Starting a Perfume Shop with Lattafa, Armaf & Co.: How to Get It Right

Arabic perfumes from brands such as Lattafa, Armaf, Afnan and French Avenue are in high demand with many customers. That makes them an attractive proposition for founders, established retailers and online shops. This guide shows you step by step what you need to get started, how to build a range and which mistakes to avoid.

Note: this article gives a general overview and is no substitute for legal or tax advice.

1. Choose your business model

  • Bricks-and-mortar store or perfumery: Customers can try before they buy. Testers and good advice make the difference here.
  • Online shop: A wide reach, but more mandatory information and more competition on price.
  • Marketplaces: A quick start, but fees and often extra approvals for branded goods.
  • Add-on range: Barbershops, beauty salons, fashion stores and kiosks round out their offer with a small selection.

2. The legal basics at a glance

  • Register your business: Anyone selling perfumes on a regular basis normally needs a registered business. Settle VAT and bookkeeping with your tax adviser.
  • Packaging Act: Anyone placing filled packaging on the German market must register in the LUCID packaging register. This also applies to the shipping boxes you pack yourself. For that packaging you additionally need a contract with a dual system.
  • Mandatory information in your online shop: Legal notice (Impressum), terms and conditions, privacy policy and, for sales to private customers, a withdrawal policy.
  • Unit price: Under the German Price Indication Ordinance you state the price per litre alongside the final price.
  • Product safety (GPSR): Since 13 December 2024, every online listing must carry manufacturer details, a responsible person in the EU where the manufacturer is based outside the EU, product identification and warnings. You receive the documents from your wholesaler. Read more in our guide How to recognise authentic perfume.

3. Advertising without the risk of a warning letter

Many Arabic fragrances are compared online with well-known designer perfumes. In your own marketing that is risky. In 2009 the European Court of Justice ruled (Case C-487/07, L’Oréal/Bellure) that comparison lists presenting a fragrance as an imitation of a branded perfume can be unlawful. So describe your fragrances in your own words: fragrance family, top, heart and base notes, occasion and season. Avoid wording such as “smells like” or “dupe of” alongside third-party brand names.

4. Build your starter range

At Rimaal you order from €390 net and a minimum of 3 units per fragrance. A starter range of 12 to 15 fragrances is a sound framework. Here is how to plan it:

  1. Well-known classics: Fragrances customers ask for by name, for example Lattafa Khamrah, Lattafa Asad, Lattafa Yara, Armaf Club de Nuit Intense Man, Afnan 9 PM or Rasasi Hawas.
  2. Mix the fragrance families: Sweet gourmand scents, oud and woody scents, fresh scents for summer and the office.
  3. Cover every target group: Roughly equal numbers of women’s, men’s and unisex fragrances.
  4. Add new releases: Two or three new fragrances keep your range interesting.
  5. Use exclusive brands: Brands such as Le Falconé, Saleel, Camara Perfumes, Amaran and Le Bonheur are available exclusively at Rimaal. They set you apart from other shops.

You will find an overview of all brands on the Our Brands page.

5. Calculate properly

Work through every fragrance individually. A sample calculation with fictional figures:

Purchase price (net) €12.00
Retail price (gross) €34.90
Retail price net (excluding 19% VAT) €29.33
Gross profit per unit €17.33 (around 59% of the net retail price)

Further costs come off that gross profit: shipping to your customers, packaging, payment fees, marketplace fees, advertising and testers. Also allow for the fact that some fragrances will sell more slowly. You will see your actual purchase prices and volume discounts in your customer account once it has been approved.

6. Shipping to your customers

Perfume usually contains alcohol and counts as a flammable liquid in transport (UN 1266). Within Germany, goods of this kind may be sent in limited quantities with DHL Paket. Stricter rules apply to international shipping and air freight. Check the terms of your carrier and pack against breakage, for example with cushioning material and sturdy boxes.

7. Present your products well

  • Clean product photos on a white background
  • Fragrance family, top, heart and base notes, concentration and size
  • An indication of whether the fragrance is for women, men or unisex
  • EAN, unit price and GPSR details
  • Testers in store, or fragrance descriptions that make customers want to try it

Take care with decanting: Anyone decanting perfume into smaller bottles alters the product. You may then count as the responsible person under the EU Cosmetics Regulation yourself, with all the duties that entails. Decanting can also raise trade mark questions. Have this checked legally in advance.

Checklist: your own perfume shop in 10 steps

  1. Decide on your business model
  2. Register your business and settle the tax questions
  3. Register in the LUCID packaging register and license your shipping packaging
  4. Have the legal texts for your shop drawn up
  5. Apply for a wholesale account with Rimaal
  6. Plan a starter range of 12 to 15 fragrances
  7. Calculate every fragrance
  8. Create product pages with fragrance notes, unit price and GPSR details
  9. Test shipping and packaging
  10. Review your sales and reorder bestsellers in good time

Frequently asked questions

How much start-up capital do I need for a perfume shop?

For stock at Rimaal, at least €390 net per order. On top of that come the costs for your shop, legal texts, the packaging licence, shipping material and advertising.

How many fragrances should I offer at the start?

12 to 15 fragrances with 6 units each are a good start. That covers different fragrance families and target groups without tying up too much capital.

May I compare my fragrances with designer perfumes?

That is risky. Following the European Court of Justice ruling in Case C-487/07, comparison lists presenting a fragrance as an imitation of a branded perfume can be unlawful. It is better to describe fragrances by their own fragrance notes.

Can I ship perfume with DHL?

Within Germany, perfumes may be sent as a flammable liquid in limited quantities with DHL Paket. Stricter rules apply to international shipments.

Ready to get started? Apply for your wholesale account now and view the terms. You will find buying tips in our guide Buying Arabic perfumes wholesale.


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