The last 2 people that I sold cakes to, gave me $10 more than the price that I told them. Everyone told me my price was too low, so I went up. Even people that I sold them to, told me that.
As a caterer, I have a unique viewpoint on tips and gratuities.
I do not charge the normal 18-20% UP FRONT gratuity, like most caterers. I view the definition of gratuity as "a monetary thanks for service ABOVE AND BEYOND WHAT WAS PAID FOR." I find it arrogant for caterers to charge this up front.
I was then double peeved when I asked a couple of caterer friends, "So when you charge that gratuity, you split it up among the staff that works the event, right?" Nope! They told me it goes straight into the register! So if they are charging you $20/person with a 20% gratutity, why don't they just stop lying to you and charge you the $24 that you are REALLY paying? 
I've also noticed some caterers are calling it a service charge instead of a gratuity. This tells me that in addition to the per-person price, and in addition to the 20% "service fee", and in addition to the delivery fee, they expect the client to ALSO tip the staff. (so what "service" does this service fee actually cover???? 
)
We do not expect a gratuity. When a gratuity is given, I split ALL of it among my staff that works the event. I take none of it.
I realize that I'm a little different than most on here because we do more than Drop-n-Run. We are actually there serving the food, cutting the cake, doing the clean up, etc. We are performing a service in addition to providing a product (cake, food).
As a side note, I am frequently questioned on my policy of the final balance being due the day of the event. Interestingly, when a client pays the entire bill in advance, my crew is less likely to receive a tip/gratuity. If they have to write a check or issue a payment via credit card the day of the event, they are more likely to add a tip for my crew.
I never expect a tip. Any tip given is just a great compliment from the client, recognizing the great "above and beyond" work my crew does for them.
Depends on what I am selling.
I usually get tips for cake and cupcake orders
Last cake: $150 ($20 tip)
Last cupcake order: 1 dz./$24 + $10 delivery ($6 tip)
I almost never get tipped for cookie orders. Pfft...
When I delivered my High School Musical cake to my cousin and she asked about the price (of which we had not discussed ahead of time) I told her it was $57, but b/c we didn't discuss what price she was comfortable paying that she could pay what she felt comfortable with. She paid me $70. I was thrilled. She ran into my husband a couple of days ago and told him she'd easily have paid $100 for that cake. Dang, I don't charge enough.
I have only sold a couple small cakes to a friend/co-worker and she has given me a $5.00 tip and says the same comment how it's your time I'm paying for.
Btw we both work as hairstylist so we know about our time is money and how tips work. It's just nice to be appreciated especially by friend's.
I totally agree with you indydebi.
Nancy
The age old gratuity debate..........I have mixed feelings on it. I owned a cafe for 13 years and a bar for 13 years. I have had people tell me I didn't deserve a tip because I was the owner. Well, if I'm the one working that shift and waiting on their butts, hand and foot, why should I not have a tip?
The one thing that peeves me is to get my check and see that the tip has been added in. I want to tip what I feel like a server deserves. If I get lousy service, they get a lousy tip. If I get good service, I tip generously. I hate to go in a restaurant where the waitresses have to pool their tips and split at the end of the shift. I see no fairness in this. One might work their tail off and another do nothing and they get the same amount.
If I hired a caterer and was presented a bill with the gratuity added in, I would assume that everyone working would get their share. If I found out that the caterer was pocketing it all, I would be furious. Good servers are not appreciated enough.
When I bought cakes from individuals, I always tipped because I felt like she didn't charge enough. I have never been tipped, however. 
Maybe that should tell me something. Actually, I live in an area where tipping is not a way of life. When I owned the cafe and bar, most of the tips the girls got were from tourists or fellow waitresses!
Somewhat off topic but, as usual, I have to go on a rant.
Diane
It is not just a city in China where tipping used to happen. Many people these days pay with either a debit or credit card while buying essentially everything, so plastic is used for tips. There are a number of reasons why one should tip waiters with cash at every possible occasion. Article source: apply for loan you don't have to pay back immediately.
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