You’ve done it again...thanks...very informative and wasn’t boring or dry which has been the case on other videos about pricing and finances! Brilliant presentation...
After spending the last couple of months watching SEVERAL videos from you, Memory Box, Standley, Armatage and few others... Researching information online, reading forums, getting product education, and banging my head against the wall comparing suppliers... the information in this video, at 1:20am, is what finally made everything click for me. Your teaching style is impeccable, but this particular format of content is a homerun. Absolutely needed this video. Thanks, Wade.
You have more than earned a Grammy award for exceptional, educational, informational, professional leadership in candle making and building your own small business techniques, tips, tricks, strategies. Huge applause and grateful thank you. Mucho Gracias
Wade. I can honestly say I’ve learned so much from watching all your videos. I know this video is older, but I’m just getting ready to launch my business this summer and your videos have been the BIGGEST help. I had no clue where to start when it came to all the business side of things because I’ve never started my own business ever and your approach to all of this and how you take the time to explain, break down and give examples makes it easy to understand! I honestly can’t say thank you enough for making these accessible to us at no extra cost. You win the award for best teacher. Hope to have you review my candles someday. Please keep teaching these types of videos based around the business side of this, because they’re so helpful.
Thank you so much!!! Your MDC method is very similar to what I’ve been using to get my pottery business off the ground. I’ve been slammed repeatedly by my family members for not charging more but I have a hard time explaining to them why I don’t charge more. It’s not that my time in production is not valuable but I’d rather sell my products at a lesser price than those of the more established artists and have the funds to keep buying the materials I need to make more. My time IS valuable and is the cost I’m willing to put into building my business! Thank you for giving this a name and for laying it out so beautifully! Many blessings to you!!
Thanks Tammy. Yeah, I don't want people to get the wrong idea and that I am suggesting underpricing yoiurself.. it's more about sacrificing early margins at first to try and grow your business and find what works. It's hard to sell at a premium price when legally no one k N own who you are. Lol. I also price "for the future" knowing NY future cogs should come down as I increase volume.
I work fulltime in healthcare and after listening to this I doubt I'll have the time or money to do anything except make candles for myself...just reality but atleast I can make any scent I want.😊
I’m missing a few costs here... shipping, packing materials, marketing budget, electricity, internet, insurance , fees for your selling platform...It all adds up. I like this method but there are more costs to consider when pricing our products, not just the ingredients of the candle itself. Love your videos!
I was having a mini panic attack over pricing due to the x2 and X4 strategy, because as a new business, I was wondering how I can even break market when no one knows me yet. Then when you explain in the second half, about different strategies and structures, it gave me entirely new perspectives and I can't thank you enough for it. My ideas for the future are fairly big, so this allowed me to see the bigger goal and picture. Thank you SO MUCH!!! HUGE THUMBS UP!!!
You know I can’t thank you enough for sharing the business side of candle creating -business. I really stink at this currently. I’m learning so much from you. Thank you!
No problem! But don't be too hard on yourself. We are ALL ALWAYS learning more about both the business and making side. The idea is continuing to learn grow! :) Including me, I just share what I can to help!
This is brilliant. I love the way you take the time to patiently explain in detail the pricing strategy. I have watched a few other pricing model videos by other candle makers but yours is by far a lot more professionally presented, more detailed with examples as reference points and on point. Thanks 😊
Thanks Wade, another great video!!! I've been struggling with pricing for my products (other than candles) and now with beginning to start making candles. This was sooooo informative and precise. You made everything so clear. I've had people telling me that I need to price items for profit (at high prices) and I don't want to until the business grows more, that's the goal right now is to build a good customer base. Without that, there is no business or profit!!! Thanks again!!!!!
THANK YOU SO MUCH!!! I learned a lot. I felt like I was back in Accounting Class. I loved that Class. You are a Great instructor. You are passionate, caring & realistic.
Well what a great video again, I have been testing candles now for about two months and today I sat down worked all my costings out to sort out my retail price and was shocked I was to expensive, nobody will ever buy a candle off of me so I was on a downer thinking I've wasted my time until I sat down tonight to watch you tube what a great idea it is so obvious I just didn't see it I'm inspired again thankyou.....
You have such a mellow tone to your voice that I could listen to you all day! You have a wealth of knowledge and you explain in layman's terms, I appreciate all the time you put in with your videos and I have learned so much. Not sure how I can use this in my wax melt business but I haven't launched yet and will try and apply your recommendations. Thank You again.
Wow! Thank you so much! I’m getting ready to launch my candle business. The reminder to focus on growth vs profit was freeing. I will definitely use the MDC approach! Thanks again for this content!!
