Cost to make a 16 oz. soy candle -- wholesale

[Holly]

Does anyone else here figure that it costs them $6.00 + to make a 16 oz. soy candle. I have been running the numbers (do not have my paperwork right in front of me at the moment), and I believe it was something around $6.50 to make "my" 16 oz. soy candle (maybe slightly less than this and then again maybe slightly more -- would have to find my paper. This includes jars, wax, FO, tag, elastic, rough estimate of ink cost and warning label cost, and of course the dreadful shipping cost. This does not even include the two wicks. If I do wholesale, how the heck can both the buyer and myself make any money? It might end up not even worth it to me since I am the one making the candle....doing the hard work. I read over the wholesale 101 (sticky note) but it really did not answer my question directly. I guess I would have to raise my actual retail price but then some stores want to keep their prices down too for their customers. I really do not want to charge more than I do. It would be even worse with the 10 oz. ones. Thanks for any input.

[CC on Maui]

Aloha Holly,

We could probably give you better advice if you could breakdown each of your costs for us. This will allow us to zero in on the areas where your costs are out of synch, and perhaps some suggestions on where you could cut costs.

[prairieannie]

Does anyone else here figure that it costs them $6.00 + to make a 16 oz. soy candle. I have been running the numbers (do not have my paperwork right in front of me at the moment), and I believe it was something around $6.50 to make "my" 16 oz. soy candle (maybe slightly less than this and then again maybe slightly more -- would have to find my paper. This includes jars, wax, FO, tag, elastic, rough estimate of ink cost and warning label cost, and of course the dreadful shipping cost. This does not even include the two wicks. If I do wholesale, how the heck can both the buyer and myself make any money? It might end up not even worth it to me since I am the one making the candle....doing the hard work. I read over the wholesale 101 (sticky note) but it really did not answer my question directly. I guess I would have to raise my actual retail price but then some stores want to keep their prices down too for their customers. I really do not want to charge more than I do. It would be even worse with the 10 oz. ones. Thanks for any input.

Oh my gosh, NO! If it cost me $6 or more to make a 16oz candle I couldn't sell them at all. Are you sure you have figured your pricing correctly? What type of jars are you using? It costs me quite a bit less than $3 to make a 16oz candle, and it did BEFORE I started buying my wax in huge bulk. If your math is correct, you may need to consider a different jar, or look into getting your wax somewhere closer to cut back on shipping.. there are lots of things you can do, but without knowing where your main costs are, it would be impossible to narrow it down more.

[Holly]

Thanks. Ok, I will try to get you a break down, but can't right at the moment. There is no way I could make a $3.00 16 oz. candle. I get my soy wax on the west side so that helps with the wax cost (less shipping). It's the jars that kill me because I cannot find the right jars on the west coast. We are really limited over here for choices of jars. My jars come from New York. The frosted 16 oz. apothecary cost just under $2.00. I will give the exact price later. I have to feed my husband. I may have given myself more of cushion on the tags, ink, etc. I use between 8-9 percent oil -- and sometimes 7%. Many here think that 6% or less is enough but not to my nose. I do use quality oils an the wax I use has a great throw compared to MANY that I have tried. Anyway, I will recalculate my numbers and get back with you with a better breakdown. I know for sure though that I cannot make a 16 oz. candle for $3.00 -- not the look I want (types of jars) and the shipping cost I end up with. I will post a little later. Thanks again!

Edited to change "just $2.00" to just under $2.00.

[Holly]

P.S. Real quick. I do not order in REAL BIG quantities yet so this does not help reagarding shipping costs. I am getting close to where I may be able to buy larger quantities of jars and wax now that I am really on my way.

[Saltbox Pantry]

I'm with you Holly and both my hubby and I are re thinking this venture.

It cost me about $5.00 with dollar store jars. I finally had to exclude my jar in my 3x and add it in at the end....so instead of my 16 oz jar retailing for $20.00 its down to around $16.50.

