Would You Lower Your Prices?

Business By cakedesigner59 Updated 4 May 2008 , 7:02pm by cakedesigner59

cakedesigner59 Posted 3 May 2008 , 8:06pm
post #1 of 11

I moved to NC from VA last year. AFter getting the house fixed the way I wanted, I toyed with getting legal in my home kitchen like I was in VA. Before I went to the hassle of doing that, I tested the waters to see if there was any business in my neighborhood (no sense getting legal if there's nothing to do). I donated a cake to the golf club where we live, hoping it would drum up orders...NOTHING. Then I made a cake for a neighbor for the husband's 70th birthday party. I was going to give it as a gift, but she insisted on paying me what I would normally charge. Well, I normally charge $50 (half sheet). She paid, but I got the feeling she wasn't thrilled. Anyway, I attended the party, everyone raved and raved about the cake, went on and on about how I would get more business than I could handle...NOTHING. Not one single phone call. Granted, this is a retirement community, and folks are living on fixed incomes, but it's a golf resort and the folks here drive luxury cars and go on cruises and to Europe, etc. So I don't know if they just like Harris Teeter's cakes or Harris Teeter's prices, LOL. What would you do? Consider lowering your prices to drum up some business? Sorry this was so long....Thanks

10 replies
chutzpah Posted 3 May 2008 , 8:08pm
post #2 of 11

I would never not ever lower my prices. It can take a long time to get established in a new place.... it sounds like the money is there, maybe you need to advertise differently.

countrycakes Posted 3 May 2008 , 10:33pm
post #3 of 11

icon_smile.gif First off, Welcome to NC! icon_biggrin.gif
Now back to your question...NO, I will not lower my prices...I am in about the same boat as you..I do have some steady customers who continue to order from me when they need cake/cookies/candy. I have been legal 1 year, May 1 of this year...and from Jan-March, it was DEAD. icon_cry.gificon_cool.gificon_confused.gif I am talking NO ORDERS WHATSOEVER.

Do not back down on your prices...I live out in the country...and I also have to compete, if you want to call it that....snort...with 2 Foodlions, 2 PIggly Wiggly's, and a Super WM. All have bakeries...and are so much more cheaper than me.....but my cakes are not frozen. ALWAYS FRESH. thumbs_up.gif Try to give yourself time...people in my area are hooked on that ' sheet cake syndrome'...I am slowly trying to change them to see that there are OTHER CAKES! icon_smile.gif

I feel like if you ever lower your prices......then you are undercutting yourself.......I like indydebi's motto......
"Who cares? Next......" thumbs_up.gif

CakeDiva73 Posted 3 May 2008 , 10:36pm
post #4 of 11

I sometimes notice I get NO business when I would expect to get alot - other times, the weirdest cake will get the phone ringing. Make sume spectacular sample cakes and start passing them around with your business card.

'Make cake and they shall come' icon_smile.gif

littlecake Posted 3 May 2008 , 11:00pm
post #5 of 11
Quote:
Originally Posted by CakeDiva73

I sometimes notice I get NO business when I would expect to get alot -




aint dat the truth!...when i fist opened i donated 25 8 inch round of various flavor combinations to dillards during a wedding "whoop te do" they were having...it was their idea..they called me...out of all that...1 order...1!

they called me next year to give me that wonderful opprotunity again ...NO THANX!

cakedesigner59 Posted 3 May 2008 , 11:38pm
post #6 of 11

Thanks, everyone. I guess I could start giving out cakes and business cards before I get legal (roll that dice). I just don't want to put the effort into going legal until I see the business is there to support it. Does that make sense?

Countrycakes...where are you? I am in New Bern, near Havelock, Morehead City, etc (Eastern NC).

indydebi Posted 4 May 2008 , 12:16am
post #7 of 11
Quote:
Originally Posted by cakedesigner59

Thanks, everyone. I guess I could start giving out cakes and business cards before I get legal (roll that dice). I just don't want to put the effort into going legal until I see the business is there to support it. Does that make sense?




It's the Catch-22 of the food industry. YOu can't get a business loan to open a food business until you've been in business 3 years. You can't open a business without a loan, which you can't get without customers, which you can't get unless you're a business, which you can't do without a loan, which you can't get until you've been in business 3 years .....

bah-dee-bah-dee-bah-dee that's ALL folks! dunce.gif

countrycakes Posted 4 May 2008 , 2:54pm
post #8 of 11

icon_biggrin.gif CakeDesigner...I am about 12 miles from Washington, NC. I live in the country...people around me only seem to think that 'sheet cakes' are all that exist.....it drives me bonkers! icon_confused.gificon_razz.gificon_lol.gif

You are not that far from me.....New Bern is only about an hour and a half from me.....small world huh? thumbs_up.gif

cakedesigner59 Posted 4 May 2008 , 3:36pm
post #9 of 11
Quote:
Originally Posted by countrycakes

icon_biggrin.gif CakeDesigner...I am about 12 miles from Washington, NC. I live in the country...people around me only seem to think that 'sheet cakes' are all that exist.....it drives me bonkers! icon_confused.gificon_razz.gificon_lol.gif

You are not that far from me.....New Bern is only about an hour and a half from me.....small world huh? thumbs_up.gif




Yes, we are close! We should get together for cake play date some time!

Candy120 Posted 4 May 2008 , 6:45pm
post #10 of 11

I just took a peek at your cake photos. I don't know what you are charging, but I would not lower the price ONE PENNY...your work is awesome.

cakedesigner59 Posted 4 May 2008 , 7:02pm
post #11 of 11
Quote:
Originally Posted by Candy120

I just took a peek at your cake photos. I don't know what you are charging, but I would not lower the price ONE PENNY...your work is awesome.




Wow, thanks! I feel like I can't hold a candle to all you pros on here. (by the way, I quoted you above just cause I wanted to read it again LOL).

icon_biggrin.gif

Quote by @%username% on %date%

%body%