I take a strip of the Muji pad and clip the edge so I create a point. I always remove the top and bottom layer and put it in sideways so when it is cut off at the length of the base it is easy to fan out and use my pointy dentist tool to remove the thicker inserts in the cotton (I don’t do that every time).
I fold them in an M shape and make sure the wickends aren’t pressed down.
I even poke with my tool to make sure the wick doesn’t block the holes.
My preferred coils are 3mm and I use the round hole collar and 1mm inserts.
I always use contact coils, haven’t tried spaced yet.
On the picture I think the wick is too thin and short.