SP

[Holly]

Ok, here is a breakdown:

(I was wrong on the glass)

$2.19 - Glass

$1.00 - Glass Shipping (I believe this is a very close estimate)

$1.40 - Wax w/shipping included

$1.62 - FO

(this is based on an average of $20.00 a pound and at 8%. I have some oil under 20.00 and some over $20.00, so this could be a bit less on some candles)

$1.00 - Tags, ties, warning label, ink (Now that I think of it, I gave myself a cushion here because of other cost not figured - electricity, etc.) So, this could be less than a $1.00.

Estimated Total: $7.21

This was worse than I remember. It must be the 10 oz. jar that is around $6.00. The only area that I may be stretching the amount in my numbers would be the FO because I do have some oils that are close to $16.00, but I do have many that are more. So I could figure a little less on the FO cost on the average. Also, the $1.00 for tags, etc. could be less, but there is a lot of expense with ink for tags and warning labels, etc.

I am happy enough with what I make on my candles for retail ($15.50 for a 16 oz.), but I don't think I would be happy with what I would make if I sold them wholesale. There is too much work involved to sell it for much less. The buyer wants to make money too and also not price their candles too high so in the long run it is an easier buck from them than me and I am the one sweating over the presto pots. I do not want to have to higher my retail prices to much either. This area is conservative. I do not want to price myself out even though I put my heart and soul in my candles and pay close attention to detail and add special touches, etc.

Anyway, there it is.....my cost. I can't get any better with the wax because I get my soy in my state. And....jars....well I finally found the right jars for my wax and I do not want to change that at this point. I used to get most of my jars from the west side of WA but learned that they were not best for my wax. We need some major jar suppliers over this way. There is Richards but they do not have a large selection. And......8-9 percent oil works for me so I do not want to change that either....only when I can lower to 7 and maybe 6.

There are other expenses too: Insurance, electricity, extra garbage cost for the paper towels. They charge us more for more trash than so many containers. I believe my husband is now taking my candle garbage to the dump when he goes but that costs too.

You can see why I am concerned about ever doing wholesale. It would be a lot of work for peanuts!

[Holly]

I meant to add that when I start ordering in larger quantities, it will cut some shipping costs down. I am real close to feeling comfortable to do so.

[Holly]

I'm with you Holly and both my hubby and I are re thinking this venture.

It cost me about $5.00 with dollar store jars. I finally had to exclude my jar in my 3x and add it in at the end....so instead of my 16 oz jar retailing for $20.00 its down to around $16.50.

SP

Hi Saltbox, I am sorry you are in the same boat but it is kinda good to know that I am not the only one incurring these costs. It would be great to create a $3.00 16 oz. candle. I am not even sure if I could do it if I ordered my jars from Richards here in the state.....maybe around $4.00 or $4.50.....not real sure. I can't even consider that anyway because they do not have the type of apothecary I need and want.

Do you still sell wholesale currently? I am not sure what you meant by "add it in at the end." If you are selling wholesale, are you considering not doing it now?

I really wanted my 16 oz. jars to retail for $16.00 at least (I figure a dollar an once at least) but people around here are very conservative and want a lot for their buck. My friends kind of indirectly influenced me too in my decision not to go over $15.50. Sometimes I want to please too much. If I was on the Seattle side or back in CA it would be different......$16.00 would not seem as high. However, I prefer it here.

Thanks for the response.

[chris77]

Hi Holly, The Jar Store in CT has 16 oz Frosted Apothecary jar for only $1.39, and that comes with the matching flat lid. Fairway in Ohio I believe has them as well for just maybe .20 more, but the shipping would be less than CT.

not sure if that's the jar your using, but it is some examples of cheaper 16 oz jars.

Good luck

[Holly]

Hi Holly, The Jar Store in CT has 16 oz Frosted Apothecary jar for only $1.39, and that comes with the matching flat lid. Fairway in Ohio I believe has them as well for just maybe .20 more, but the shipping would be less than CT.

not sure if that's the jar your using, but it is some examples of cheaper 16 oz jars.

