I’ve had some emails from readers going a step further than asking about where to buy e-liquids with natural ingredients. Rather, they want to know how to sell e-liquids with natural ingredients and make a profit.
Well ladies and gentlemen, you’ve come to the right place. Although I don’t know everything there is to know about the e-juice business, I do have some tips I can offer you, like how to get really good e-juice for your shop at low prices.
How the E-Juice Economy Works
If you want to start making money selling e-liquids, first you need to understand how the supply chain works. A supply chain is basically the process of how a product is developed, all the way until it gets in your hands, the consumer.
The majority of good quality e-juice is developed by manufacturers in ISO 7 certified clean rooms and labs. These manufacturers source the ingredients needed to make e-liquids, like vegetable glycerin, propylene glycol, flavorings and nicotine, from individual suppliers of these ingredients. Manufacturers then use proprietary processes and recipes to make e-liquids, which are then branded, designed and labelled.
From there, a manufacturer either sells their e-liquids wholesale, or sells their e-liquids online, or both. This process is called distribution, as when sold wholesale or online, the e-liquids are shipped (distributed) to the retail shops (wholesale) or direct to consumer (retail).
If the manufacturer sells the products wholesale to retail vape shops, the vape shops then markup (increase) the price of the e-liquids to sell to customers in order to make a profit.
How You Can Get in on the Action
Now that you have an overall picture of the e-liquid supply chain, you can see where you want to fit in. You could be a manufacturer of e-juice, which would mean you need to start small by experimenting with flavors, nicotine and VG/PG in your home. There are DIY kits you can buy to see if you have some talent in creating some great flavors here. You can then sell the e-liquids you create in large quantities to vape shops, or if you’re just starting out you can create an online store and sell direct to consumers.
Another option for you is to open up a vape shop. This will require a larger upfront investment than starting off as a manufacturer, but if you find a good location and a good production and distribution partner, you can make a lot of bank. Some estimates are that the average vape shop makes over $100,000 a year in profit. This is due to the increasing demand for both vape products and vape education, two needs which vape shops satisfy well.
In this scenario, you would buy e-liquids in bulk orders from a manufacturer at low prices, like $5, and resell the e-liquids in your shop at higher prices, like $24.99.
There you have it – now go out there and have some fun and make some money!