Creating your fragrances is where the fun begins. Start with 2–3 core scents before expanding your line.

Tips for developing:

• Experiment with ratios of top, middle, and base notes.
• Track how scents evolve over time — short, medium, and long wear.
• Record formulas meticulously — every drop counts.

Popular Scents Right Now

Trends matter — they show what people are currently loving. Right now in Australia:

• Warm, woody, and amber notes: Sandalwood, cedar, patchouli. Sophisticated and grounding.
• Sweet and gourmand notes: Vanilla, caramel, cherry — often combined with musk or spice for depth.
• Fresh green and fruity notes: Berries, peach, citrus, and botanicals for light, modern scents.
• Gender-neutral fragrances: Increasingly popular, appealing to anyone rather than being boxed into “men’s” or “women’s” categories.

Keeping an eye on these trends can help you craft perfumes that feel modern while staying true to your brand identity.

Step 5: Look Ahead — Scents to Watch for 2026

If you want to be ahead of the curve, it pays to consider future trends. Experts predict that 2026 will bring:

• “Salty skin” and mineral-citrus scents: Fresh, beachy, and skin-like with subtle musks.
• Elevated creamy gourmands: Pistachio, strawberry milk, and tea-inspired notes — comforting yet refined.
• Green-botanical and tea blends: Herbs, green fig, and light woods for unisex, modern appeal.
• Inclusive, gender-neutral blends: The line between men’s and women’s scents continues to blur.
• Sustainability and storytelling: Consumers will increasingly value ethical ingredients, eco-conscious packaging, and brand authenticity.

Including one or two fragrances aligned with these cues can help position your brand as forward-thinking and trend-savvy.

Step 6: Source Ingredients and Packaging

Reliable suppliers are critical. In Australia, some popular options include:

• New Directions Australia: Essential oils and cosmetic bases.
• Aussie Candle Supplies: Fragrance oils and packaging materials.
• Centaur Packaging: Bottles, boxes, labels.

Consider the type of packaging that reflects your brand — luxury, minimalist, or playful. Small roll-ons can attract customers looking for travel-sized, affordable options. Always ensure your ingredients and packaging comply with Australian safety standards, especially for retail sale.

Step 7: Register Your Business and Meet Legal Requirements

Starting your own perfume brand is not just about creating beautiful scents but also about getting the legal side right. Here is what you need to know.

1. ABN (Australian Business Number)

An ABN is essential if you want to operate legally and issue invoices and claim tax deductions. You can apply for one for free through abr.gov.au.

Tips:

• Even if you start small having an ABN makes it easier to deal with suppliers and sell online.
• If you plan to sell wholesale to other retailers later you will definitely need one.

2. Business Structure

Your business structure determines your legal responsibilities and taxes and affects personal liability.

• Sole Trader: This is simple to set up, low cost, and you report business income on your personal tax return which makes it great for starting small.
• Pty Ltd (Private Company): Offers protection for your personal assets and may look more professional if you plan to attract investors or scale up.

Tip: Many perfume startups begin as sole traders and move to Pty Ltd once the brand grows.

Bonus Resources:

Limited vs Unlimited Liability

Sole Trader vs Company

3. Business Name Registration

If your brand name is not your personal legal name you must register it with ASIC.

Things to consider:

• Check for existing trademarks or similar names so you avoid legal headaches.
• Keep it simple and memorable and make it easy to spell which helps for online search and branding.

4. Trademark Your Logo and Brand

Trademarking protects your brand and logo from being copied and it is done through IP Australia.

Tips:

• Even if you are small trademarking your brand early can prevent future disputes.
• You can also trademark your product names if you want exclusive rights.

5. Labelling Requirements

Australia has strict labelling laws for cosmetics and perfumes. Each bottle must include:

• Ingredients
• Batch number
• Safety information if relevant
• Your business contact details

Tip: Clean and attractive labelling not only complies with the law but also boosts brand image.

6. AICIS Registration

If you are importing fragrance chemicals or creating new blends using certain substances you must register with AICIS (industrialchemicals.gov.au).

Tips:

• If you source ingredients locally from compliant suppliers you might not need to register.
• Always double-check because penalties for non-compliance can be costly.

