Price Reduction For Size

Business By saberger Updated 30 Jun 2009 , 8:33pm by Unlimited

saberger Posted 28 Jun 2009 , 7:26pm
post #1 of 26

Does anyone reduce their price per serving as the cake gets bigger?

For example:

6-8 serv. at $2.50/serv.
14 serv. at $2.29/serv.
22 serv. @ $2.05
etc.

Or do you keep it the same no matter the size?

25 replies
cakesbycathy Posted 28 Jun 2009 , 7:29pm
post #2 of 26

I keep mine the same.
Why would you reduce it?

Nchanted1 Posted 28 Jun 2009 , 7:29pm
post #3 of 26

1 price. Don't make yourself crazy. As cakes get bigger, they are more difficult to handle and transport.

TexasSugar Posted 28 Jun 2009 , 8:00pm
post #4 of 26

Does it cost less to make a bigger cake???

indydebi Posted 28 Jun 2009 , 9:08pm
post #5 of 26

Same price.

I still have to grease/wash 2 cakes pans for every cake tier. Kitchen staff gets paid the same. I don't pay them less if they wash more pans.

More cake batter takes the same number of eggs. I don't use fewer eggs with larger cakes.

With larger cakes, you're probably using more dowels in each of the larger cakes so that's INCREASED cost, not lower cost.

Van takes the same amount of gas to deliver the cake, no matter if there is cake for 50 or cake for 250 in the back of it.

Why would it be cheaper???? icon_confused.gif

(And the smallest cake I make serves 35. I don't turn my oven on for just a 6" cake.)

sari66 Posted 28 Jun 2009 , 11:04pm
post #6 of 26

If you did that you would be making a cake for 100 ppl for less than a dollar!!

leah_s Posted 29 Jun 2009 , 12:53am
post #7 of 26

Goodness no, I don't reduce my prices for bigger cakes.

And I've noticed that the clothing stores generally charge me more for my Petite clothing than regular sizes . . . They don't use as much fabric, so maybe I should ask for a price break . . .

indydebi Posted 29 Jun 2009 , 1:01am
post #8 of 26
Quote:
Originally Posted by leahs

Goodness no, I don't reduce my prices for bigger cakes.

And I've noticed that the clothing stores generally charge me more for my Petite clothing than regular sizes . . . They don't use as much fabric, so maybe I should ask for a price break . . .




And I always get snagged by the small print that says "Plus sizes $2 more"! I dont' get a price break for buying a bigger pair of pants! icon_biggrin.gif

cakesdivine Posted 29 Jun 2009 , 1:44am
post #9 of 26

I do, My price breaks are at 101, 151, & 201 It is .50 a serving at each increment. I do this because I prefer doing larger cakes, small cakes aren't always less work, and I want to make more If I am putting less cake in the oven. If I can put 6 cakes in my oven at the same time then it is costing me less time to deal with those cakes thus the cost of time is cut.

saberger Posted 30 Jun 2009 , 3:17am
post #10 of 26

Thanks for sharing everyone. I am in agreement that cake is cake no matter the size...if anything, you are using MORE to make a bigger cake.

I asked my DS, just out of curiosity, and she said "sure you should decrease....go into any [food] store and you see that they more you buy, the lower the unit price."

I have nothing to say about that.

cakesdivine - thank you for sharing your reasoning. May I ask at what levels you change the price?

saberger Posted 30 Jun 2009 , 3:18am
post #11 of 26

Thanks for sharing everyone. I am in agreement that cake is cake no matter the size...if anything, you are using MORE to make a bigger cake.

I asked my DS, just out of curiosity, and she said "sure you should decrease....go into any [food] store and you see that they more you buy, the lower the unit price."

I have nothing to say about that.

cakesdivine - thank you for sharing your reasoning. May I ask at what levels you change the price?

saberger Posted 30 Jun 2009 , 3:19am
post #12 of 26

Thanks for sharing everyone. I am in agreement that cake is cake no matter the size...if anything, you are using MORE to make a bigger cake.

I asked my DS, just out of curiosity, and she said "sure you should decrease....go into any [food] store and you see that they more you buy, the lower the unit price."

I have nothing to say about that.

cakesdivine - thank you for sharing your reasoning. May I ask at what levels you change the price?

saberger Posted 30 Jun 2009 , 3:20am
post #13 of 26

Thanks for sharing everyone. I am in agreement that cake is cake no matter the size...if anything, you are using MORE to make a bigger cake.

I asked my DS, just out of curiosity, and she said "sure you should decrease....go into any [food] store and you see that they more you buy, the lower the unit price."

I have nothing to say about that.

cakesdivine - thank you for sharing your reasoning. May I ask at what levels you change the price?

indydebi Posted 30 Jun 2009 , 3:29am
post #14 of 26
Quote:
Originally Posted by saberger

I asked my DS, just out of curiosity, and she said "sure you should decrease....go into any [food] store and you see that they more you buy, the lower the unit price."



