Can
You Make Money With Soap?
Based on my experience the answer is...yes!
Many people make a good part-time income making and
selling soap and a few have made a fortune. Quite a few
are somewhere in between. But it isn't so easy! The
answer to the question can you make money with soap
easily is "No." If you are a hobby soap maker, you must
start thinking like a business person to improve your
chances of making money.
First, your sales volume must be large enough to
generate your profit goals. And you really should have
some goals. There are many ways to sell
soap. My favorite way is to use craft
fairs. You can sell consignment through gift
shops, wholesale to retail stores, sell through an
Internet store or many other ways. Click
here for a soap making business plan that will work...
Costs are the other side of the profit picture. One
huge plus of a soap
business, like a lot of craft businesses, is
the low initial investment required. It costs nearly
nothing to get started. There's really no reason to look
for a handmade soap making business
for sale.
We made and sold 29,000
bars of soap part-time in about four
years. Our equipment cost less than $300 total. So it's
easy to get started. You just need molds, pans, a
thermometer, spoons and a scale. If you're already
making soap as a hobby, you probably have what you need
already.
The cost of each bar of soap depends on the
ingredients. The main ingredients are the base oils
which turn to soap and the scent oils. Sodium hydroxide
is used to make the reaction occur.
Ingredient prices vary widely. With wise buying, you
should be able to make a nice scented bar of soap for
less than $1.00 US, maybe even down toward $0.50. Of
course, if you choose exotic oils, the price can be much
higher.
What Can You Get For Good Soap?
The price you receive will depend on your market and
your product. But it will also depend on your ability as
a marketer. What separates your product from the
competition? Is it a niche product? What about
packaging? So your entire marketing approach will be
important.
If you can sell a bar of soap for $4.00 with a cost of
$1.00, you can potentially make some profit.
If the price was $6.00, you have an even better chance.
But it may be quite a challenge to get those premium
prices. Some get even more however. Sometimes a lot
more...
Just for an example, at better craft shows we regularly
sold about 400 bars of soap, plus other related items.
And that doesn't count follow-up
sales... a future topic.
If you are an effective marketer, learn how to sell
handmade soap and you can control costs, there is profit
to be made selling your products. It's very possible to
make an excellent wage for your time after an initial
learning period.
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