Looking For Opinions-Pricing Cakes-My Side Or Dhs? Lol

Decorating By SugarNSpiceDiva Updated 5 Jun 2010 , 7:15am by indydebi

SugarNSpiceDiva Posted 5 Jun 2010 , 1:06am
post #1 of 7

Hi everyone!

Recently my DH asked me to make a cake for his dad, since he has been really helping us out a lot lately. I'm not in business right now, but we plan to have one hopefully within the next year. So everytime I make a cake, DH always wants to know what it is "worth." We normally agree on what the cake would be worth, but not this time. lol

The cake below is the cake I made for his dad. It's not much, but he wanted it simple. It's an 8" round filled and covered with buttercream. The flowers are chocolate. So here's where we have the problem:

We decided that based on costs, we would eventually charge 2.50/per serving for BC. For the Wilton party servings, that cake would feed 20 ppl and it would cost $50 + the cost of the flowers (I figured $2.50 for the big ones and $2 for the small one) = $7. So for that simple cake, based on that, the cake would be $57.

DH agrees with the price, but he says the serving sizes are too small. I'm ok with the serving sizes, but I think the price is a bit steep. I also thought using bigger serving sizes would work, making the cake feed 10 and pricing the cake at $32. But those are some big servings!

Another thing I suggested to DH is keep the serving sizes he likes and charge $3 per serving, making the cake $37. But he's stuck on the $57. lol.

Can anyone help us figure this out? Like I said, we don't have a business now, but we do hope to eventually, and we should probably work this out before then. lol.

Thanks in advance!!
LL
LL

6 replies
sari66 Posted 5 Jun 2010 , 1:20am
post #2 of 7

Sorry sugar but in this case DH is right! Check out the prices from bakeries in your area to see what they are charging and you might be surprised. Industry standard slices are 1x2x4 for wedding or 2x2x2 for party. Don't sell yourself short you don't want to be the cheap cake lady when you do start.

tesso Posted 5 Jun 2010 , 1:30am
post #3 of 7

okay...compromise and charge $47. icon_lol.gif seiously..though.. go by the serving charts and the prices in YOUR AREA. I cant stress that part enough. There are some places, like where I live that is economically hit hard. And the price reflects what people are willing/able to pay. Would i like to get 4-5 dollars a serving.. yes.. is it econmical in my area..NO.. not if I actually want to make more than one cake a month. icon_smile.gif

Going by other businesses is a great way to get the background info you are needing. Also be prepared to shell out some money for some cakes. You need to sample the competition and see where you measure up.

good luck and your cake is very pretty.

dawncr Posted 5 Jun 2010 , 1:33am
post #4 of 7

Pricing should use the standard 1 x 2 x 4, and the Wilton chart which says 24 servings for an 8" round. Ordering should go by how much cake you think people will eat.

When persons do comparison shopping, they'll be comparing of the price of cakes per serving. They may not pay attention to what exact size the servings are, and just assume yours is more expensive.

What does the cake cost you to make? What is the going market price for custom cakes in your area? These two things should determine the cost of your 1 x 2 x 4 serving. Without knowing those things, it's difficult to estimate your correct price.

IMO, hubby's ideas about cake serving sizes are out of proportion. The US has so super-sized everything over the past 20 years that we no longer know what an appropriate serving is. If he wants to eat 3 pieces/3 servings, fine. Order more cake. But price according to the industry standard.

This issue has been discussed on the boards ad nauseum. I'm sure IndyDebi has some good links.

Good luck with pricing and selling your first cakes!

7yyrt Posted 5 Jun 2010 , 1:54am
post #5 of 7

Standard serving sizes are 1x2x4 inches or 2x2x2 inches; both equal the same 8 cubic inches of cake.

mamawrobin Posted 5 Jun 2010 , 4:38am
post #6 of 7
Quote:
Originally Posted by 7yyrt

Standard serving sizes are 1x2x4 inches or 2x2x2 inches; both equal the same 8 cubic inches of cake.




Yep they do. thumbs_up.gif

indydebi Posted 5 Jun 2010 , 7:15am
post #7 of 7

A serving size is a guideline. As mentioned above, it's the measuring tool we use to help us DETERMINE PRICING. And oh yeah by the way, it's ALSO a good guideline to let you know how many people you can feed with it.

Remind him that paint is sold by the gallon, carpet by the yard and cakes by the serving. They are welcome to cut the dang cake in 2 pieces and eat it with two forks for all I care.

Show him serving sizes on foods ..... a small can of Campbell's soup says it's 2.5 servings. Yeah right! On what planet??? I just bought a can of Progresso soup and it says it will feed 3.5 people! Not in my household!!!

Does that mean if I complain, then the price will go down? That all I have to do is say "That serving size is too small ... it only feeds one person, so I should be able to buy it at the one person price." No ..... it means I have to buy more cans of soup.

Do a search for "KFC" with author "indydebi" ..... it's the best illustration.

On the serving size issue .... I vote for "he's wrong".

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