The 12 Days of Business
Hard to believe we are almost to the end of 2008. We wish to thank all of our customers for their continued support in 2008. We look forward to the opportunity of working with you in 2009 as we start our 37th year in business we look forward to facing the challenges of the industry.
At times it would be nice to be able to forecast what the industry would look like in 2009, but, as we have all found, the market can go through rapid changes both industry-specific and also in macro economics. There are many reasons for the candle industry to be optimistic in 2009.
One of the new "buzz words" as the economy continues to struggle is "nesting". Many people have different definitions but, in general, people are not moving to larger homes; avoiding the very large ticket items but focusing more on smaller and intimate decorations. Without doubt candles can be a big part of this transition.
In addition because many candle makers tend to be smaller in size, they can be more nimble and are in a better position to respond to market conditions. No one knows for sure what 2009 will hold, but you can count on one thing: Candlewic will be here to assist you in every way possible. In addition we still have some very strong promotions coming up to help you save some money and get the 2009 year started right.
We received so many positive comments about our year end issue we thought we would re-print it this year. (Plus we have been so busy these past several weeks getting the orders out we have not had a chance to finish all our research).
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 2009 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 2007 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 2009.
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 2009. 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 2009. Most important be sure your passion and love for the business
On behalf of the Candlewic Company we wish everyone a safe and Happy Holiday Season.
I am about to use the Custom Wick Builder and I am not sure how to choose the proper wick base can you help?
Choosing the correct wick base is very important to the overall performance of you candle. I will try and identify each of the wick bases we offer.
The first number is the diameter of the clip, generally the 20 mm is the size of a nickel and the 15 mm is the size of a dime. The second number is the diameter of the neck or support.
|20 x 3 mm
||is the best selling and is very well suited for votives and containers.
|20 x 6 mm
||is the best selling for gels and some paraffin candles especially when using 2 wicks.
|20 x 9 mm or
15 x 9 mm
|should always be used when
|33 x 3 mm
||is the perfect answer for the self-centering clip on votives.