Step 8: Build Your Brand Identity

Your perfume brand isn’t just about scents — it’s about the story, feeling, and aesthetic you create.

• Design cohesive logos, labels, and packaging.
• Develop brand colours and fonts that resonate with your vibe.
• Craft descriptions that evoke emotion — don’t just list notes.

Example: Instead of “a floral scent with citrus notes,” try:

“A breezy summer afternoon captured in a bottle — light, fresh, and softly floral.”

Step 9: Test and Refine

Feedback is gold. Give samples to family, friends, or small focus groups, and ask:

• How long does the scent last?
• How does it feel on the skin?
• What emotions or memories does it evoke?

Even minor tweaks can improve the final product dramatically. Taking time to refine before launch makes your brand look professional and ensures customers return.

Step 10: Set Up Production

Once formulas are final, you can either:

• Produce small batches yourself, or
• Work with a perfume manufacturer for scalable production.

Australia has several contract manufacturers catering to indie brands. Outsourcing is cost-effective if you plan to expand, but always test samples and perform quality checks before committing.

Step 11: Price Your Perfume

Pricing should cover costs while aligning with brand positioning. Consider:

• Ingredient and packaging costs
• Manufacturing and shipping
• Profit margin (50–70% typical)
• Target market expectations

Boutique Australian perfumes usually range from $90–$180 for 50ml. Offering smaller bottles (15ml or 30ml) makes your products more accessible and attractive to first-time buyers.

Step 12: Find How to Sell

Where you make and sell your perfumes affects costs and convenience, and also impacts brand perception.

1. Home Studio

This is low overhead and flexible and it is ideal for small batches or testing formulas. It is perfect if you are just starting or working part-time.

Tips:

• Set up a dedicated ventilated space so you avoid cross-contamination of scents.
• Keep supplies organised and maintain strict hygiene standards.

2. Commercial Studio or Warehouse

You need this for larger-scale production and storage, and you can expect rent around $250–$600 per week, depending on size and location.

Tips:

• Choose a space with temperature control so the fragrance's integrity is protected.
• Make sure there is enough room for labelling, packaging, and inventory.

3. Retail Store or Pop-Up Shop

This is great for connecting directly with customers and showcasing your brand. Markets, boutiques, and shopping strips work well for indie perfumes.

Tips:

• Pop-ups can be short-term which allows you to test different locations before committing to a permanent store.
• Engage customers with in-store sampling experiences so they feel involved.
• Get a POS system that is affordable, reliable and handles peak times. 

4. Online-Only Store

This option has minimal overhead and national reach, and it can be combined with pop-ups for brand visibility.

Tips:

• Invest in quality product photography and clear descriptions so customers understand exactly what they are buying.
• Include free or low-cost sample sizes to entice first-time buyers.
• Invest in an online store to power up your business. 

Step 13: Market Your Perfume Brand

Marketing is key. Effective strategies include:

• Social media marketing: Instagram, TikTok, and Pinterest are visual platforms perfect for perfumes.
• Influencer collaborations: Micro-influencers can give your brand authentic exposure.
• Pop-up markets: Local markets in Melbourne, Sydney, or Brisbane connect directly with customers.
• Sampling campaigns: Offer small vials with purchases or giveaways.

Sharing behind-the-scenes content builds authenticity and loyalty. Aussies love supporting local makers who are open and genuine.

Step 14: Scale Your Business

Once you gain traction, consider:

• Launching candles, diffusers, or complementary products.
• Collaborating with local designers or lifestyle brands.
• Exploring export opportunities to Asia or Europe.

Scaling doesn’t have to mean losing your artisanal touch — the key is growing thoughtfully while staying true to your brand identity. For example, you could release seasonal limited-edition fragrances or special gift sets that complement your core line.

Step 15: Keep Learning and Innovating

The perfume industry is always evolving. Consumer tastes change, new ingredients become available, and trends come and go. To stay ahead:

• Attend industry events like the Australian Beauty Expo or local fragrance workshops.
• Follow global scent trends — even international patterns can influence the Aussie market.
• Collaborate with other creatives, like perfume chemists, designers, and marketers.
• Listen to customer feedback — repeat buyers often know what works best.

Continuous learning will help you refine your products, innovate with new scents, and build a brand that lasts.