Thank you for sharing this information, I have struggled with pricing. I retail candles but have toyed with the idea of making my own brand. I find your videos very informative and encouraging..Thank you very much.
This is so helpful 😭 Thank you so much. Glad that I found your video while I’m still testing on my candles. I’ve been so frustrated with pricing, my cost of goods is pretty high, with the cost based formula it will be overpriced. But now I think I can put a more reasonable price for my candles with your method. Great explanation!
Once again a great video. As someone that is in the very beginning stages of starting a handmade business, that includes candles, I appreciate your advice. I've started the MDC pricing without knowing I've been doing it!
I haven’t even finished the video yet and I want to say, “thank you!” I’ve been making CP soap for ever now (think decade) and tried starting a small business once. It didn’t work out at the time and with 5 kids it wasn’t worth my time away. Side note-they are why I make soap and they are totally soap snobs at this point 🤣. Am am working on candles also now and looking to a future small business,as the kids have gotten older, to help with income. Late to the party but wanted you to know how much this video helped❤️
Thank you for sharing this wealth of knowledge. This really amazes me. I have medical background, absolutely no schooling or experience in business, but this exactly how I did it in determining the price for my candles!! I did not call it anything of course. Just used plain common sense. What a relief to know that a great thinker -you, has it the same way I did! 🌸
Thank you so much Wade Thomas!!! I am in the pricing phase of my starting business. This was alot of information made simple. For me, I am still a little fuzzy on my niche and market. I want to just sell to anyone who have a love for candles.
Yep. Totally understand wanting to sell to anyone. But it's important to have a specific brand or niche as it will help with your market. It's not required... just easier that way. :)
Thank you immensely. Your videos are very positive,structured and informative. Thank you for the time you take in sharing such valuable information. I'm looking to start a candle business and your videos have helped it feel less daunting. Bravo!!
Wonderful resource! Your presentations are so pleasant to watch. Very professional and straight forward. Great information. I Thank You for your time in putting these videos together and sharing with the world. Wishing you continued success in your ventures. Thank You again.
Wow Wade, this video has provided new perspectives I had not thought about! Do you offer consultations for a fee? I’d really like to talk to you about 2 of my candle types and philosophy for both. I respect your ideas and key understanding regarding pricing of candles. Have you ever offered consultations for a fee? THANK YOU for sharing your unique perspective on pricing candles, I have a lot to think about! Thank you for taking the time to record this video! Please let me know if you even have time for a consult and how much you would charge for like 30 minutes? There is another candle business owner who offers a “$30 for 30” for chandlers who have questions that keep them awake at night worrying about. A very special “THANK YOU❣️” for this thought provoking video! Thank you in advance for your time and response to my question!
Thank you so much for this video! It is so helpful! I’m starting my candle business and I’m in the process of testing. This has helped me figure pricing out so much better than other videos. I was doing the 4x method and my price was crazy. Your explanations made so much since. Way better method. I love all your videos. They are so helpful for people starting out and very informative.
Thank you so much for this video. It is so very helpful, I was just about done with most of the work of pricing but hadn't come to a final decision about it and this really helped me make a decision.
Super video. I am just starting out so pricing is my next hurdle. This hasbeen so helpful like all your videos. Many thanks and every good wish to you for continued success with your own business from rural Ireland.
Great information and much appreciated. Challenge we have is that Future COGS have significantly increased due to supply chain issues across the board, including the cost of shipping the supplies and shipping out our products. Would love insights and recommendations as these increases would normally cause a price increase in a market where candles are really considered a discretionary item and not a mandatory household item.
Hey Joel. You are absolutely right. Cogs have definitely gone up. All you can really do is adjust with them. Customers understand price increases with inflation and economic issues. gotta do what you gotta do to stay in business. They are discretionary purchases but people also spending more time at home. But you do have to adjust with inflation to stay afloat even if it slows down some sales unfortunately
Thyank you for such a great video, we are justbstarting out and I am so glad I found your channel. All of your videos I have watched has been helpful. Thanks again
Great video! Very useful. I'm starting a soap and candle business, and it turns out I was already using Future COGS. I've been buying in small quantities to get started, but I've already found suppliers and figured out what prices I will get when I ramp up production and buy in bulk. Since it can be hard to significantly raise prices in the future, I'm trying to get it right at the start, but maybe have an "introductory" pricing.
