CSAS Posted May 3, 2006 Share Posted May 3, 2006 I am thinking of raising the prices on my candles a bit, to incorporate the cost of shipping, so I can offer free shipping to my wholesale customers. This is kinda like a Part 2 to my Shipping question in another thread.Here are my figures, tell me if I can do this without losing or not getting business.My 4 oz is $4.00 Wholesale, Would like to raise it to $4.75.It cost me $1.75 to make.My 24 oz is $10.50 Wholesale, Would like to raise it to $11.50It cost me $5.50 to make.I have included pictures to show what my candles actually look like.I want to be able to supply a store this is located nationwide with free shipping, if they decide to fill their stores across the US.THANK YOU Quote Link to comment Share on other sites More sharing options...
clonefan80 Posted May 3, 2006 Share Posted May 3, 2006 I am wholesale only and do not include the price of shipping into the candle. For one the retailers want to know THEIR cost of the candle. Retailers are used to paying for shipping, they know thats part of business. Plus in close regions to you those shipping costs may work but shipping to the west coast is much higher (as I just found out) plus if your shipping UPS you will probably get hit with a surcharge (AFTER) the candles have been shipped and delivered. This happens quite often. I double box with peanuts so I buy that packaging also and that is factored into their shipping costs. Just some FYI.. Quote Link to comment Share on other sites More sharing options...
sudsnwicks Posted May 3, 2006 Share Posted May 3, 2006 For one the retailers want to know THEIR cost of the candle. Hmm ... so you are saying retailers have a separate budget for shipping costs? I didn't realize that. Because when I buy things, I factor the shipping into the cost of the item to see how much it is really costing me. Quote Link to comment Share on other sites More sharing options...
clonefan80 Posted May 3, 2006 Share Posted May 3, 2006 Probably not i'm sure they also factor the cost of shipping into their retail product. I set up at Trade Shows (Dallas, KC) and buyers will ask whats the wholesale cost. Not one person has asked me if shipping is included, in fact we never even discuss shipping because its a known fact that it will be added to the order when its shipped. Now given that, i'm not one of the giants who can afford to offer those perks and possibly they realize that. If we were selling T-shirts and could ship 250 in a case, absorbing that cost would be minimal but a case of candles is heavy. I'm shipping out 10 cases today (22x15x15 avg wt 45lbs) and the total for UPS is $277. This is the 2nd of 3 shipments to this store would wanted their order split up like that. They ordered a total of 56 cases and I could of shipped all of it by Truck for close to the one time charge but its their choice. Do I have a dock, No, the cheapest way would of been for me to take the cases to the trucking company with a pallet, unload them there and palletize them myself then they would be able to load them with a forklift onto the truck. Could they have done this, yup for a charge. Could they have picked them up at my shop, yup, liftgate was $125 extra here and $125 extra at the store (they didn't have a dock either). All i'm saying is can we as the small guy absorb all the extra charges incurred in shipping, I can't just yet, maybe someday. And yes I buy all my stuff in bulk/pallet... oils, wax, jars but i'm still buying my jars from a supplier not direct from China, when i'm able to purchase them by the container then i will have a lower cost and be able to absorb more. Have i looked at purchasing glassware in the states, yup, believe it or not i have two glass plants in my town and can still get a cheaper price ordering from China and having it shipped over here........go figure. I want to compete with the big guys but i don't want to go out of business doing it. Quote Link to comment Share on other sites More sharing options...
sudsnwicks Posted May 3, 2006 Share Posted May 3, 2006 Got it! It makes sense now that you have explained the details. From a simplistic viewpoint, I would also think that incorporating the cost of shipping into your prices would penalize local customers who don't need shipping, unless you have two different price lists for local and non-local customers. Quote Link to comment Share on other sites More sharing options...
clonefan80 Posted May 3, 2006 Share Posted May 3, 2006 i probably should clarify the 10 case thing before someone jumps in here, i actually ship 2 cases of 16oz apoth in a (22x15x15) box, so actually 20 cases are going out, and your right the local retailers or even ones who are only a state over would end up paying more for shipping, and don't we all watch shipping costs.... Quote Link to comment Share on other sites More sharing options...
KristinesShower Posted May 4, 2006 Share Posted May 4, 2006 With gas prices on the rise, you would have to constantly change your prices and that can tend to upset alot of customers. At least with rising shipping costs, they aren't mad at you - but mad at the delivery service instead.I never offer free shipping because it would eat me alive. Quote Link to comment Share on other sites More sharing options...
elle110 Posted May 4, 2006 Share Posted May 4, 2006 By the way your candles are very pretty!I would not add the cost of shipping, although tempting, everything stated above is true plus you would have to change your prices for local pick-up customers Quote Link to comment Share on other sites More sharing options...
CSAS Posted May 5, 2006 Author Share Posted May 5, 2006 Thank You everyone!! Quote Link to comment Share on other sites More sharing options...
BruceCarvesWax Posted May 5, 2006 Share Posted May 5, 2006 I would not incorporate the shipping into the wholesale price either. There are lots of candle companies out there and was all know how cheap some of them are. I would just keep your wholesale price the same since some companies have deals with trucking companies, or fedex ect to get better prices. My thing is that I HATE to pack orders for shipping! Takes too much time! My wholesale account in the StLouis area drives half way to meet me. Thank goodness for that, last year his orders totaled 8000 half pint jar candles ! Bruce Quote Link to comment Share on other sites More sharing options...
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