Hubby and I were talking about this the other day on the subject of cookies. In a manufacturing environment, the expense is in the setup of the machinery. Once the machine is set up, the product is spit out in multiple units per second.

We dont' work in an industry like that. We still have to scoop out the cookie dough one scoop at a time. We still have to ice and decorate them one at a time. When making cake batter, I still have to break each and every egg.

If I were a high productivity environment where I churned out 13 cakes every 5 minutes off of an assembly line baking setup, then it would make sense to discount larger cakes. If I had a machine that I dumped the dough into and it spit out pre-formed cookie dough balls that fed right into the oven, then it would make sense.

Comparing your/our small kitchens to high productivity of Oreos is just a little like comparing apples and kumquats.

indydebi Posted 30 Jun 2009 , 3:30am
post #15 of 26

dupl post

indydebi Posted 30 Jun 2009 , 3:45am
post #16 of 26

Hey leahs, I just realized that you're getting charged extra for being too small. I'm being charged extra for being too fat. Something's wrong with this picture here, don't ya think? icon_eek.gif

indydebi Posted 30 Jun 2009 , 3:46am
post #17 of 26

dupl

indydebi Posted 30 Jun 2009 , 3:47am
post #18 of 26

dupl

indydebi Posted 30 Jun 2009 , 3:48am
post #19 of 26

dupl

FromScratch Posted 30 Jun 2009 , 3:48pm
post #20 of 26

The only stuation where that thought process works is in wholesale production. It doesn't cost you any less to produce the larger cake per serving so why the hell should you decrease it. It's just bad business. You aren't a big factory where it costs you less to sell in large quantities because you don't have to individually package the smaller amounts. You will drive yourself nutty with so many differentprice points.

FromScratch Posted 30 Jun 2009 , 3:49pm
post #21 of 26

duplicate

FromScratch Posted 30 Jun 2009 , 3:50pm
post #22 of 26

duplicate

Unlimited Posted 30 Jun 2009 , 8:30pm
post #23 of 26

In this instance, you should be charging MORE for more tiers (one more cake to handle, more surface to ice & decorate, etc.)

Example: 18x14x8 (3 tiers) serves more than
16 x 12 x 8 x 6 (4 tiers)

What bride wouldn't rather have a nice 4-tier cake for less money than the 3-tier cake that serves a little bit more, and why would I want to make the 4-tier cake for less than the 3-tier example?

Yes, it's a rare example, but it makes more sense to me to charge more per serving for a 4 tier than a 3 tier (at least in this example). You could consider having one per serving rate for 2 tier, another per serving rate for 3 tier, and so on.

Unlimited Posted 30 Jun 2009 , 8:31pm
post #24 of 26

In this instance, you should be charging MORE for more tiers (one more cake to handle, more surface to ice & decorate, etc.)

Example: 18x14x8 (3 tiers) serves more than
16 x 12 x 8 x 6 (4 tiers)

What bride wouldn't rather have a nice 4-tier cake for less money than the 3-tier cake that serves a little bit more, and why would I want to make the 4-tier cake for less than the 3-tier example?

Yes, it's a rare example, but it makes more sense to me to charge more per serving for a 4 tier than a 3 tier (at least in this example). You could consider having one per serving rate for 2 tier, another per serving rate for 3 tier, and so on.

Unlimited Posted 30 Jun 2009 , 8:32pm
post #25 of 26

In this instance, you should be charging MORE for more tiers (one more cake to handle, more surface to ice & decorate, etc.)

Example: 18x14x8 (3 tiers) serves more than
16 x 12 x 8 x 6 (4 tiers)

What bride wouldn't rather have a nice 4-tier cake for less money than the 3-tier cake that serves a little bit more, and why would I want to make the 4-tier cake for less than the 3-tier example?

Yes, it's a rare example, but it makes more sense to me to charge more per serving for a 4 tier than a 3 tier (at least in this example). You could consider having one per serving rate for 2 tier, another per serving rate for 3 tier, and so on.

Unlimited Posted 30 Jun 2009 , 8:33pm
post #26 of 26

In this instance, you should be charging MORE for more tiers (one more cake to handle, more surface to ice & decorate, etc.)

Example: 18x14x8 (3 tiers) serves more than
16 x 12 x 8 x 6 (4 tiers)

What bride wouldn't rather have a nice 4-tier cake for less money than the 3-tier cake that serves a little bit more, and why would I want to make the 4-tier cake for less than the 3-tier example?

Yes, it's a rare example, but it makes more sense to me to charge more per serving for a 4 tier than a 3 tier (at least in this example). You could consider having one per serving rate for 2 tier, another per serving rate for 3 tier, and so on.

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