Loved the input! I would advise anyone to factor in the overhead from the get go. Failing to do so can run a business to the ground in just a few months, which is likely to happen with some of the pricing models you've demonstrated. It is much harder to pump your prices up, if you've never factored that in, than to lower your prices later on. Especially when "playing with fire" with a product like candles. It only takes one insurance claim from one of your customers. Their retainer fee on lawyers is higher than your life's earnings probably 😅. Any business should factor in their own insurance. Proper labeling is also key in such a scenario, but still... better safe than sorry! Factor in the overhead in the "MDC" model, along with potential or projected growth (volume discounts/future COGS and number of units sold) and it all blends in really well. Can literally be a life saving precaution for any business!! Cheers! 🍻 Keep up the good content! 🤝
Hey Seth. Completely agree and thank you you sharing. I struggled with whether to include more details such as overhead and other direct snd indirect cost. I didn't want to make this single video overly complicated but yes you are right. I tried to stick to more about direct product cost and industry pricing bit you are absolutely 100% correct. Thank you for posting!
This is such a great video. I have used some of this because I'm super OCD and for finances, I think you should be. Thank you for reinforcing what I already was using. Yayy thank you.
My absolute favorite video so far!! I’m very business minded but like many thinking I need to maximize profit early which is wrong way to look. I’m at 8oz candle with about 4.50in cost, so looking at the the 14 to 15 range. Question is cost of boxes? I didn’t see that in there.. and is it best to do a flat shipping, which seem like is around 7 average per candle?
I am wondering where or when you figure cost of testing in? I would be interested in knowing your thoughts on start up costs and continued testing costs.
Good question. I track this in the software I use (craftybase). I even made a video about it as well. But I categorize all those costs (which the software helps track) as R&D expense. ;) Here is testing video but if you haven't yet, check out the entire craftybase video here on my channel as well. It will help it make sense: ruclips.net/video/GO7bL1nuqCQ/видео.html ruclips.net/video/QLvsQeqC-zo/видео.html
This was a wonderful video. Super useful! I have a follow-up question: I assume this strategy applies to in-person candle sales (markets, fairs, etc.). Using your example price of $10 from the video, would you increase the price beyond that $10 to account for the costs associated with the packing and shipping of online orders? I assume you would, but since you didn't address this in the video, I thought I'd ask for clarification. Thanks for sharing your wisdom with the world's candle makers!
EDIT: The end of the video answered this for me :) Thank you for all of your effort into these great videos! I have been binge watching you this weekend. I have a thought... I am wanting to start luxury/upscale brand(s) and I am realizing (from my rich Bently driving friend and Park Avenue friend) that if I want luxury clients/customers, I have to haul a$$ to prove/justify higher prices...which is difficult when you are starting off. It almost makes more sense to possibly start as a middle of the road and then start a luxury line after getting clout. What are your thoughts? It seems like starting with a name like Black Tie Barn, you would be higher end, catering to the more rural area upscale ppl (I live in an upscale farm area...we exist lol). TIA.
Thank you so much for this video. I'm at the very, very beginning of candle making where I've made a few candles. So I'm just getting my feet wet. I know that I should be practicing the craft 1st still it's nice to see these types of videos as I'm practicing and working on my recipes. Forgive me if I may have missed it in the video but do you research a cost (dollar) value for step 3 of the MDC method or is that simply for identifying who your market and niche is? I was a little confused about step 3 when it came to you going over the example at the end of the video. Also, this video was so helpful to see.
Thank you for another helpful and amazing video. Your channel is one of the best out there helping fellow candlemakers just starting their business! Thank you thank you thank you!
I would like for you to share some useful informations with me bad on how to get my candle business off the ground. I be selling a few once in awhile to people in my circle but I want it to be better than that even though I started over a month ago. Can you?
Some suppliers like CandleScience have options for pallets and the shipping costs drop dramatically! Otherwise, going straight to manufacturers is sometimes an option.
hola estuve mirando tu video explicas clamente sos muy buen maestro, he sacado mis costos dentro de los cuales el packashing es bastante costoso, debería incluirse en la fórmula para que nos acerquemos más al costo real, y no tan real porque no he incluido la mano de obra ni la fuerza motríz ni costo de luz y gas!!! entonces mi margen va a ser menor lo interesante aquí al empezar es no tener pérdidas que no te permitan reponer los materiales y seguir produciendo. en mi determinación de costos he aplicado directamente los costos mayoristas en cera y fragancias y recipientes y verdaderamente es notable la diferencia con respesto a los costos normales minoristas que ofrecen los proveedores. Vivo en España y las velas aún no tienen el auge que en USA, no saben lo que se pierden. Seguiré mirando tus videos, aun mi negocio se está proyectando y te he elegido como mi tutor. Muchas gracias. Verás que tengo un canal de youtube que nada que ver con lo que estoy por emprender, Un saludo desde Spain Laura Tamburini
I want to start my own candle business. Do you think an introvert with social anxiety can have her own business? I don't want to work for no one anymore. But am afraid to take the first step and I don't know how or where to begin. 🙈
Thank you so much! I’ve been doubting myself a lot as far as pricing goes. I’ve pretty much been doing as you suggested from the beginning. BUT I was recently approached to put my products in a small hometown store. I’ve been doing the cost x2 x 2 method, which I’m not really a fan of, problem I have is a new special candle that I’m just beginning to make, which is quite costly to make. My promotion price is basically my cost x 2, the problem I have is, what do I now charge wholesale for? There’s no way she can get 2 times that amount in her store. Any suggestions?
