Yes, I make felted soap. One of my loyal customers at our local farm market co-op gave me a piece of my soap after felting it as a Christmas gift. She then proceeded to buy 19 bars to felt for gifts for friends. I thought it was odd, but was grateful to this kind customer for her gift and for her business. I used it and absolutely loved it. I use pretty gentle recipes and not a lot of coconut oil, but the lather came through very well. It very gently exfoliates if you rub it on your skin. I started making soap because I have a child with eczema and the gentle scrubbing does not bother her sensitive skin.
Of course, I looked into felting for the exact reason you mention. I had a handful of ugly bars. One in particular with vanilla and TD that didn't disperse well. It was dark brown with horrible white specs. I was too embarrased to give it away! I watched a youtube video on felting and never looked back. I wet felt the whole bar and needle felt designs on some. It took about 10 bars to get the technique down where I like the outcome and I can now wet felt a bar in about 5 minutes. Everyone loves their "soap in a sweater."
I would post pics if I were more computer literate.
