I'm sorry but I have a small problem. I have just started selling my cakes, I have always made them for fun. I was asked to make 2 of my cakes for people and I was wondering if you guys could tell me if I was charging to much. For the dirt bike cake I was going to charge $25.00 and it is a 10 and 8 round(I think that feeds 48?) For the wedding cake I was going to charge $85.00 and it is a 10, 8 and 6(I think that feeds 74?)
I know we really are not suppose to ask these questions but I just dont want to rip anyone off and it is so hard to determine how to price. Thanks for looking and any input would help me alot. Susie
Im sorry I tried to put up the pics but It didnt work.
I have pictures of the cakes in my gallery
I'll let the others tell you what they charge, but here is a little math to think about...
25 goes into 48 .52 times. That means you are charging them 52 cents per serving.
85 goes into 78 1.15 times. This means for this cake you are charging 1.15 per serving.
Two things to think about...
At those prices would you even be able to cover what is going into the cake? Sounds to me like you are ripping yourself of with your pricing.
And second, you should be consitant with your pricing. You need to set a per serving price or per cake per or how ever you want to do it and stick with it. You wil only confuse yourself and others with your pricing if you don't. 52 cents for one and 1.15 for another is a big difference!
Yes, your idea on pricing is not great Think on what TexasSugar said.
Please reconsider your prices! I highly doubt that you can even cover your costs at those prices.
Pricing is such a difficult issue. The two most important issues you have to sort out are:
- What price will your local market bear?
How much are you spending?
When you know the answer to these questions, you will be in a much better position to set fair, consistent, market-value prices -- not just a price that "sounds good". More of my thoughts here.
I have the same problem all the time with pricing...since I'm just starting on this whole making cakes things I know I'm under charging...and for the most part I've just been giving them for free...but that's only because I'm not all the way confident about my cakes yet. But once I get the hang of this it'll be a different story
I've never seen anything on here about not being able to talk about prices. I must have missed something.
I notice you are from OH. As with MI we have been hit really hard with the economy. The Auto Industry has been failing for a long time the rest of the Country is just starting to feel what we have been feeling for a while.
I have to keep my prices as low as possible and still not doing well.
But, I have to tell you I think your prices are far too low. Even if you sold your tier cakes at $1.50 that is a low price.
Check around to what the local markets charge. Keep in mind your prices should be slightly higher because of the extra detail and customizing you do.
Also if you notice the height of their cakes aren't as high. It is an illusion because they use extra frosting and swirls.
Thanks everyone for all of your comments. I love making the cakes but the pricing really is hard. I have sat down and called around for pricing and adapted my prices to what everyone has said. Hopefully I'm right in the running with everyone else in my area. Thanks again. I love CC and the memers. You guys are awsome. If it wasnt for everyone here helping me with my millions of questions I have, I wouldn't be this far with making cakes. Thanks again. Susie