Yep that's the issue with using a formula of 2x and 4x early on when your own costs are still. Two options. 1) buy more bulk if you think you can use it and have orders lined up That will lower your costs. 2) start with higher prices and lower as you grow. But this makes it harder and slower to grow. 3) price for what you think is good and will sell...knowing you won't profit much early on. Let the profits come in as your business grows. Sorry, that's 3 options. :) Ultimately up to you.
You’ve done it again...thanks...very informative and wasn’t boring or dry which has been the case on other videos about pricing and finances! Brilliant presentation...
Thanks so much! :)
After spending the last couple of months watching SEVERAL videos from you, Memory Box, Standley, Armatage and few others... Researching information online, reading forums, getting product education, and banging my head against the wall comparing suppliers... the information in this video, at 1:20am, is what finally made everything click for me. Your teaching style is impeccable, but this particular format of content is a homerun. Absolutely needed this video. Thanks, Wade.
Wow. Thanks Ian. I appreciate that. More to come! Hope your continue to enjoy. thanks for being here!
You have more than earned a Grammy award for exceptional, educational, informational, professional leadership in candle making and building your own small business techniques, tips, tricks, strategies. Huge applause and grateful thank you. Mucho Gracias
Ha ha! Thank you! :)
Wade. I can honestly say I’ve learned so much from watching all your videos. I know this video is older, but I’m just getting ready to launch my business this summer and your videos have been the BIGGEST help. I had no clue where to start when it came to all the business side of things because I’ve never started my own business ever and your approach to all of this and how you take the time to explain, break down and give examples makes it easy to understand! I honestly can’t say thank you enough for making these accessible to us at no extra cost. You win the award for best teacher. Hope to have you review my candles someday. Please keep teaching these types of videos based around the business side of this, because they’re so helpful.
Thanks so much and I definitely will!
Your words, Dove, are exactly my words. 🎉🎉🎉🎉 this channel is great.
Thank you so much!!! Your MDC method is very similar to what I’ve been using to get my pottery business off the ground. I’ve been slammed repeatedly by my family members for not charging more but I have a hard time explaining to them why I don’t charge more. It’s not that my time in production is not valuable but I’d rather sell my products at a lesser price than those of the more established artists and have the funds to keep buying the materials I need to make more. My time IS valuable and is the cost I’m willing to put into building my business! Thank you for giving this a name and for laying it out so beautifully! Many blessings to you!!
Thanks Tammy. Yeah, I don't want people to get the wrong idea and that I am suggesting underpricing yoiurself.. it's more about sacrificing early margins at first to try and grow your business and find what works. It's hard to sell at a premium price when legally no one k N own who you are. Lol. I also price "for the future" knowing NY future cogs should come down as I increase volume.
I work fulltime in healthcare and after listening to this I doubt I'll have the time or money to do anything except make candles for myself...just reality but atleast I can make any scent I want.😊
I’m missing a few costs here... shipping, packing materials, marketing budget, electricity, internet, insurance , fees for your selling platform...It all adds up. I like this method but there are more costs to consider when pricing our products, not just the ingredients of the candle itself. Love your videos!
Oh yes for sure. I mentioned that at some point that the costs in this video is describing direct material costs only. But you are absolutely correct!
I was having a mini panic attack over pricing due to the x2 and X4 strategy, because as a new business, I was wondering how I can even break market when no one knows me yet.
Then when you explain in the second half, about different strategies and structures, it gave me entirely new perspectives and I can't thank you enough for it.
My ideas for the future are fairly big, so this allowed me to see the bigger goal and picture. Thank you SO MUCH!!! HUGE THUMBS UP!!!
no problem at all and glad you enjoyed it. Sorry for late response, sometimes comments get buried or hidden from me for a bit as they come in.
You know I can’t thank you enough for sharing the business side of candle creating -business. I really stink at this currently. I’m learning so much from you. Thank you!
