Fragranced oils or aromatic compounds are basically perfumes that combine fragranced ingredients with a carrier base. These carrier bases can be alcohol, water, or oil, depending on which type of perfume is being made. A perfume's ingredients can be either man-made, natural, or a mixture of both. The price of perfume will depend on its ingredients.

Natural perfume ingredients are one reason why a scent may be more expensive. Most people will pay more for something described as natural. It is not unusual to find expensive luxury perfumes and fine fragrances that contain precious essential oils such as Jasmine, Tuberose, or Rose oil.

Top perfume manufacturers sometimes use the "secret ingredient" gimmick as a way to justify the high selling prices of their perfumes. They also claim that their perfumes contain rare aromatics and have special formulas. There are also niche perfume houses that produce limited edition perfumes. This is because the demand exceeds supply.

These can be hand-made or made of special materials like crystal. A stunningly elegant and artistic perfume bottle may be just about enough to tempt someone into purchasing the fragrance. This is especially so in the cases of those who like to collect fancy perfume bottles. Marketing and advertisement are two other elements that can add to the cost of a perfume.