The prime target market for candles is women with families. "As one of life's little luxuries, candles are purchased at about the same rate across all income levels, among all ethnicities, and at all educational levels. Now, don’t be fooled because men love candles as much as women, however key demographic factors distinguish the candle buyers to women, aged 45 years and under, many that head families with children. There is also an increasing number of different cultural couples and families making candle purchases. This proves that with these findings come new elements with baby boomers creating a predictable pattern of home and family spending. These lifestyle changes can only mean increased growth in the candle industry.
Market Size & Share Estimate
Candle sales in the U.S. are estimated at roughly $2.3 billion a year, but this does not include accessories such as glassware, holders and more. For comparison, the U.S. computer industry has annual revenues of about $86 billion, (White, n.d.) again making the candle industry appears small in scale. Candles are a highly discretionary purchase and sales are greatly influenced by economic climate. Roughly one-third of all candle sales take place during any given holiday season (Easter, Christmas, etc.). Approximately 35% of candle sales occur during the Christmas/Holiday season. Non-seasonal business accounts for approximately 65% of candle sales.
There are more than 400 commercial, religious and institutional manufacturers of candles in the United States, in addition to scores of small craft producers for local, non-commercial use.
Candles are principally sold in three types of retail outlets: specialty or gift shops; department and home décor stores; mass merchandisers (discount stores, drug store chains, grocery stores, etc.)
Major U.S. candle manufacturers typically offer between 1,000 and 2,000 varieties of candles in their product lines, whereas it’s estimated that 10,000 different fragrances are available. As well as about a billion pounds of wax are in producing the candles sold each year in the United States alone.
Strengths Weakness Opportunity Threats
Handmade Working long hours Gift Baskets Competition...