Good luck

Hi Chris,

Thanks for the info. I have considered using the frosted apothecaries from Fairway. I have a sample. However, they are a bit different. The ones I use are the thicker glass which I kinda like -- does not feel as fragile. Also, I am using the ones with the wooden lids. I just fell upon these jars when Candle Cocoon had them on sale when she was discontinuing them. I did not think I was going to like the wooden lids as much since I do not really have the country look. However, they have really grown on me and look so well with my logo. The wood dresses it down a bit to go with the treed logo (even though the trees are elegant) and the frosted glass ads the elegance. It is kind of a nice mix. Soooooo.....I am kind of partial to them now. Why is it that jars always have to be so far away?

I do love the look of the Fairway ones too (very classy looking) but I am so attached to the wooden lid look now. I have gotten a lot of good feedback. The only thing I do not like is that I can end up with certain lids that are shipped and look kind of ruff or does not have as pretty of a finish or wood grains. This bothers me a bit.

I do like the Jar Store prices, but I think they only have the clear glass apothecaries. The frosted jars always seem more expensive. TVG sends their glass in to have it treated with frost.

I wonder if anyone else sells the frosted glass with the wooden lids. I get them from TVG directly. I think that Fillmore carries the wood lids but not the frosted apothecaries. They do have the frosted footed victorian jar but that would look terrible with the wooden lids. Fillmore may be just as far away anyway....can't remember now where they are at now.

Thanks Chris for the response. I appreciate it.

[Holly]

Oh my gosh, NO! If it cost me $6 or more to make a 16oz candle I couldn't sell them at all. Are you sure you have figured your pricing correctly? What type of jars are you using? It costs me quite a bit less than $3 to make a 16oz candle, and it did BEFORE I started buying my wax in huge bulk. If your math is correct, you may need to consider a different jar, or look into getting your wax somewhere closer to cut back on shipping.. there are lots of things you can do, but without knowing where your main costs are, it would be impossible to narrow it down more.

Hi Prairie, Are you able to get your wax and jars in your state or very close to it. Wow, that would be great to make a candle for $3.00. However, now that I read your response again, you may have made a typo when you said "a bit less than $3." Did you mean $6? If so, than that makes more sense to me. To me it would be a hard to make a 16 oz. candle for even $3.00 and especially quite a bit less than $3.00. It is worth it to me to sell retail but I am not so sure regarding wholesale. I will not rush it and will give it some careful thought.

[prairieannie]

Hi Prairie, Are you able to get your wax and jars in your state or very close to it. Wow, that would be great to make a candle for $3.00. However, now that I read your response again, you may have made a typo when you said "a bit less than $3." Did you mean $6? If so, than that makes more sense to me. To me it would be a hard to make a 16 oz. candle for even $3.00 and especially quite a bit less than $3.00. It is worth it to me to sell retail but I am not so sure regarding wholesale. I will not rush it and will give it some careful thought.

LOL, nope, it wasn't a typo. I make my 16oz jars for less than $3 each. BUT.. I use kerr jars, and buy them locally. No shipping, and they are cheap! This is probably where our costs differ the most. The cheap jars, and the non existant shipping for them! My wax is only a state away, and I can drive to pick it up.. The gas expense is far less than the cost of shipping it would be for sure. I also buy it in larger quantities to save money that way. My wax allows me to easily get away with a 6% fragrance load most of the time for a knock your socks off throw, and so my FO calculation is a little less than yours as well. It's just a matter of my jars being cheapies, and my two most expensive shipping charges being eliminated I think that makes the difference.

At any rate.. I do wholesale and LOTS of it lol, and if I didn't, I probably wouldn't be able to consider this a business at all. The other thing to consider here is that I wouldn't be able to sell a 16oz candle for $16 retail here either.. no way no how.. but fortunately, I don't need to.

[LynnS]

I agree with Prairie Annie.I can make a 16 ounce Country jar for just above $3.00.I like the Country jars.I also need to keep costs down in the area I live.Honestly all people look at are the 8 ounce JJ.The 16 ounce candles would be to high for them.

If I go to another part of the state they might sell.I have been told my 8 ounce JJ that I sell for $5.00 (and have a hard time getting that here) in another part of the state they sell for $9.00.I was told almost the exact jar.Just depends on your style of jar you like and also for sure the area you live.

LynnS

[ah-soy]

Holly...pm'd some info to you!

