Starting a handicraft business in India is quite profitable because of India’s vast diversity in art and culture. Many people all around the world visit India for its historical importance.
You can start a handicraft business in India in your local area as well, and it is in quite a demand these days because people hand-made things.
In this article, you will discuss the following topics:
- How to start a handicraft business in India
- How to promote this business
- Advantages and disadvantages of handicraft business
Let’s get started.
How to Start a Handicraft Business
Currently you may have seen many handicraft businesses ranging from recycled paper, flannel, to sawdust and seeds can also be used to make craft materials. Moreover, India are famous for their high creativity.
The main value of handicraft is not only seen in its functional aspects, but also the uniqueness and artistic value contained in it. Not only you see demand in the India, handicraft products from the country have also attracted buyers from abroad for a long time.
Talking about a creative business, here is how to start a handicraft business in India.
Determination of Target Market
Before starting any business, including the handicraft business in India, it is very important to determine the target market first. Handicraft products have their respective markets. And not all can be equalized just like that. By recognizing the target market, later you can determine the quality standards that must exist in your handicraft products.
Determining Marketing Strategy
The target market has been now determined. You already know who you are targeting for your product. Now is the time to determine the right marketing strategy for your handicraft buisness in India.
You have to make sure that the products you produce will be liked by the market later. This is intended to prevent production goods from piling up in the warehouse and shutting down your cash flow.
Financial Management
The third thing that must be prepared before starting a handicraft business in India is financial planning. Yes, it’s true, your business is still small. But with the right financial planning will grow your business.
Labor Requirement
Another thing you need to take into account is how many workers will help you. And how many hours of work it takes to get paid. Yes, labor issues are related to preparation, production methods, and financial planning.
Raw material
Raw materials are a crucial problem for the handicraft business in India. Look for a place where you can get a supply of raw materials, which are in accordance with the standards you have set. Because the quality of handicraft products is determined by the quality of the raw materials.
Handicraft Business Capital
The initial capital to start a business is not the same as other home-based businesses, which generally require a fairly large capital.
With limited and small capital you can start this handicraft business in India. Generally, the required capital ranges from 10,000 – 30,000 INR.
How to Promote Handicraft Products in India
Here’s how to market handicraft products:
1. Follow the Market
You can say, this method is the most popular way that is usually done by handicraft business people. Follow the market. In addition to introducing products, participating in the ‘Melas’ (that are held every year in different parts of India) will expand your relationship with other business people in the handicraft industry.
2. Website Promotion
Even though it is a small business, it is not impossible that in the future it can become big. And the website is one way to make the business wider in reach. If you don’t have an online store website, you can start right away by creating your own online store.
3. Using Social Media
We all agree that social media is currently the most powerful marketing tool. Due to the large number of active users with various backgrounds and ages. With social media, you can have wider interactions with various groups.
With social media, you can also choose the right community to market your product. So that what you offer has a greater chance of being sold.
4. Offering Products for Free
This is one of the most powerful ways to attract customers. Because the free ones are too dear to pass up. This strategy needs to be tried because consumers generally do not have the product because they have never tried it.
And because your business is a handicraft, one way to give potential customers a chance to try your products for free is at the bazaar or exhibition.
5. Choosing a Strategic Place
Handicraft business in India is very important to choose the right place to market your products. The marketing place for the handicraft business is a gallery to display the resulting products. Even though you already have social media and a website as a form of your presence in cyberspace, the gallery is important to confirm your existence.
6. Establish Good Relationships With Consumers
Loyal customers are a valuable asset for a brand. They will repeatedly purchased your product. One way is to provide incentives to customers. This incentive can be in the form of a discount for each particular purchase. You can also give discounts to customers who recommend your product to other people who buy your product.
7. Word of mouth promotion
Word of mouth is a very effective marketing method. If consumers are satisfied with your handicrafts, they will tell other people and recommend your products to them.
Advantages of Handicraft Business
As a creative business, handicrafts have several advantages, including the following:
A Business That Never Dies
Doing a handicraft business is a distinct advantage for you. Because from the analysis of this business, this business is a type that never ends.
Handicrafts can take the form of many things and there are always many who are looking for them. Therefore, this business is a type of business that will not die as long as it remains creative.
Innovation Speed
Like other home businesses, this business also requires a lot of innovation to attract customers. ‘
The advantages of this business in the speed of innovation make its product attractive that catches customer’s eye.
Creating Jobs
Opening a business in the field of handicrafts will automatically make you open jobs for other people. How not, in making it will definitely involve a lot of people.
Anyone can do it
Handicraft business is generally carried out by several people who have hobbies and expertise in this field. but it does not guarantee that only they can enjoy this success.
Those of you who don’t have the expertise can do the same thing if you have a big enough desire and interest. It could even be that the results will be better than the old one who pursues the hobby of making handicrafts.
Low Operating Cost
As a small-scale business, because it is still in the process of becoming big, the handicraft business will usually require very minimal costs
Weaknesses of Handicraft Business
Having advantages, of course, this business has several disadvantages that must also be considered:
Lack of Experts
Because it is still a home-based business, usually businesses in the craft sector do not require many employees.
It’s different if the home business starts to get crowded and many are ordering, then the need for experts is very important.
Employee Management
Because it has a smaller scope as a result, it will make employee management difficult.
The small size of the business makes the number of employees still small. However, from the lack of employees, it will be difficult if one job requires many people.
As a result, one employee can handle several jobs at once.
External Pressure
The pressure of a business does not have to come from within the business itself. Pressure can also come from outside.
For example, if you are stressed with the appearance and results of products from your competitors who previously only had smaller businesses.
As a result, you will not be maximal in doing your own craft. It would be better if the pressure was used as a trigger to do better.
Least Budget
In any business, the budget is an urgent matter and should not be delayed. Likewise with this handicraft service.
However, because it is still a home-based business, the budget required is not too much.
Short Time To Complete Needs
There are many needs in the handicraft business. However, all the equipment needed will usually be required to be complete in a relatively short time.
Also read:
- 14 Retail Business Ideas in India That Are Promising In 2021
- 19 Profitable Self-Employment Ideas for Nurses
This is intended so that time efficiency occurs from pressure from outside parties.
