The 12 Days of Business
As 2007 draws to close, we wish to thank
each and every customer that has relied on us the past 12 months. We hope that we have
exceeded your expectations and look forward to the challenges facing the industry in
2008. The candle market continues to change and evolve and it's important that you have
a supplier that can help you navigate these changes and help you stay informed. As we
enter our 36th year of business, we look forward to continuing to offer exciting new
products, competitive prices and expansion of the education segment of our business.
If you are reading this now, you are aware that we publish this as a free newsletter.
We offer other excellent and free educational resources through our Technical Direct
Chandler via email, our toll-free Technical Support at 800-368-3352 and our free print
catalog. We will also be expanding our level of classes from an
introductory level up to designing a candle manufacturing plant.
We look forward to continuing to work
with you in 2008 and we are always here to assist you.
Your Friends at Candlewic
As business owners there is a great deal that can be done between now and the time you
pop open the champagne to start the New Year. No matter how small you are, some of
these tips can be of great assistance both this year and getting 2008 off to a good start.
Since we are so close to the Christmas holiday we will keep in that spirit and present
these tips in concert with the 12 Days of Christmas. These are not necessarily
in any type of order, except where I could find a corny way to incorporate into the suggestions.
12. Drummers Drumming (Can’t resist this one)
As the number of shopping days dwindles,
it's imperative to finish strong. Be sure to “Drum” up as much business as
possible before the holiday. Offer incentives to help reduce inventory.
11. Pipers Piping
Most companies fiscal year will be ending shortly. Be sure to
get your tax information together so when it comes time to pay the piper (had to reach
on this one) you will be prepared.
10. Evaluating Your Inventory
Evaluating your inventory is a very important year end exercise for
any size business. Reducing
inventory can be very important because it can generate cash flow for the new year and
not be taking up valuable space in your warehouse. You didn’t make any
money on candles sitting in your warehouse or shelf. Holiday candles are difficult
to sell after January 1st unless deeply discounted. Excessive inventory takes up
space and hinders your ability to purchase new products.
9. Donate to Charity
If it appears certain candles will not sell, consider donating them
to an appropriate charity. This will go to a good cause and can help with your tax
they have no value, be sure to get them off your books so you do not have a tax liability
on items that have no “market” value. Check with your accountant
for all true tax questions.
When it appears selling at full value will not happen, offer deep discounts
because generating the sale in most instances is better than having the inventory for
another 9-10 months.
7. Donate to Your Community
Think about giving away the candles directly
to the community. Take 20-30 candles with a nice bow to your church, spouses work or
neighborhood holiday party. Give them to individuals that may not necessarily know
that you make candles. They would be very appreciative of this gesture and may be more
inclined to purchase your candles in the future.
6. Geese a Laying
While the information is fresh, look over your holiday sales and
determine which items were big sellers (Golden Rings) and which are ugly ducklings (in
this instances non-sellers). This will help determine which products you
will want to drop from your product line.
5. Golden Rings
While you are looking over sales
data, don’t just look at sales but
also gross profit (see the May
issue on pricing). You may have several items
that the profit is better than others. Examine ways to sell more of the higher margin
products in 2008.
4. Calling Birds
Reach out to all of your customers and let them know
some of your plans for the upcoming year. It might be new fragrances, new containers
or even types of candle. Most people start the New Year with a lot of optimism, and
if you can put ideas and concepts in their process early enough, you will have an advantage
over your competition.
3. Change Candle Names
If a candle is a holiday specific fragrance rename so you can extend
the selling season until the end of winter. A Christmas Cheer might turn
to Winter Delight.
2. Be More Efficient
Since there may be some slow days, look at your operation and see if there is any way
to make it more efficient. Any new equipment you might
end is always great for budgeting and planning so you can kick the New Year off right. While
the inclination is to wind down the year we have always been an advocate of taking this
slow time to examine the entire business.
1. True Love
Most consumers love candles. Be sure to use this in your
marketing plan for 2008. Candles can serve many functions; room freshner, accessory
and even function as lighting. Be sure to incorporate all of these as you plan for
new products in 2008. Most important be sure your passion and love for the business
I want to make container candles, should I use a one-pour wax?
I am one that always hates to use the term one-pour because in many applications the waxes
identified as such still require topping off.
The low-shrink waxes such as CBL-125 and CBL-130 are
very good waxes when used in this application. They are by nature very soft and the colors
The type of wax you want to use in a container candle will really be determined
by the look you wish to achieve. Borrowing from the color trend, the CBL-125 or CBL-130
would work very well for the harvest color trend but may not work as well for the bright
Another way to help achieve minimum shrinkage would be to add some
Soy wax to your blend.