[ah-soy]

Me again Holly...after you read the PM remember too that a 16 oz jar does not hold 16 oz of wax...closer to 10

[Sweet68cam]

I am gonna have to agree with the others on this as well, I think with your cost per jar most would not have this hobby or business...lol I know I would NOT...lol I make my 16 oz. Candles for $3.75 and I use Keepsake Jars which are not the cheapest and I have them shipped. I would recommend you do some searching to see where you can cut your costs down dramatically. This is a very time consuming and expensive hobby/business and money does become an issue with it esp. if supplies are costing you a fortune. Tricky part is cutting your costs without cutting your quality. I think you do have some wiggle room though and can do it a little cheaper if you just search around. Good Luck!

[prairieannie]

Holly...pm'd some info to you!

Is it top secret info? Sheesh!

[Saltbox Pantry]

Hi Saltbox, I am sorry you are in the same boat but it is kinda good to know that I am not the only one incurring these costs. It would be great to create a $3.00 16 oz. candle. I am not even sure if I could do it if I ordered my jars from Richards here in the state.....maybe around $4.00 or $4.50.....not real sure. I can't even consider that anyway because they do not have the type of apothecary I need and want.

Do you still sell wholesale currently? I am not sure what you meant by "add it in at the end." If you are selling wholesale, are you considering not doing it now?

I really wanted my 16 oz. jars to retail for $16.00 at least (I figure a dollar an once at least) but people around here are very conservative and want a lot for their buck. My friends kind of indirectly influenced me too in my decision not to go over $15.50. Sometimes I want to please too much. If I was on the Seattle side or back in CA it would be different......$16.00 would not seem as high. However, I prefer it here.

Thanks for the response.

Hi there,

When I add up my cost and x by 3, I do not include my jar.....so I don't make money on the jar. I just charge what I paid for it.

Example per pound:

Wax $2.61

FO $2.37

Total $4.98 x 3 =$14.94

I then add in my jar cost of $1.00, labels and wick approx 30- 40 cents.

My 16 oz jar total for retail is roughly $16.34.

I do not add the taxes in because my customers get charged the taxes when they purchase from me.

SP

[Holly]

LOL, nope, it wasn't a typo. I make my 16oz jars for less than $3 each. BUT.. I use kerr jars, and buy them locally. No shipping, and they are cheap! This is probably where our costs differ the most. The cheap jars, and the non existant shipping for them! My wax is only a state away, and I can drive to pick it up.. The gas expense is far less than the cost of shipping it would be for sure. I also buy it in larger quantities to save money that way. My wax allows me to easily get away with a 6% fragrance load most of the time for a knock your socks off throw, and so my FO calculation is a little less than yours as well. It's just a matter of my jars being cheapies, and my two most expensive shipping charges being eliminated I think that makes the difference.

At any rate.. I do wholesale and LOTS of it lol, and if I didn't, I probably wouldn't be able to consider this a business at all. The other thing to consider here is that I wouldn't be able to sell a 16oz candle for $16 retail here either.. no way no how.. but fortunately, I don't need to.

LOL that is funny. I did not think it as a possible typo until I read the "quite a bit less" part. Wow, that is great that you can produce a candle you like for that price. It is great that you can pick the wax up and also the jars and not pay shipping. That is where the big difference is. Well, I am not going to be quite as fortunate in that area.

I do not have any problem selling my 16 oz. for $15.50 and could probably get $16.00. People buy other candles for that much and more. But, since I am not "well known" I need to stay within a reasonable amount for my area. Spokane people are conservative but not extremely. I am close to some upper areas....Hayden and Coeur d' Alene (in Idaho...which I am just a 1 1/2 miles from border...right next to both Hayden and Coeur d' Alene) which would be more like the Seattle side or areas in CA. I did my last show in Hayden and it went very well. It is the wholesale situation that would not work out so well.

I do have the option to change my frosted jar with the wooden lid to a frosted jar from Fairway or Reikes but not sure if there would be a big difference in cost to make it worth my change since I really like the look I have now. I will have to run the numbers and see.

Thanks for your input!

