A local restaurant approached me. They are getting more and more bookings for events and want to partner with a cake person. She said they want to use one person exclusively and ask that I give 10% off to their clients.
What do you think about this type of arrangement? It's not a large amount off but I have mixed feelings about it. I would appreciate some other perspective. Thanks!
Add an "equipment fee." Then the 10% off hurts less. Or, ask if you could offer a 10% purchase credit instead. With a 10% purchase credit, they can buy something else - favors, cake topper, chocolate fountain, chocolate boxes, etc.
I would say this kind of thing could fall into "volume discount". If they send you significant business, it could well be worth the 10%. Are they looking for quarter sheet cakes or more ornate type of cakes?
If I had to choose between having $90 of a (normally) $100 cake or having no cake order, I'd take the ninety bucks.
Find out the potential volume and types of cakes. If they're looking at just some quarter sheets, you might talk to them about being "unique" and offering non-run-of-the-mill cakes.