pricing

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charlotteda

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I know this has been asked alot but I did a search and cant find the answer.

For those of you who sell your soap... or give them as gifts...

How do you decide on the retail Price (value).

I know your area/market would be an issue but there must be a general formula to set a base price.

thanks
charlotte
 
Hey Charlotte,
Can be tricky to search for the right thing sometimes.
http://soapmakingforum.com/forum/search ... de=results
Or to quote Tabitha
Tabitha said:
The standard US markup for handmade items is cost + labor + overhead x2 for wholesale or x4 for retail. This is not a law, but it is atndarc. You can adjust from there to suit your market.

There are lots of threads about this here at SMF. Check them out.
 
Basically I heard the fair price is about 1 dollar per ounce so if you have a 5 ounce bar equal to 5.00
 
Would the same rule apply as far as pricing goes to such things as lotion bars?

Also, if you do figure in labor costs, how much do most people figure in?
 
Labor would be what you pay yourself (or someone else, should you need help down the road.) That is up to you. Personally I pay myself $10/hr. It's low, but I consider the trade offs that I get to work from home.
 
sounds right, i charge 4$ and its about 4 oz, my lotion bars are still 4$, but i use more exp oils than soap.
 
4x is the US standard for all handmade items.

5x if it is perishable like fresh flowers or food since there is a higher loss due to spoilage.
 
honor435 said:
sounds right, i charge 4$ and its about 4 oz, my lotion bars are still 4$, but i use more exp oils than soap.

How many ounces are your lotion bars, if you don't mind me asking?
 
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