This is our fourth year in business and we have to deal with increases in our raw materials as well. When we started this venture, the economy was not at it’s best and we had no idea if our products would even move. At first, I was not able to buy my ingredients for making soap from wholesalers, so I was paying retail prices for items. We really had a hard time making a profit on each bar of soap. My idea was to produce a quality bar, made from quality vegetable based ingredients at a reasonable price. I wanted everyone to be able to afford good soap. Soon people were purchasing our bars and we were having to look at making more, lots more. The process in which I was buying raw materials had to change. I began looking to wholesale sources for the oils that go into the soap. These oils were affordable but not the quality I was looking for. We had several batches that were complete losses! Not good at all for your bottom line. As time passed and we studied more, we were able to find suppliers with the quality we desired. However, in order to keep our costs in line, we had to start receiving larger orders of oils and butters. This in turn meant making more soap so that we could use the oils in a timely fashion. If the oils are not used, there can be an issue of spoilage. More soap provided us the opportunity to reach more potential customers. Which in turn lead to a greater volume in sales. As we have gone through this transformation we have been able to keep our cost per bar reasonable and yet offer a rich emollient bar of soap at an affordable price.
We are pleased with our products, and are very grateful to be able to offer them at such a reasonable price, while keeping an eye on the bottom line.