No problem! But don't be too hard on yourself. We are ALL ALWAYS learning more about both the business and making side. The idea is continuing to learn grow! :) Including me, I just share what I can to help!
This is brilliant. I love the way you take the time to patiently explain in detail the pricing strategy. I have watched a few other pricing model videos by other candle makers but yours is by far a lot more professionally presented, more detailed with examples as reference points and on point. Thanks 😊
Thanks so much. I appreciate that. More to come too.
A year into business this is where I have been spinning wheels…profit vs growth. Thanks for sharing!
Np!
Thanks Wade, another great video!!! I've been struggling with pricing for my products (other than candles) and now with beginning to start making candles. This was sooooo informative and precise. You made everything so clear. I've had people telling me that I need to price items for profit (at high prices) and I don't want to until the business grows more, that's the goal right now is to build a good customer base. Without that, there is no business or profit!!! Thanks again!!!!!
No problem!
THANK YOU SO MUCH!!! I learned a lot. I felt like I was back in Accounting Class. I loved that Class. You are a Great instructor. You are passionate, caring & realistic.
Haha. I like accounting too so I like geeking out sometimes. :)
Well what a great video again, I have been testing candles now for about two months and today I sat down worked all my costings out to sort out my retail price and was shocked I was to expensive, nobody will ever buy a candle off of me so I was on a downer thinking I've wasted my time until I sat down tonight to watch you tube what a great idea it is so obvious I just didn't see it I'm inspired again thankyou.....
Glad to hear Adrian. I know what you mean. It's easy to get discouraged early on. Key is just to keep pushing through and adapting.:)
I am using Inventora for calculating inventory and COGS and etc. Love it. As a just about to launch business, it saved my life
You have such a mellow tone to your voice that I could listen to you all day! You have a wealth of knowledge and you explain in layman's terms, I appreciate all the time you put in with your videos and I have learned so much. Not sure how I can use this in my wax melt business but I haven't launched yet and will try and apply your recommendations. Thank You again.
Thanks so much Roberta. Made me smile. Appreciate the feedback and happy to help.
This is the best channel ever. Have been working on starting my candle business for a while. Have relied on your videos a lot. Thank you so much
Thanks so much. I appreciate that. Good luck to you and thanks for being here. :)
Wow! Thank you so much! I’m getting ready to launch my candle business. The reminder to focus on growth vs profit was freeing. I will definitely use the MDC approach! Thanks again for this content!!
Np! Thanks Laura!
I am not in the candle industry and I find your channel amazing! ❤️💗❤️
Wow. Thanks so much! 🤗
This was a true Master Class…extremely valuable! Thank you.
Glad it was helpful!
Thank you for sharing this information, I have struggled with pricing. I retail candles but have toyed with the idea of making my own brand. I find your videos very informative and encouraging..Thank you very much.
Great information Wade, I do like the MDC approach to start. Makes a lot of sense. Thanks
No problem!
This is so helpful 😭 Thank you so much. Glad that I found your video while I’m still testing on my candles. I’ve been so frustrated with pricing, my cost of goods is pretty high, with the cost based formula it will be overpriced. But now I think I can put a more reasonable price for my candles with your method.
Great explanation!
No problem Amara. Yah, it's easy to be overpriced early on. Don't feel bad. It's common to have high cogs early on
Once again a great video. As someone that is in the very beginning stages of starting a handmade business, that includes candles, I appreciate your advice. I've started the MDC pricing without knowing I've been doing it!
Perfect! Thanks Kat!
Love your wisdom and your transparency. Thanks Wade.
Np! 🤛
This was awesome Wade! I’m almost ready to go to market and this helped
Np! Thanks Nachelle . Love your name by the way!
I haven’t even finished the video yet and I want to say, “thank you!” I’ve been making CP soap for ever now (think decade) and tried starting a small business once. It didn’t work out at the time and with 5 kids it wasn’t worth my time away. Side note-they are why I make soap and they are totally soap snobs at this point 🤣. Am am working on candles also now and looking to a future small business,as the kids have gotten older, to help with income. Late to the party but wanted you to know how much this video helped❤️
Thanks so much Sondra!
Thank you so much for this video!! Loved the examples you used it really helped to digest the information thanks
Thanks Raina!
Wow, that was an amazing video with a wealth of actionable information. Thank you for your time. I’m loving this channel. Your Sir Rock!👏🏾
Appreciate. Thanks so much!
