Video: How to Achieve Accurate Bar Size in Soapmaking

There are three ways to cut cold process soap loaves into bars: by hand, with a manual cutter, and with an electric cutter. The disadvantage to cutting soap by hand is that it is challenging to get consistent bar size and accuracy. If you currently cut soap by hand, try weighing each bar and see how close each one is in weight. Surprisingly they can be as much as .5 oz or more different. Also, it's next to impossible to scale your soap business with cutting soap by hand. Imagine cutting thousands of bars by hand.

When we move to a manual or electric cutter, our accuracy increases and so does the professional appearance of our soap bars. I prefer a manual cutter to an electric one, the reason being is that it takes so much time to replace cutter blades from loaf cutting to bar cutting.

In the following video I'll show you how we easily cut loaves into bars. This particular batch yielded 27 loaves, which in turn produced 378 bars of soap.

How do you cut your soap? Do you have any tips to share?

Thanks for watching!
~Marla

Video: Large Batch Soapmaking Equipment: Molds and Cutter

Two years ago I invested in soap making equipment for large scale production of cold process soap. The cost was over $10,000. The investment is well worth it if you are looking to grow your soap business. My company already owned a water-jacketed soap melter, plenty of stainless steel tables, bakers racks and utility shelving. But what we needed was a system to produce thousands of bars of soap per week with ease.

Equipment for increase production can be costly. Factors to consider when contemplating a purchase in equipment include:

• How is this a wise investment for your company? (In other words, prove it to yourself.)
• Do you plan to grow this segment of your business for at least 5 or more years? 
• Will the equipment retain its value for resale?
• At what capacity will your equipment investment allow your production to grow? Then what
• As your production grows, can you add on to the equipment or will you have to purchase a completely new system?
• Is there considerable growth from your current production volume and that in which you estimate your equipment will provide? How long will you start to see return on investment (ROI)?
• How will you finance your equipment?
• Can you grow areas of your business to help pay for the equipment (such as adding or increasing wholesale capabilities, private label, etc.)?

In the following video I'll show you the large mold (pictured below) and electric cutter. The cutter hoists the soap mold onto the platform. From there the mold block is secured and the soap is released from the mold by removing all four sides. The large soap block is then positioned under the wire cutters and the soap is cut into loaves. The loaves are then cut into bars.

Have you ever seen soap making equipment in action? Do you have plans to grow your business? What questions about large-scale production do you have?

Thanks for watching!
~Marla

Tips to Increase Profitability for Your Handmade Soap and Bath & Body Business

I bet you’re breathing a huge sigh of relief about now. 2013 is a closed chapter and a fresh, new 2014 calendar awaits your business strategy. If you haven’t already reviewed 2013, now is the time to do it. What worked for you last year and what didn’t? Where were you most profitable? Being more selective with opportunities presented to you in 2014 will positively affect your bottom line.

I’ve already let several projects from 2013 fall to the wayside in 2014. They made sense last year, but as I continually raise my business standards and become more selective in where I put my energy there were several things that I’ve let go.

In addition to reviewing 2013, another project on the top of your list should be your annual growth strategy. I don’t know anyone who doesn’t want to grow their business. But let’s get specific. Do you want to grow your business 5%, 10% or more this year?

There are several ways to grow your business. One way is to reduce your bottom line. The other is to increase your sales. Let’s take a look at reducing your bottom line first. A little planning and strategizing could save you a total of 5-30% in this area. Here are some simple suggestions to save money, which in turn will put more back into your bank account:

·         Negotiate lower merchant account credit card processing rates. Did your credit card sales increase this year? Do you expect more sales this year? Call the merchant processing company and tell them you are looking for lower rates. If you reduce your rate by 0.5-1% you’re doing well.

·         Review your annual cost of goods spending and shop around for the best prices on ingredients. This year work on buying in bulk to lower your costs. Instead of purchasing in small quantities frequently, determine price breaks and order quarterly or twice a year instead. This can save you anywhere from 3-5% or more on your cost of goods spending.

·         Re-evaluate contracts, service subscriptions (webhosting, etc.) and memberships. Which of these are worth keeping and which have little to no return on investment? Estimated potential savings here is 1-3%.

·         Review shipping costs from suppliers. Would you save money buying in bulk and shipping your orders via freight versus UPS? You could save up to 10% on current shipping costs depending on your buying habits.

·         Re-evaluate your marketing budget. What did you pay for marketing in 2013? Which of your marketing initiatives resulted in a high return on investment? Which did not?

