Teach Soap

Hi - My first show is June 11, and I'm just starting to make soaps. I have no idea where to begin on pricing everything. Is there a chart or any materials to read on this? I just want to be as fair as possible to customers and myself. Thank you.

Hi - Does anyone have any advice on this topic, I would rally appreciate any feedback please. Thank you.

For some mp soapers, they automatically charge $1 to $1.50 per oz of soap no matter what.

Others figure out what it costs them to make each bar, double that for wholesale price and then double that for retail price.

On the Teach Soap site, they have some info about pricing mp
http://www.teachsoap.com/pricing.html

You also have to take in account to how much detail you put into each soap. The more time you spend on a bar of soap, the more it will most likely to cost.

Hope I've been of some help.

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I'd go with the X/per oz pricing.

If you go with the formula of cost x 2 or 4 or whatever - then your pricing will vary a lot. If you are just starting out, you are probably not buying in the really large bulk amounts to get your pricing down. So your cost per ounce will be a lot higher. Yes, you need to recoup that, but unfortunately, the market will not necessarily feel it is their responsibility to take care of that for you. They will only pay so much for a certain size bar...so if you want it to sell, then your pricing has to be in line with what they are used to seeing.

That being said...Here is a pricing strategy that I use a lot. It is simple marketing psychology, but it works: I have the 2 oz "guest size" bars. Conventional wisdom says $2 a bar, right? I price them at $4 each regular, then have a sign saying "show special 3/$10" - and they all sell like crazy.

It's that "2 for" or "3 for" pricing that they really love. Also - I let them mix and match within the size category.
I am new to soap as well, but I've run a beeswax candle biz for years, and I have found that what is true in candles is the same for soap/lotions:
Consumers want 2 things:
1. the feeling that they are getting a deal
2. Choices (mix/match, custom gift bag, etc)

just ny 2 cents

Thank you so much for your advice, I really appreciate it!

What about speciality soaps like 5 oz cupcakes? Most of my molds are are between 3-6 oz each. Thank you.

When I first started out I charged a $1.00 an oz of soap. The best way to make sure you are making a profit is figure out your base cost per oz of soap then x by 3 (or more). That way you are covering your supplies+labor.

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<3 SoapyJoes

When I finally get something going, I'm going to charge $1/oz for my not completely natural soaps (the ones that I use fo's and lab created colors) and $1.25/oz for my completely natural soaps (the ones that I will use eo's and natural colorants) unless of course I choose to buy an eo that is ridiculously expensive, but then I'll label it as a specialty bar and figure out pricing from there. I'm currently trying to work out an incentives plan, too. Something like, buy over $25 of product and get a 10% discount... I'm still working on what I want to offer for the incentive, though. I love the idea of over-pricing the guest bars and offering the 3/$10! I know I would've been one of the suckers to fall for that trick ^_~

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Tamra
New to soaping, long time crafter and artisan, avid learner of new things!

Just make sure that if you are charging $1/oz that it's covering all your expenses (soap ingredients, fo/eo, droppers, molds, labels, packaging, electricity, containers for soaping, the shipping cost for all the items, etc)

I know a lot of people probably think, "For electricity?" But if you're using the microwave to melt your mp, that uses a lot of electricity. Plus the starting and stopping of the microwave puts a lot of stress on the motor in the microwave.

I've seen some people sell bars of mp for $2 for a full 4 or 5 oz bar. Why? Because they think people will buy it because it's cheaper and they want to be fair to their customers.
People that actually buy hand crafted items expect to pay more than the dollar store or WalMart. Granted there are going to be some people that say, "That's so expensive, I could get 3 bars of soap for $4 at the store." Those are not a handcrafted business' customers.

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Thank you to everyone you have been so helpful. I'm not sure of what my competition is as I have been so busy with just researching. I think that starting out with 1.00 per oz. is my best bet for now. Although I love the 3 for 10 but where my soaps will range in size not sure if that will work for me. My other question is, does everyone list all the ingredients on their soaps? I have put my money into expensive molds, so I hope it works in the long run.

Yes, you should list all your ingredients on the label. The net weight needs to be on the front label also.

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Irena
Closed minds are like faulty parachutes; they refuse to open.

We sell our MP soap for $1.50 oz and thats with no fancy packaging, wrapped in scale paper. If the soaps are packaged as a "gift" we adjust our pricing.

Hi - What is scale paper?

I completed my first batch of soap not bad, i used the same technique that Soap queen does with saran wrap and then using a heat gun. So far they look ok. Any other possibilities? Is there any other nicer wrapping then this? Thank you.

The teachsoap main page has a tutorial on how to price your mp soaps...I would figure that out first and then see what your competitor is charging. But if you feel confident in your soaps and your artistry I would price it accordingly so as not to sell yourself short and not get into a price war with your competitors.

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