Thank you for sharing this wealth of knowledge. This really amazes me. I have medical background, absolutely no schooling or experience in business, but this exactly how I did it in determining the price for my candles!! I did not call it anything of course. Just used plain common sense. What a relief to know that a great thinker -you, has it the same way I did! 🌸
Awesome Sheila!
Your channel is by far one of the best. I wish I had found you sooner. Thanks 😊
Thanks Jay!
All I can say after watching this video is WOW!!!! Learned so much. Thank you.
Thanks Sherry!
Thank you so much Wade Thomas!!! I am in the pricing phase of my starting business. This was alot of information made simple. For me, I am still a little fuzzy on my niche and market. I want to just sell to anyone who have a love for candles.
Yep. Totally understand wanting to sell to anyone. But it's important to have a specific brand or niche as it will help with your market. It's not required... just easier that way. :)
Thank you for your hard work on sharing this with us! What a brilliant lesson. :)
Thanks ines!
Thank you immensely. Your videos are very positive,structured and informative. Thank you for the time you take in sharing such valuable information. I'm looking to start a candle business and your videos have helped it feel less daunting. Bravo!!
Thanks so much. Glad to offer some help
This really helps! I am about to launch my candle business this weekend!!! Yay!! Thank you!
No problem!
Thank you so much for this video! So informative and helpful!
You're welcome!
Wonderful resource! Your presentations are so pleasant to watch. Very professional and straight forward. Great information. I Thank You for your time in putting these videos together and sharing with the world. Wishing you continued success in your ventures. Thank You again.
Thank you so much Beverly
Wow Wade, this video has provided new perspectives I had not thought about! Do you offer consultations for a fee? I’d really like to talk to you about 2 of my candle types and philosophy for both. I respect your ideas and key understanding regarding pricing of candles. Have you ever offered consultations for a fee? THANK YOU for sharing your unique perspective on pricing candles, I have a lot to think about! Thank you for taking the time to record this video! Please let me know if you even have time for a consult and how much you would charge for like 30 minutes? There is another candle business owner who offers a “$30 for 30” for chandlers who have questions that keep them awake at night worrying about. A very special “THANK YOU❣️” for this thought provoking video! Thank you in advance for your time and response to my question!
I do. Here you go. :)
koalendar.com/e/meet-with-wade
Thank you so much for this video! It is so helpful! I’m starting my candle business and I’m in the process of testing. This has helped me figure pricing out so much better than other videos. I was doing the 4x method and my price was crazy. Your explanations made so much since. Way better method. I love all your videos. They are so helpful for people starting out and very informative.
No problem! 4x can definitely help as yo7 scale but it's not always the best formula starting out.
Thank you so much for this video. It is so very helpful, I was just about done with most of the work of pricing but hadn't come to a final decision about it and this really helped me make a decision.
Glad to hear it helped. Thank you for watching. :)
Thank you For this! This was VERY HELPFUL!
❤️
Your the best teacher ive listened to. thank you so much
🥰
Super video. I am just starting out so pricing is my next hurdle. This hasbeen so helpful like all your videos.
Many thanks and every good wish to you for continued success with your own business from rural Ireland.
Thanks Mary. Happy to help!
Great information and much appreciated. Challenge we have is that Future COGS have significantly increased due to supply chain issues across the board, including the cost of shipping the supplies and shipping out our products.
Would love insights and recommendations as these increases would normally cause a price increase in a market where candles are really considered a discretionary item and not a mandatory household item.
Hey Joel. You are absolutely right. Cogs have definitely gone up. All you can really do is adjust with them. Customers understand price increases with inflation and economic issues. gotta do what you gotta do to stay in business. They are discretionary purchases but people also spending more time at home. But you do have to adjust with inflation to stay afloat even if it slows down some sales unfortunately
Thank you! All your videos been super helpful
😁 great! Thanks for being here!
Thyank you for such a great video, we are justbstarting out and I am so glad I found your channel. All of your videos I have watched has been helpful. Thanks again
No problem. Thanks Tom. I appreciate it
Thank you for sharing your time and expertise
Np Tara
GREAT Video and VERY informative. Thank you so much for all the work you did to help me and so many others.
No problem. Thanks for the feedback!
Thank you for this video! It has helped me so much!!
Great! No problem Holly!
Thank you so much. This was very informative!
Np! Thanks for watching!
Great video! Very useful. I'm starting a soap and candle business, and it turns out I was already using Future COGS. I've been buying in small quantities to get started, but I've already found suppliers and figured out what prices I will get when I ramp up production and buy in bulk. Since it can be hard to significantly raise prices in the future, I'm trying to get it right at the start, but maybe have an "introductory" pricing.
Good explanation. I learned lot from you.
