My simplified retail pricing method is based upon the basic cost of materials multiplied a number of times (the number of times is dependent on the candle type)Materials Cost
Use the following step by step procedure to calculate your average cost per ounce of wax formula
1. Add the cost per pound of all the scent oils you use, and divide by the number of scents to find average price per pound
2. Divide the number in step 1, by 16 (assuming you use an ounce of scent per pound of wax, if not divide by the appropriate number)
3. Add in the cost of any additives used per pound of wax including dye
4. Add in the cost per pound of wax
5. Add .05 or so to cover wick cost
6. Add together steps 2, 3, 4, and 5 to get your cost per pound
7. Divide the total from step 6 by 16 to get your cost per ounce
8. Multiply the cost per ounce from step 7 times the weight of the candle
As you can see, once you have an average cost per ounce, you can weigh a candle and multiply that cost times the number of ounces to determine your material cost for any candle. Read more.
