Pricing
Updated for SLSa-free formula v3 | 8 oz bottles
Batch Overview
Formula Update: Now SLSa-free with Sodium bicarbonate at 30% and SCI at 6%
- Finished batch size: 200 lb (3,200 oz)
- Primary SKU: 8 oz bottle
- Estimated sellable units: 390 bottles
- Loss assumption: ~2.5% (10 bottles)
- Actual yield: 400 bottles potential (200 lb × 16 oz ÷ 8 oz = 400)
Ingredient Cost Breakdown (200 lb batch) - UPDATED FORMULA
| Ingredient | % | Lbs | Cost / lb | Total Cost |
|---|---|---|---|---|
| Sodium bicarbonate | 30.0% | 60.0 | $1.14 | $68.40 |
| Sodium citrate (or GLDA) | 20.0% | 40.0 | $2.88 | $115.20 |
| Sodium percarbonate | 20.0% | 40.0 | $3.50 | $140.00 |
| Sodium Cocoyl Isethionate (SCI) | 6.0% | 12.0 | $11.25 | $135.00 |
| Calcium carbonate | 12.0% | 24.0 | $1.86 | $44.64 |
| Sodium carbonate | 9.0% | 18.0 | $1.68 | $30.24 |
| Silicon dioxide (flow agent) | 2.5% | 5.0 | $15.00* | $75.00 |
| Tetrasodium EDTA | 0.5% | 1.0 | $20.00* | $20.00 |
| Total Ingredient Cost (200 lb batch) | $628.48 | |||
*Note: Silicon dioxide and EDTA costs shown as total batch cost, not per lb
Cost Breakdown Per Bottle
Raw Materials
$1.61
$628.48 ÷ 390 bottles
Packaging (bottle, cap)
$0.75
Estimated
Label
$1.00
Current cost
Labor & Overhead
$1.25
Mixing, filling, utilities
Unit Economics (8 oz bottle)
Total Cost Per Unit: $4.61
Cost Components:
- Raw materials: $1.61
- Packaging: $0.75
- Label: $1.00
- Labor/Overhead: $1.25
Yield Summary:
- Batch: 200 lb
- Bottles: 390 units
- Total batch cost: $1,797.90
- Cost per bottle: $4.61
Recommended Pricing Strategy
Direct-to-Consumer (Shopify, Website)
| Price Point | Profit Per Unit | Profit Margin | Total Batch Profit | Notes |
|---|---|---|---|---|
| $14.99 | $10.38 | 69% | $4,048.20 | Entry price, competitive |
| $16.99 (RECOMMENDED) | $12.38 | 73% | $4,828.20 | Premium positioning, best value |
| $18.99 | $14.38 | 76% | $5,608.20 | High-end, test market |
Bundling & Subscription Options
| Offer | Price | Per Unit Value | Discount | Strategy |
|---|---|---|---|---|
| Single bottle | $16.99 | $16.99 | 0% | Standard offering |
| 2-pack bundle | $29.99 | $15.00 | 12% | Increase AOV |
| 4-pack + brush | $59.99 | $14.00* | 18% | Best value, viral potential |
| Subscription | $14.99/month | $14.99 | 12% | Recurring revenue |
*Includes bottle brush valued at $8
Wholesale & Retail Distribution
Wholesale Model
- Wholesale price: $10.50 per bottle
- Your profit: $5.89 per bottle (57% margin)
- Retailer markup: 50-100% ($15.75-$21.00 retail)
- Minimum order: 24-48 units
Competitor Pricing
- OxiClean 3lb (48oz): $17.99 ($0.37/oz)
- Your product at $16.99: $2.12/oz (premium)
- Grove Co. 16oz: $12.00 ($0.75/oz)
- Baby bottle cleaners: $8-$15 for 4-8oz
Key Justifications for Premium Pricing:
- SLSa-free, fragrance-free, dye-free (clean formula)
- Specialized for bottles (not general cleaner)
- Higher concentration (use less per clean)
- Eco-friendly & gentle marketing angle
- Better margins for retailers at wholesale
Cost Reduction Opportunities
| Area | Current Cost | Potential Savings | Impact Per Bottle | Priority |
|---|---|---|---|---|
| Labels | $1.00 | 40-50% | $0.40-$0.50 | HIGH |
| Bulk ingredient sourcing | $1.61 | 15-20% | $0.24-$0.32 | HIGH |
| Packaging (bottles) | $0.75 | 20-30% | $0.15-$0.23 | MEDIUM |
| Labor efficiency | $1.25 | 25-35% | $0.31-$0.44 | MEDIUM |
| Silicon dioxide alternative | $0.19* | 30-50% | $0.06-$0.10 | LOW |
*Part of raw materials cost
Total potential savings: $1.16-$1.59 per bottle (reducing COGS to $3.02-$3.45)