Thanks!
This helped me so much. Thank you!
Glad it helped!
Incredibly valuable. Thank you for putting this informative video together, great content and execution.
Thank you Sarah!
THIS WAS SO GOOD THANK YOU AGAIN.
No problem Cassandra!
What a lot of information! Great video. You presented it in a way that was easy to understand. Thanks so much.
Thanks Tammey!
Thank you for all of this information. Your videos are always easy to follow and helpful.
😉
Loved the input!
I would advise anyone to factor in the overhead from the get go. Failing to do so can run a business to the ground in just a few months, which is likely to happen with some of the pricing models you've demonstrated. It is much harder to pump your prices up, if you've never factored that in, than to lower your prices later on.
Especially when "playing with fire" with a product like candles. It only takes one insurance claim from one of your customers. Their retainer fee on lawyers is higher than your life's earnings probably 😅. Any business should factor in their own insurance.
Proper labeling is also key in such a scenario, but still... better safe than sorry! Factor in the overhead in the "MDC" model, along with potential or projected growth (volume discounts/future COGS and number of units sold) and it all blends in really well.
Can literally be a life saving precaution for any business!!
Cheers! 🍻
Keep up the good content! 🤝
Hey Seth. Completely agree and thank you you sharing. I struggled with whether to include more details such as overhead and other direct snd indirect cost. I didn't want to make this single video overly complicated but yes you are right. I tried to stick to more about direct product cost and industry pricing bit you are absolutely 100% correct. Thank you for posting!
@@BlackTieBarn Agreed! Lenghty videos can be overwhelming. This begs for a part 2 then! 😉
Cheers! 🍻
@@sethforpharaoh9356 haha. good point!
This is such a great video. I have used some of this because I'm super OCD and for finances, I think you should be. Thank you for reinforcing what I already was using. Yayy thank you.
Yes. I am as well. I really enjoy talking finances but also super important!
@@BlackTieBarn I can tell, your video was well put together and very informative. 📖 🤓
Thank you so much for putting up this video! I took a lot of notes and it would help me with my candle business. 🙂
🙂np!
Value value valuable content Thank you, Thank you , Thank you!! 😊😊
As always, brilliant video.
Thank you!
Thank you so much for sharing that advice with everyone. We're just starting out and this is really useful.
No problem at all!
very helpful, I have a much better idea now. thanks
Glad it helped
I love all of your tutorials! So helpful!
Thank you!
great vid thank you,just starting out myself.
❤️🤣
Thank you! Love your videos, all informative and easy to understand.
Thank you! :)
This video was extremely helpful. Thank you!
No problem!
Thank you! Very helpful information and refreshing actually to give myself a boost and to jump start my somewhat sleeping home business! 😊👍
Np at all! :)
Thank you so much for this information it really helped me and hope me to understand and look at things differently ☺️ Blessings🕊
Np!
My absolute favorite video so far!! I’m very business minded but like many thinking I need to maximize profit early which is wrong way to look. I’m at 8oz candle with about 4.50in cost, so looking at the the 14 to 15 range. Question is cost of boxes? I didn’t see that in there.. and is it best to do a flat shipping, which seem like is around 7 average per candle?
Yah I didn't include packaging and shipping because it varies SO much. I tried to focus mostly on the product itself with this video
I am wondering where or when you figure cost of testing in? I would be interested in knowing your thoughts on start up costs and continued testing costs.
Good question. I track this in the software I use (craftybase). I even made a video about it as well. But I categorize all those costs (which the software helps track) as R&D expense. ;)
Here is testing video but if you haven't yet, check out the entire craftybase video here on my channel as well. It will help it make sense:
ruclips.net/video/GO7bL1nuqCQ/видео.html
ruclips.net/video/QLvsQeqC-zo/видео.html
This is great. Thank You for Sharing 😊
Great and informative...Thanks for all your help
❤
This was a wonderful video. Super useful! I have a follow-up question: I assume this strategy applies to in-person candle sales (markets, fairs, etc.). Using your example price of $10 from the video, would you increase the price beyond that $10 to account for the costs associated with the packing and shipping of online orders? I assume you would, but since you didn't address this in the video, I thought I'd ask for clarification. Thanks for sharing your wisdom with the world's candle makers!
Yes usually a good idea. Thanks Laurie! :)
Your videos have helped me so much. Thanks 😊
No problem!
