Most founders assume fragrance costs live in the formula. They don’t.
Modern fragrance production happens in three distinct layers:
1. The Scent Formula
Most fragrances today are 70–90% synthetic, created by major fragrance houses that control molecules, compliance, and performance testing. Development fees can run $10k–$100k+, and concentrate MOQs often start at 20–50kg.
2. Contract Manufacturing
Fillers blend the concentrate with alcohol, fill bottles, label, and assemble units. MOQs typically range from 1,000–10,000+ units, with fill costs between $2–$8 per unit depending on complexity.
3. Packaging (The Real Cost Center)
Packaging regularly accounts for 40–60% of total BOM:
- Custom glass molds: $10k–$60k upfront
- Atomizers and caps: often controlled by a few global suppliers
- Lead times: 12–24 weeks is common
This is where timelines slip and budgets blow up — especially for first-time founders.
Understanding this upfront allows brands to design smarter launches, not panic-react to delays.
🎧 Want the full walkthrough from molecule to finished bottle?
The podcast episode breaks down the entire fragrance manufacturing stack.
