One cold, dry, winter night, I found my lips in desperate need of moisture, so I took the change out of the bottom of my purse, and purchased the cheapest lip balm I could find that seemed like it would work.
It didn't.
I'm sure it moisturized my lips at least a little, but the uncomfortable stinging/tingling sensation it left behind made me crave the Chapstick I'd left at home. I would not recommend this for just chapped lips, no matter how badly they're cracking.
I can not comment on the effectiveness for cold sores, as that was not why I bought it.