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How To Price Your Candles

How To Price Your Candles

Determining a price for your candles can be very overwhelming when starting a candle company. If you price your products to high they may not sell, price them to low and you could end up losing money. Accurately pricing your products will take time and experience. As with any business you will make mistakes and learn how to grow from them. However, before you can figure out prices you must first figure out your actual costs for making candles.


Figure Out Your Costs

It is important when figuring out your costs, you include all the expenses it takes to produce your candles. A small expense can make a huge difference in your bottom line.  When calculating your cost, you should consider three type of costs:

  • Variable cost: Expenses that vary based on how many candles you make.
  • Fixed cost: Expenses that remain constant no matter how many candles you make.
  • Total cost: Your variable and fixed costs added together.

Once you have your total cost per unit figured out, you will want to sell your candles at (cost X 2) for wholesale, and (cost X 3 ) for retail.

Always complete a market analysis prior to finalizing your prices. If your products are too expensive it could lower your demand unless the quality and packaging is exceptional, and pricing your candles too low will also lower your market because customers will think your products are lower quality (that is unless you sell them at an outlet store or a similar type setting). Remember perceived value is definitely a thing!

Don’t Forget Your Target Market :

Be sure to factor in your target market. Here is a recommended example for a 5.8 oz. candle based on each market type:

Mass market: $5 to $8
Mid-market: $9 to $14
High-end or “prestige”: $15 to $22+


Charlotte Sha

Great article! I was looking for ways and tips on how to price my candles properly. Since I bought them from this best candles UK wholesale supplier, I can make a profit selling them individually. Thank you for sharing such a great piece.

Laura Lelis Berdeal

This document has been very helpful to me. Since I am starting my new business this represents a lot to me.
Laura B

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