lsbennis Posted October 6, 2006 Share Posted October 6, 2006 I was wondering how to handle the pricing on candles that are in the same jar size with the same wax but just different FO. There are several FO's that I have to have in my stock because I love them and feel they are worth the extra to have. But what do I do as far as price? Do I charge more because I'm paying more per pound or do I keep it the same as all the other FO's in the same jar? If you do charge more how do you explain the difference in price? Any advice would be appreciated...Example...Candle Science Apples and Maple Bourbon...$14.96 16ozDayStar...Hey Hey Cute Cabanna Boy....$22.95 16ozSame size jar, same wax...Same Price? :undecided Quote Link to comment Share on other sites More sharing options...
Crowded House Posted October 6, 2006 Share Posted October 6, 2006 You could sell them all for the same price, or you could do a "premium line" with your more expensive FOs. That way you cover your costs and also appeal to another segment of your market (those who want a "slightly better" candle). Quote Link to comment Share on other sites More sharing options...
lsbennis Posted October 7, 2006 Author Share Posted October 7, 2006 Thanks CrowdedHouse....I was thinking the same thing... Quote Link to comment Share on other sites More sharing options...
bugtussle Posted October 7, 2006 Share Posted October 7, 2006 I don't think you should charge more for the expensive fos. I tried and found my customers didn't like two prices for the same candle. Quote Link to comment Share on other sites More sharing options...
Crowded House Posted October 7, 2006 Share Posted October 7, 2006 I'm just basing this on what I see other, larger companies do of course, but yeah, it can't be the "same" candle. There has to be a reason immediately obvious to the customer that it is a "premium" candle.For example, pricing Apples and Maple Bourbon $5 less than Hey Hey Cute Cabana Boy in the exact same jar with the exact same packaging and calling the latter a "premium fragrance" might not go over too well, but say, putting the HHCB candle in different packaging and calling it something more upscale and adding a description about the history of San Tropez on the back of the box might.It's like the Cabbage Patch doll 25 years ago, with it's own little "adoption certificate" and history page and "no two are exactly alike" hook, and priced way above some mass produced doll thrown in a box with a bottle and change of clothes. The little additional things about the CP doll made it immediately unique and more appealing to the consumer. Quote Link to comment Share on other sites More sharing options...
Maggie Posted October 7, 2006 Share Posted October 7, 2006 I used to have a couple scents in a premium line and if the customer wanted that scent then they did pay more. This was back when I was pouring in the 8 oz. square masons and 10 and 16 oz. apothecary jars with flat lids. I offered the premium scents in 16 oz. with black metal lid with handle only. Then I decided to change jar style and forget about calling those couple of scents premium. After searching and testing, I found both scents cheaper from other suppliers. Still not under $20./lb. What I ended up doing in calculating fragrance oil cost is use an average of all scents. It came to about $20. and change so that's what I base my cost on. Maggie Quote Link to comment Share on other sites More sharing options...
AngelaVA Posted October 7, 2006 Share Posted October 7, 2006 I build in enough of a profit, so that I will still make a good amount of money on a candle with expensive oil. If you set your pricing to calculate with an average oil cost of $18-$20, you shouldn't have a problem. But I wouldn't charge differently for one scent versus another. Just keep your prices at the right level and you shouldn't be losing any money. Quote Link to comment Share on other sites More sharing options...
mizbizzyb Posted October 7, 2006 Share Posted October 7, 2006 I build in enough of a profit, so that I will still make a good amount of money on a candle with expensive oil. If you set your pricing to calculate with an average oil cost of $18-$20, you shouldn't have a problem. But I wouldn't charge differently for one scent versus another. Just keep your prices at the right level and you shouldn't be losing any money.Ditto what she said...I use my average cost of FO. Quote Link to comment Share on other sites More sharing options...
lsbennis Posted October 7, 2006 Author Share Posted October 7, 2006 Great....thanks everyone for your advice...I'm going to figure out my average FO cost and then price accordingly...:highfive: Quote Link to comment Share on other sites More sharing options...
Candybee Posted October 7, 2006 Share Posted October 7, 2006 I did a similar price averaging on my FOs. Besides cost of FOs I also included the shipping cause prices change from supplier to supplier. So I figured my average cost for all my FOs and used that to figure my FO cost per ounce.If you want to do a "premium candle" I suggest use a different jar (like a fancy victorian or something special) and even special labeling. I agree that you have to make it appealing on an upper scale to account for a higher price.Someone mentioned a segment market and it could be worth a try to see if you have one that is interested in a "premium" type candle. Quote Link to comment Share on other sites More sharing options...
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