Business Overview

If trends hold steady, there will be an estimated 6 billion smartphones in the world by 2020. This is an incredible opportunity for those who want to break into this market, as there will be increased demand for products to protect these expensive investments from dents, scratches, and breaks. The majority of phone cases are sold online to decrease overhead costs. However, retail storefronts can be a good investment for entrepreneurs depending on the target customers.

Who is this business right for?

This business is good for people who are both creative and practical. There are an infinite amount of design options for phone cases, but some will be more popular (and profitable) than others. A good business owner can both narrow down the choices, and predict trends to gain a market edge. Owners will also need some customer service and advertising experience as well.

What happens during a typical day at a custom phone case business?

Business owners will need to oversee the manufacturing process, which may or may not include other employees.

  • Conducting market research on what’s popular
  • Developing relationships with retail owners
  • Managing online listings
  • Advertising and marketing cases either online or in person
  • Attending events to promote custom designs
  • Providing or creating new artwork to supply to a manufacturer

What is the target market?

Your ideal customer is a person looking to invest in a product that will protect their device against damage. Those who just want a flashy design may not be willing to pay as much, making the profit margins more difficult to manage. From there, you can start identifying your demographics. For example, if you want to make superhero cases, then your ideal customers may be in high school or college. If you’re making more practical, standard cases, your ideal customer will be older professionals. Luxury cases, like those encrusted with genuine sapphires or rubies, will only be sold to those with enough disposable income. There are lucrative opportunities in every demographic, so long as the customer understands the value of their phone.

How does a custom phone case business make money?

Custom phone cases make money by selling phone cases to customers for a profit. Maximizing profit involves reframing how customers see cases. It’s not unreasonable to ask a customer to pay $40 to protect their $700 iPhone. High quality cases can command a premium profit margin (up to 600%).

What is the growth potential for a custom phone case business?

Custom phone cases will always be needed as new phone sizes are debuted, and as old cases start to wear out. However, you will face some saturation in the market as there are many different manufacturers in the phone case industry.