For those who do wholesale-is it worth it for these type of cookies? I mean, I feel like so much work goes into them-what is the benefit to the decorator to wholesale them? I'd appreciate your thoughts on this, both pro and con, as I am getting "pressured" to go this route.
i wasn't sure about this either. the bakery i used to work for had a pretty large order. they knew the cookie girl they hired couldn't do it. turned out she wasn't working out for cookies. she's back to doing cakes. anyways, they called me to ask if i wanted to take the order and wholesale thru them. i took that order. before that order was even finished, they asked if i wanted to sell thru them. now, they order cookies to fill their case. they also take special orders and call me when they come in.
this has been both good and bad.
i have hit a lot more people that i may not have hit being in the market. a lot of people have come to me on the side because they saw my cookies at the market. i've gotten a few extra orders because of it.
i also don't have a lot of control over what happens to my cookies. first off i thought my cookies were going right in their display case. they end up sticking them in a giant basket on the counter. you can't see anything other than the package tops. they were also undercutting me by 50 cents per cookie. i had one girl call me thinking it would be cheaper to go directly to the source. i told her i'd charge the same as the market thinking i'm still making a little more than wholesale. i just raised my wholesale prices. i may have to soon raise my retail prices as well. it's looking like the money seems to be in larger orders like weddings or corporate clients.
just make sure you put everything in black and white!! that way there are no discrepencies(sp?)
Asking for a volume discount for wholesaling pricing DOES suck with these cookies! They are all done by hand probably by one person, so it's not really worth it....totally agree with you there.
The only think that might make it worth your time is if your minimum for wholesale orders is 50+ cookies (same shape, same colours used, same flavour...100% identical, for example.) An order like that, for example, is profitable in that you don't have variations that take extra care/time/labour. Otherwise, I prefer to keep the prices for the cookies the same as regular pricing...BUT I offer them free individual packaging of each cookie and maybe even free delivery to their location. That sometimes saves them $60-$100 for a large order (if the cookies are about $4 apiece or so), which certainly seems like a nice deal to them.
I'd also take into consideration how many orders they can/might place with you. If they will only be placing a few orders per year....is ANY discount really warranted? If this is a monthly order though, or even more frequent, then I'd certainly compensate them somehow for that loyalty.
You have both re-emphasized a lot of my concerns.
I like the idea of offering some other kind of discount-packaging, delivery, etc.. instead of the price cut if there is going to be a regular monthly order.
And if I decide to do it, everything will be in writing-absolutely!!
Thanks so much for your insightful input!
I think selling wholesale is giving a customer a lower price per cookie but how is it different than offering a quantity discount? I give a 10% discount on orders of 200 or more.