# Question on Pricing



## Tirzah (May 19, 2006)

Hello everyone 

My husband makes soap and we currently sell 4.5 ounce bars for $5.00 each, three or more bars $4.00 each. We have a customer who wants to have us ship 4 bars per month and we were wondering what kind of discount or incentive you would give if any? We can fit 4 bars in a flat-rate Priority box and ship for $5.25.

We would appreciate any input. We would like to discount for her loyalty but we aren't sure how or how much.

Thanks in advance!


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## Tex- (May 18, 2014)

The Hostile Native has got into making soap too. We both really like it over storebought soap and everyone who has tried it seems to like it too. So far though, we have just been giving it away in order to get feedback on how to improve it if need be. 

She has also been making laundry detergent as well. We figured it up and and can get a load of laundry done for just a few pennies. Some of the powdered laundry soaps can be as cheap as 3 1/2 cents. She likes to put in some extra stuff though, so what we have been using costs a little over a dime per load.

We have been trying to figure out pricing for the different soaps so that we will atleast have a starting point when it comes to selling, or hopefully, bartering.

I will be paying attention to this thread, so thanks for getting it going.


Tex


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## melfay1 (Jun 4, 2014)

I have been making my own laundry detergent for about a year now and it has been nice to not have to shop for it. It last about 3 months in my house until I make more.


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## melfay1 (Jun 4, 2014)

I am about to start making my own soap soon. Not sure on the pricing either. Any input would be great. I make my own candles when I can as well.


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## Tirzah (May 19, 2006)

Tex and Melfay, I hope someone can help us out


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## FarmChix (Mar 3, 2013)

I would go to some local farmer's markets and check local soapmakers. Everything is relative. In some areas, you can sell for a lot more than others. You really need to check YOUR area to be competitive with YOUR competition. You also need to check the "look" of the bars. I might tell you that I sell my bars for $6.00 each, but they may have glitter and goo dads. You might be selling just soap. (I don't sell goo dads, by the way.) Point is...you have to compare apples to apples in your market.

As far as discounting loyalty....well, if they are already getting a quantity discount for the purchase of 4 at a time, I personally wouldn't discount anymore. You take away from the "value" of the process and your time. Just my opinion....


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## Joshie (Dec 8, 2008)

What about giving one free bar for every 20 to 25 bars purchased? I think it encourages people to buy more if they think they're getting something for free.


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## cmharris6002 (Jan 27, 2006)

Since you sell 4.5 ounce bars for $5.00 each, three or more bars $4.00 each I would set the subscription rate at 4 bars a month for $20 which includes shipping.


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## Tirzah (May 19, 2006)

Thank you everyone for your reply, I appreciate your input and will think on things more


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## libertygirl (Jul 18, 2011)

Tirzah..If you sell the soap for $4.00 per bar for 3 or more bars...and the 4th bar is $4.00 as well, you have a $16.00 sale. Less your shipping cost of $5.25 (I'm assuming you pay that cost). Then you are actually only getting about $2.69 per bar. That seems really cheap, possibly too cheap. If you did as was suggested here as an option, and charged $20.00 for 4 bars and you pay the shipping, you are now making $3.69 per bar. I don't think you can go any cheaper than what you are already at...? In fact, with future customers I think they should pay the shipping cost. At least then you are actually getting the $5.00 or $4.00 per bar price. Don't know...just don't think you should cheat yourself out of the value of what you are making and providing.  Hope ya come up with a good plan. I admire what you are doing.


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## Tirzah (May 19, 2006)

Hi Andi,

Thanks for your input. The customer is actually paying the shipping, not us. I think we may just offer a free bar after every 20-25 sold as Joshie suggested. Thanks again 

I like your sig line


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## Charleen (May 12, 2002)

First rule for ANY retail business is to determine what YOUR costs are. What does it actually cost you to make that bar of soap INCLUDING labor. Don't forget to pay yourself. 

You already have a deal in place for 3 bars, 4 bars isn't a larger purchase at all. Maybe consider a price break after, say, 10 bars. Customers will ALWAYS try to get a better deal, but remember that your product is a craft and it takes knowledge and skill. It's not a garage sale where people will try to chew down your price, so you can "get rid of it".

I can fit 9 bars of soap (4.5oz each) into a padded flat rate envelope (ordered free from the USPS online, they don't have the padded ones in the post offices) for $5.05 if purchasing the postage online through PayPal.


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## Tirzah (May 19, 2006)

Thank you so much Charleen! I appreciate your advice. I think that after x amount of bars sold we may give a break. Thanks for the info on the padded envelopes too.


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## FarmFamily (Feb 12, 2014)

I was going to also suggest 4 bars w/shipping @$20. It really depends on what your cost is. Soaping is a lot of work. Don't cut yourself short. I sell my bars (4 oz) for $4.50 each or 5 for $20. or a full batch (28 bars) for $110. This can be split into half batches for 2 different "flavors." Shipping of course is an added expense. I take my soap to market cut and unwrapped. When I sell a bar I place a label (business card size) on my soap then wrap the bar w/label in white tissue paper. Bars of the same kind are wrapped together w/ one label. This saves on my cost for wrapping. I do the same when shipping. It works really well.


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