Are you able to price your soaps what they're really worth?

[Cherry Bomb]

Before I ever started thinking about making soap, I always ordered from this company. I did not kind paying $6 a bar for a soap this in my opinion worked excellent with my skin. When I moved 3.5 hours away from her store I became an online customer. Soaping can be expensive and Alchemy and Ashes.....I would pay $7.50 for your soap. Not only are you very knowledgeable but your product is eye appealing and your EO blends are awesome. yes I stalked your site lol

http://stores.homestead.com/bwsoap/-strse-BATH-BARS/Categories.bok

 

[AlchemyandAshes]

Alchemy and Ashes.....I would pay $7.50 for your soap. Not only are you very knowledgeable but your product is eye appealing and your EO blends are awesome. yes I stalked your site lol

Aww, thanks! That's very sweet of you...feel free to stalk anytime

 

[paillo]

I've debated charging different prices for my soaps - more for those with expensive EOs and exotic ingredients, less for more inexpensive FOs or for M&P. But looking at the competition on Etsy and in local markets I don't know if that would be practical, so have settled on charging the same $6 for every bar. Mine are worth it, I use only top-quality ingredients and spend time on design. And I don't even care about those looking for dollar store values, they're not my market. My M&Ps are natural-based with a lot of thought and design, and I don't want to charge less for those either. Hmmm. It's a quandary indeed... Shawnee, I would definitely pay more for soaps like yours.

 

[melstan775]

This is the absolute hardest part of any business for me (I was a hairstylist for years too...then a soap/metaphysical business...then gemstone/sterling jewelry...then soap again )...any time money exchanges hands. Melstan made some very valid and intelligent points.
I understand the concept of pricing and what details to include in your consideration...but I always have little doubts when I pick a price because there is a large soapmaking market (competition), and many consumers do not know the difference between MP or CP, FO or EO...So I work hard to educate them on the differences, and therefore "justify" my pricing. I definitely need to raise my prices...EOs aren't cheap. My prices would definitely have to go up if I had a brick & mortar shop (one day!). I would like to get $7.50 a bar...but I think in the farmers market/craft show arena, I would price myself right out of the competition. In a store setting, I'm sure I could get that amount, but then I'd have to pay a consignment commission (usually 30% here)...so I'm back to square one. I'm rethinking the size of my bars, even though that's a big selling point to my customers...large 6.5 oz bars that are 1.5" thick. They know they are getting more for their money...but that's certainly not to my benefit. I love making soap, I love people getting the benefits of using my soap...I guess I just have to decide if I'm just going to keep my business going to feed my hobby/addiction and share what I do with others for minimal profit...or do I want to get paid for my time and effort.
Ugh...:???:

Shawnee brings up some very valid and important points also. Her price considerations and material types illustrate what I was saying about market conditions. What I would do in Shawnee's place, if I were trying to have a brick & morter store AND stay in the craft fair circuit, is have an email list. Email lists are important for a lot of reasons, one is you can market to your clients continually for something they want and signed up for. So, for example, "I'm at the craft fair this weekend, all bars are only $6.00. Can't make it, here's a coupon for $1.00 off your next single bar purchase or 10% off your next purchase of $12.00 or more." Keeping your clients' budget and time mind will show them you respect and appreciate their business. And what to do if they say, "How come it's cheaper here then in your store?" Just tell them, craft fairs are a one day event. Have coupons on hand or be prepared to cut a small deal or give a small gift. Small things like that go a long way.

 

[JackiK]

This last Christmas I had someone ask me to crochet a king size blanket for them. They asked me how much it would cost, I told them $400. They were very mad and said, "I'd never pay more than $50 for a blanket." Of course then they went on about how my price was way too high for a bunch of yarn. They obviously don't understand the time it takes to crochet something that large.


I do get the occasional people tell me that they would never pay $5 for a bar of soap when they can get 2 for $1 at the dollar store. Such is life.

Not trying to hijack this thread, but I made a bedspread one time out of fine cotton thread. Someone asked me how much and I told them at $10.00 an hour, the cost would be $1500.00. The look on their face was priceless!