Hi! I am new to this forum and I need advice. I am just starting out in my cake decorating business. I live on a military installation in Japan and there are many cake decorators. I am keeping my prices in line with everyone else's. I have received 4 orders this past week and now I received email's from all of them telling me that my cakes are too expensive and they have found someone else to do them. I am getting very frustrated. I have read all of the forums that have advised never to under price the competition. Sounded like good advice but now I am questioning that advice.

Please help! I am open to any and all suggestions. Thanks!

That is why a non refundable deposit is neccessary. That way if they back out, you have covered the time you spent/materials ordered. But usually, if people have money already invested in something they are not all that likely to back out.

Agreed on the deposit, but I think your problem runs deeper. If all they're looking for is the next cheapest cake, then the guy who drops his price .50 cents is going to have the herd beating a path to his door.. and then the next one hears about that drop and off they go to her door.

Is there any way you can get samples in their hands? Show your work to be worth the little extra?

I didn't even make it to the deposit stage yet. My cancellations had contacted me through email only. I then set up in person consultations with each one of them. It was at that time that the samples were going to be there. I also have a website. My theory is that they must have looked at the website after initial contact and thought that I was too pricey. To be honest, I don't think that a 2 tier cake with fondant and sculpted fondant jungle animals should go for less than $125. That is also the going rate for everyone around here.

Sorry, I am carrying on. Thank you for being so patient with me. Anymore suggestions would be appreciated.

I know how frustrating that is! But don't be tempted to lower your prices, it is not worth your time and effort to do if for less. Your prices sound fair, just be patient more work will come. People don't understand how much goes into making these cakes. You would think after all the cake shows they would know how involved it is, but no. Keep your head up, and more will come that appreciate your work!

I know how frustrating that is! But don't be tempted to lower your prices, it is not worth your time and effort to do if for less. Your prices sound fair, just be patient more work will come. People don't understand how much goes into making these cakes. You would think after all the cake shows they would know how involved it is, but no. Keep your head up, and more will come that appreciate your work!

Is there anyway to research your competition? I wouldn't suggest undercutting them, since that might be what's going on with them to you. But instead try to see if you can offer something that they don't. Perhaps just a free single layer 4" smash cake with a first birthday order. Wedding orders of over 150 servings get a free dozen chocolate dipped strawberries for the head table. Look for little things like that that would add value to your product. Because when you look at it, the little smash cake or the strawberries are rather low in the cost to you area. But to the client, that might be a huge deal.

IndyDebi talked about this a while ago. The strawberries and chocolate might only cost you about 6 bucks (pulling that number out of the air here), but you might sell a dozen chocolate dipped strawberries for 25 dollars. See? So you are out only 6 bucks but the client is getting 25 dollars worth of stuff. Does that make sense?

Don't lower your prices but add value to your product. Is there a neighborhood event coming up? Bring the dessert and get your name out. It might just be that once the people taste your stuff, that would help them make the decision.

Let me guess. The competition is all military dependents and they were there first. This may just be a case of misplaced loyalty.
My sister was posted with her hubs to several foreign bases (Japan was one) and was always complaining about this issue. It seems you have to "pay your dues" and "be accepted" before you even get an invite to anything. Childish games for bored people.

Where are you located? I was in Yokosuka and had great clients. I average at least 8 cakes a week ( I need to update my cakes have not added pictures since last year). When I first started I gave away a lot of cake in order to get my name known. I also would send cake to work with my husband and that help also. Just hang in there you time will come, I promise. Oh yeah i would charge $35.00 for a 9x13 and $50.00 for a 1/2 sheet.