[Holly]

I agree with Prairie Annie.I can make a 16 ounce Country jar for just above $3.00.I like the Country jars.I also need to keep costs down in the area I live.Honestly all people look at are the 8 ounce JJ.The 16 ounce candles would be to high for them.

If I go to another part of the state they might sell.I have been told my 8 ounce JJ that I sell for $5.00 (and have a hard time getting that here) in another part of the state they sell for $9.00.I was told almost the exact jar.Just depends on your style of jar you like and also for sure the area you live.

LynnS

Thanks Lynn. I seem to get both kinds of buyers....those who want the 16 oz. over the 10 oz. and those who want the 10 oz. You are so right in that there is a difference in different areas.

Even though I live in the country and have horses, I tend to want a little more fancy.....classic elegant look. The jars I use reflect both sides of me and is still simple enough look wise for this area....classic yet a little country (wood lids). It just fits. I feel I need to produce a product that reflects my taste. I could have gone fancier for my taste, but these just ended up working out. I have to be excited about the look and passionate about it to sell my product. I do like the country look too but it is not the look that reflects my style the most. Since I use soy and do not color it, I found that it looks much prettier in the frosted jars than the clear glass and you would know that the frosted jars are more expensive than the clear glass. :undecided

Thanks again for your response.

[Holly]

Me again Holly...after you read the PM remember too that a 16 oz jar does not hold 16 oz of wax...closer to 10

Hi Ah soy, the 16 oz. jar I use actually holds up to 16 oz. -- FO included. I make sure that I list my weight by actual weight of the insides and not what size the jar is called. I fill it up right to the line before it curves on the 16 oz. It looks better there with the 16 oz. jar. Also, this way I do not get that soy residue (not hang-up) in the curve after it burns. I do fill past this line in the 10 oz. jar because if I do not it would not be 10 oz. to that line and it kinda looks like it is not full enough in the squaty jar at the line. So, I deal with the residue in the curves with this one.

I will check your PM out.

[Holly]

I am gonna have to agree with the others on this as well, I think with your cost per jar most would not have this hobby or business...lol I know I would NOT...lol I make my 16 oz. Candles for $3.75 and I use Keepsake Jars which are not the cheapest and I have them shipped. I would recommend you do some searching to see where you can cut your costs down dramatically. This is a very time consuming and expensive hobby/business and money does become an issue with it esp. if supplies are costing you a fortune. Tricky part is cutting your costs without cutting your quality. I think you do have some wiggle room though and can do it a little cheaper if you just search around. Good Luck!

Hi Sweet. I see this as a problem for wholesale, but I do not see a problem for me selling my products myself. I am not having trouble getting my retail price so it is worth it. It is the wholesale for my situation that may not be worth it at this time. But, that is ok. Things could change later on. I was just curious as to what others do that have close to the same cost to make their candles. Thanks for the encouragement regarding wiggle room. I will try to wiggle something around to maybe reduce it a bit and still have a product that reflects me, and that I can be passionate about.

[Trish]

Holly, how many cases of jars are you ordering at a time? IMO, $1/jar in shipping costs is ridiculous!

Looking at your breakdown, I think the only thing that is going to bring your costs down is to switch jars to get something similar but that is less expensive and closer to ship. Your jar is $1.00 more than mine BEFORE shipping, that's a pricey jar!! If you're deadset against that, then embrace it and realize that you won't be able to wholesale them at that cost. Good luck!

[Holly]

Hi there,

When I add up my cost and x by 3, I do not include my jar.....so I don't make money on the jar. I just charge what I paid for it.

Example per pound:

Wax $2.61

FO $2.37

Total $4.98 x 3 =$14.94

I then add in my jar cost of $1.00, labels and wick approx 30- 40 cents.

My 16 oz jar total for retail is roughly $16.34.

I do not add the taxes in because my customers get charged the taxes when they purchase from me.

SP

Thanks. That makes sense. It looks like you are the only one that has responded that has similiar costs. I know there are others out there. Sorry to ask this again, but has wholesale worked out for you? I may have to hit the stores in particular areas if I pursue wholesale. I will take this one step at a time.