Step 16: Consider Sustainability

Sustainability is not just a trend — it’s becoming a consumer expectation. Australians increasingly care about:

• Ethically sourced ingredients (native botanicals, cruelty-free testing).
• Eco-friendly packaging (recyclable bottles, refillable sprayers).
• Transparent production (sharing the story of where ingredients come from).

Even small actions, like using recycled packaging or highlighting local ingredient sourcing, can make your brand more appealing and trustworthy. Sustainability also adds a layer of storytelling — customers want to feel good about what they’re buying.

Step 17: Create Memorable Experiences

A perfume isn’t just a product — it’s an experience. Think about how your customers interact with your brand:

• Unboxing experience: Beautiful packaging, little notes about the scent or the inspiration, and small freebies can make a big impression.
• In-store experiences: If selling in boutiques or pop-ups, allow customers to smell, layer, and test fragrances.
• Workshops or events: Hosting perfume blending sessions or scent storytelling events can build loyalty and brand community.

Memorable experiences turn first-time buyers into long-term customers.

Step 18: Expand Your Reach

Once your brand is established locally, consider ways to grow further:

• Wholesale partnerships: Collaborate with local boutiques, spas, or lifestyle stores.
• Subscription boxes: Monthly fragrance deliveries are increasingly popular for discovering new scents.
• Collaborations: Partner with influencers, artists, or other brands for limited-edition scents.
• Export opportunities: Australian-made products are highly valued overseas, especially in Asia and Europe.

The goal is to diversify your revenue streams while keeping your core brand values intact.

Step 19: Track and Measure Success

Like any business, you’ll want to monitor performance:

• Track sales trends — which scents and sizes sell best? A retail POS system can help you.
• Analyse customer feedback for improvements.
• Monitor marketing campaigns to see what drives engagement and conversions.
• Keep an eye on inventory levels and production costs to maintain profitability.

Data-driven decisions help you refine products, identify opportunities, and avoid costly mistakes.

Step 20: Final Tips for Aspiring Perfume Entrepreneurs

Here are some extra nuggets of advice for Aussie perfume makers:

• Start small but think big: Launch a few signature scents before expanding.
• Invest in quality: Ingredients, packaging, and product branding matter — people notice.
• Tell your story: Customers love brands with personality and a compelling origin story.
• Stay flexible: Retail trends change, so be ready to adapt without losing your core identity.
• Network: Connect with suppliers, other small business owners, and local communities — collaboration often leads to opportunities.

Understanding Profit Margins and Costs

Knowing your costs and expected margins is crucial before launching so you can price your products correctly.

Production Costs

For a 50ml perfume bottle typical costs include:

• Ingredients $4–$10
• Bottle and cap $3–$6
• Packaging $2–$5
• Label $0.50–$1
• Labour $2–$4
• Overheads $1–$3

Total: Around $12–$25 per bottle

Retail Price

• Indie perfumes sell for $60–$120
• Premium niche perfumes sell for $120–$180 and up

Tip: Pricing should reflect quality and brand positioning and it should match market expectations.

Gross Margin

• Direct-to-consumer online or in-store is typically 50–80%
• Wholesale is lower at 30–50%

Tip: D2C sales maximise margin, but wholesale can increase volume. Monitor marketing, shipping, and overheads so your profit stays healthy.

Conclusion

Starting a perfume business in Australia is an exciting journey that blends creativity, entrepreneurship, and a love for fragrance. From learning the basics of perfumery to creating signature scents, registering your business, sourcing ingredients, building your brand, marketing, and scaling — each step is an opportunity to express yourself and connect with customers.

By keeping an eye on current and future trends, studying successful Australian perfume brands, prioritising sustainability, and delivering memorable experiences, you can carve out your own niche in the Aussie fragrance market.

Remember, success doesn’t happen overnight, but with patience, dedication, and a little nose for opportunity, your perfume business can flourish — creating scents that people will love, remember, and keep coming back for.

Note: All the costs, margins, and legal steps mentioned here are estimates only and should be treated as a general guide. Requirements can vary depending on your location, scale, and individual circumstances, so it is strongly recommended to consult a qualified lawyer, accountant, or business advisor before making final decisions to ensure compliance and accurate financial planning.