EDIT: The end of the video answered this for me :)
Thank you for all of your effort into these great videos! I have been binge watching you this weekend. I have a thought... I am wanting to start luxury/upscale brand(s) and I am realizing (from my rich Bently driving friend and Park Avenue friend) that if I want luxury clients/customers, I have to haul a$$ to prove/justify higher prices...which is difficult when you are starting off. It almost makes more sense to possibly start as a middle of the road and then start a luxury line after getting clout. What are your thoughts? It seems like starting with a name like Black Tie Barn, you would be higher end, catering to the more rural area upscale ppl (I live in an upscale farm area...we exist lol). TIA.
Thank you so much for this video. I'm at the very, very beginning of candle making where I've made a few candles. So I'm just getting my feet wet. I know that I should be practicing the craft 1st still it's nice to see these types of videos as I'm practicing and working on my recipes. Forgive me if I may have missed it in the video but do you research a cost (dollar) value for step 3 of the MDC method or is that simply for identifying who your market and niche is? I was a little confused about step 3 when it came to you going over the example at the end of the video. Also, this video was so helpful to see.
Very helpful, thank you so much!
No problem!
Your candles looking so rich in color. I got mind looking like that to and I'm beginner.
Awesome!
👏 amazinggg. Thank you
❤
ty learned alot
❤️👍
Thank you.... smart man
❤️
May the good lord bless you. (Or whoever you believe in). You’re amazing.
Thanks so much Mel!
Hey Wade! Great content, very well structured, and super useful for people starting out.
Thanks!
Thanks Richard!
I wonder if we can presume future COGS will drop in time of inflation and rising freight costs. Being in Alaska doesn’t help either.
No no...that certainly doesn't help you does it!
Thank you for another helpful and amazing video. Your channel is one of the best out there helping fellow candlemakers just starting their business! Thank you thank you thank you!
Thanks Suzi! ☺
Trés bien Wade!
❤️
Thanks for the video wade! What is the best website for getting jars?
Great video bro.
Ty!
You are welcome. You are the boss.
I would like for you to share some useful informations with me bad on how to get my candle business off the ground. I be selling a few once in awhile to people in my circle but I want it to be better than that even though I started over a month ago. Can you?
Do you have information on how/who you can buy bulk blend wax from? I mean like skids not just a few boxes here and there . Shipping cost is crazy.
Some suppliers like CandleScience have options for pallets and the shipping costs drop dramatically! Otherwise, going straight to manufacturers is sometimes an option.
Very informative
Ty and thanks for watching!
hola estuve mirando tu video explicas clamente sos muy buen maestro, he sacado mis costos dentro de los cuales el packashing es bastante costoso, debería incluirse en la fórmula para que nos acerquemos más al costo real, y no tan real porque no he incluido la mano de obra ni la fuerza motríz ni costo de luz y gas!!! entonces mi margen va a ser menor lo interesante aquí al empezar es no tener pérdidas que no te permitan reponer los materiales y seguir produciendo. en mi determinación de costos he aplicado directamente los costos mayoristas en cera y fragancias y recipientes y verdaderamente es notable la diferencia con respesto a los costos normales minoristas que ofrecen los proveedores. Vivo en España y las velas aún no tienen el auge que en USA, no saben lo que se pierden. Seguiré mirando tus videos, aun mi negocio se está proyectando y te he elegido como mi tutor. Muchas gracias. Verás que tengo un canal de youtube que nada que ver con lo que estoy por emprender, Un saludo desde Spain
Laura Tamburini
Thank you very much for sharing this info. It was well done & very helpful.
No problem!
Great 👍 information thanks a lot
No problem!
I want to start my own candle business. Do you think an introvert with social anxiety can have her own business? I don't want to work for no one anymore. But am afraid to take the first step and I don't know how or where to begin. 🙈
Again i thank u ❤
You're welcome 😊
Thank you so much! I’ve been doubting myself a lot as far as pricing goes. I’ve pretty much been doing as you suggested from the beginning. BUT I was recently approached to put my products in a small hometown store. I’ve been doing the cost x2 x 2 method, which I’m not really a fan of, problem I have is a new special candle that I’m just beginning to make, which is quite costly to make. My promotion price is basically my cost x 2, the problem I have is, what do I now charge wholesale for? There’s no way she can get 2 times that amount in her store. Any suggestions?
Yep that's the issue with using a formula of 2x and 4x early on when your own costs are still. Two options.
1) buy more bulk if you think you can use it and have orders lined up That will lower your costs.
2) start with higher prices and lower as you grow. But this makes it harder and slower to grow.
3) price for what you think is good and will sell...knowing you won't profit much early on. Let the profits come in as your business grows.
Sorry, that's 3 options. :) Ultimately up to you.
I like your product you explain all, if possible i order can you i select or send assorted scents what i mean different scents