Let’s look at increasing sales

Have a specific goal in increasing sales (i.e., this year we will increase sales by 20%).  Here are some suggestions on how to increase sales:

·         Nuture relationships with current customers. Your best customers know your brand and will have good suggestions on what products to add, how to improve customer service, new services and more. Tap into their resources and remember to reward them with discounts and paybacks.

·         Upsell to customers. Did you know that more than 80 percent of sales are impulse purchases? This is a relatively easy way to increase sales by 5-10 percent annually. Ask for the sale at checkout (i.e., “Would you like to take advantage of our lip balm special?”)

·         Add new products or services. Be specific. For example, how many new products will you introduce by May? How many by September?

·         Increase your wholesale and private label accounts. How many annually? How many new accounts does that mean per month? Per week?

·         Re-evaluate your retail sales. Which trade shows and retail shows were worth your time last year? Are there new shows you want to try this year?

·         Update your website. There’s always something to improve, from product photography to product descriptions. Add quality search engine optimization and increase your social media interactions.

·         How can you work more efficiently? Distractions lead to wasted time which cut into your bottom line. Schedule your time, limit access to time-wasting websites (use apps such as RescueTime to see how much time you’re spending on Facebook and other sites). If you spend less time on Facebook weekly (five to seven hours per week), what could you accomplish in that timeframe for your business?

·         Disorganization is another efficiency killer. How much time do you waste looking for ingredients or packaging that you were sure was “just right there” but now you have to place a rush order to fill an order? It’s frustrating – I’ve been there! Invest in inventory software. Get your business organized into a mean, lean operating machine.

These are just a few suggestions to get your business ready for a fabulous 2014. Prioritize what makes the most sense for your business. Then begin implementing them as soon as possible. Keep good records so you can track your results. Once 2015 rolls around you’ll be ahead of the game. Happy sales (and savings).

I'd love to hear your tips on increasing profitability. 

Reprinted with permission from the January 2014 Saponifier Magazine, written by Marla Bosworth

Blog Post Series: Top Five Tips for Attending the HSMG Soap Conference in Miami

It's March, and I can hardly believe the Handmade Soapmakers Guild Conference in Miami, Florida is only two months away. I've been busy working on my two presentations and demo for the conference. Held May 18-20 at the Miami Downtown Hilton hotel, this fun and inspiring conference attracts entrepreneurs for lectures, classes, workshops and networking.

This is the third year I've been asked to speak at the conference. I'll be giving a presentation on "How to Successfully Wholesale" and a demo called "Wild Child Soapmaking: Combining MP & CP Methods."

This is a six-part blog post series to share what I've learned from attending past conferences. I've been picking up tips each year and thought it would be helpful for new attendees. If you have been attending the soap conference please leave your helpful suggestions and tips in the comments and I'll share them in this series as well.

Here are my top five tips that I'll publish in detail this week:

1. Proof That An Open Mind Could Lead to More Sales
   
   
2. Even If You're Shy, Just Say Hi
   
   
3. How to Get Your Social Media Game on During and After the Conference
   
   
4. Why You Should Pack An Extra Suitcase
   
   
5. How Not To Miss Each and Every Workshop

The keynote speaker for the 2011 Annual Conference is Barbara Corcoran, head of The Corcoran Group and real estate contributor to NBC's TODAY Show and a "shark" on the ABC reality show Shark Tank. Barbara is also a regular columnist for the New York Daily News and MORE Magazine.

There are many other fabulous speakers: Debbie May of Wholesale Supplies Plus, Kayla Fioravanti of Essential Wholesale, Marie Gale of "Soap and Cosmetic Labeling: How to Follow the Rules and Regs Explained in Plain English,", Larry Plesent of Vermont Soap, Tina Howard of Majestic Mountain Sage, world reknown aromatherapist Robert Tisserand and many more.

In addition to informative workshops, there is plenty of time to network with other business owners (one of my favorite parts of the conference). The evening sponsored dinners and entertainment are relaxing, informal and included in the conference package. Speaking of dinner, you won't go hungry at any HSMG conference. Last year I won more than $250 in raffles and giveaways - in addition to the $100 highly coveted goodie bag!

Two years ago the conference was held in Palm Springs, CA and I spoke about "Differentiating Yourself in the Highly Competitive Market of Soapmaking." Attendees learned how to increase sales by targeting niche and vertical markets. There I presented on how to develop an "eye" for demands and trends in other industries to stay ahead of the competition.

Last year at the HSMG 2010 Soap Conference in beautiful Denver, CO I presented on "New Opportunities in the Melt and Pour Soap Market." After the Palm Springs conference I didn't know how the Soap Guild could possibly top such a fantastic event, but they did.

It's not too late to join us in May. Simply visit the HSMG website and sign up. Hope to see you in Miami!