A Soap Opera in Three Acts

Born in adversity, award-winning fragrance manufacturer Primal Elements emerges triumphant.

By Matthew Kalash -- Gifts & Decorative Accessories, 4/1/2001

In June 2000, it was no surprise to see a laundry list of cutting-edge high-tech companies such as Quest Software, CR Technology, eBuilt, and Emulex among the finalists for the regional Ernst & Young Entrepreneur of the Year Awards in Orange County, California. After all, Orange County-sometimes referred to as Silicon South-is a hotbed of the technology industry, an epicenter of development for the new global economy. It was a bit more of a surprise, however, to find Primal Elements, a Garden Grove-based manufacturer of personal care and fragrance products, among that esteemed list of finalists.

Originally established as a retail store with its own uniquely handmade merchandise, Primal Elements epitomized traditional, old economy entrepreneurship in stark contrast to its decidedly new-economy competitors. In the final judging, Primal Elements beat out CR Technology to win the 2000 Entrepreneur of the Year Award in the Manufacturing category.

Faith Freeman, co-owner with her husband, Scott, of Primal Elements, attended the awards ceremony with about a dozen friends, employees, and business associates. She described the feeling of winning the award as "total shock." When she was on the stage, looking out at her friends and colleagues, she felt like she was on television. In fact, that moment could be considered the climax of the Freemans' own soap opera.

Act I

In 1993, the construction company that Scott Freeman worked for went bankrupt, forcing the couple, along with their two children, to move in with Faith's mother. Rather than being disheartened by their circumstances, however, the couple decided to take a risk and start their own retail store.

Faith brought a background in aromatherapy and interior design to the venture, while Scott, as a former building contractor, brought project management skills that would help him manage the business. With a loan from Faith's mother, they founded Primal Elements, the retail store, in Long Beach. The store specialized in bath, body, and aromatherapy products and hands-on service.

Primal Elements enjoyed moderate success. It was, for Faith, the fulfillment of a lifelong goal of owning her own store. At that time, she and Scott had dreams of turning Primal Elements into a chain of stores. Little did they know that the source of their greatest success was right under their noses.

Act II

During their first year of business, the Freemans introduced "Soap by the Inch," a merchandising technique that allowed customers to buy slices of premium soaps cut directly from a larger bar, or "loaf." According to Faith, part of the popularity of the Soap by the Inch concept was that it personalized the buying experience for customers. People loved to gather around while the individual bars were cut from the loaf, because the fragrance the process released was so powerful and memorable. Pretty soon, people were coming to Primal Elements from all over the area to buy bars of freshly cut soap. In fact, the concept became such a huge hit that eventually the store's suppliers couldn't keep up with the demand.

In order to meet that demand, Faith and Scott began producing their own loaves in large metal pots in Faith's mother's kitchen. They experimented freely with different colors, shapes, and fragrances. They spent their nights making the soap, and their days selling it. "After a while," said Faith, "I was spending less and less time in the store, and more and more time making soap." The Freemans had even begun selling their soaps to other retailers. When the couple attended the New York International Gift Fair in January of 1996, the soaps practically caused a scene. "People were backed up into the aisles to get to us," said Faith. "They loved it."

It was Scott Freeman who finally realized that the soaps themselves had more potential than the store. He suggested to his wife that they close the store and begin manufacturing soap full time. Faith, however, had reservations about closing the doors at Primal Elements, which had been her dream. So when it came time to renew the store's lease, Scott told Faith that it was her decision whether or not to sign. Once again the Freemans took the risk, and closed their retail store in January of 1997.

Act III

Primal Elements, the soap manufacturer, began operations in a leased 1,000-square-foot warehouse ("more like a garage," said Faith) at a mixed-use industrial complex in Garden Grove. There, the Freemans and four employees, including two holdovers from the retail store, set out to make their mark on the personal care industry. They created a wide variety of signature vegetable glycerin soaps in fragrances such as Tahitian Vanilla, Dulce Leche, Pomegranate, and Green Tea.

In addition to the wide range of innovative scents, Primal Elements also began utilizing visual design elements in its product. An image, such as an American flag, a Christmas tree and holly, or a Valentine's Day heart, would be molded horizontally through the loaf so that when bars were cut away each maintained a cross section of the design.

Initially, Primal Elements didn't have a budget for marketing its product. However, word of mouth spread so rapidly that in 1997, the fledgling company posted over $1 million in sales. Within a year, it had expanded so much that Primal Elements moved to a 5,000-square-foot facility.

In 1998, retailers began clamoring for related products. That year, the Freemans began producing their patented Paragel candles, which commingle parafin gel and wax to create a candle that burns slower and longer than traditional wax candles. Primal Elements finished that year with more than $4 million in sales, and, only 18 months following its last relocation, the company moved to a 15,000-square-foot warehouse.

Today, Primal Elements occupies a facility with a total area of 63,000 square feet, accommodating all aspects of the operation, from manufacture and marketing to creative services and financial support staff. The company that Faith and Scott Freeman began in their kitchen now employs 120 people, and in 2000 posted sales of more than $14 million.

Primal Elements has continued to diversify, developing products for every room in the home, including a variety of votives, floating candles, and innovative fragrances, and recently produced the Primal Desires line of personal care products, which includes lotions, cologne mists, and bath salts. Primal Elements products are sold in thousands of specialty stores nationwide, as well as in major retail outlets such as Nordstrom, Elizabeth Arden Red Door Salons, Fred Segal, and the Neiman Marcus Holiday Catalog.

Coda

Having won the regional Ernst & Young Award, the Freemans went to Palm Springs, California, in November 2000, to attend the national Entrepreneur of the Year Awards. While they didn't win the national category, the Primal Elements story of two entrepreneurs using centuries-old techniques to build a successful modern business is the stuff of grand opera.