Thanks for posting this. I do have a question though, and maybe it's already been asked if so I apologize in advance. What are the three different levels you refer to in the grid?
I had the same question but when looking through the posts, I found the explanation in her first post which had the matrix attached. I cut it out and pasted into the matrix spreadsheet so I could refer to it.
Thank you cakesdivine for posting, it is appreciated.
Thank you Cakes Divine. I am using your spreadsheet as a starting point for building my own... Actually DH is the Excel and maths guru, so he will develop the equations!
It's hard finding enough time when you're running a busy cakery to develop things like good pricing systems, so I really appreciate having yours to look at and experiment with.
thanks for sharing!
For all those sending me their email addys there is no need! Simply look at the very first post in this thread and you will see the link and explanations to the level definitions. You can use fewer or more levels or you can decide to not give price breaks for more servings it is entirely up to you. Do what works for you. You will still need to do some market research of prices in your area for custom designed cakes. Don't compare to grocery store or box store cake prices, they operate totally different and have purchasing power you do not. Really sit down and itemize what it costs you all the way down to every ingredient and every paper good you need to make a cake. I base mine off a simple quarter sheet/8" 2 layer round amount of batter then work from there. Make sure you factor in utility costs, and your fee you want to make per hour. Just so you know if you use box mixes it generally takes 1 & 1/3 of a box to make a quarter sheet or 8" 2 layer cake. Mixes won't give you a full 2" layer of cake it takes that extra 1/3 of a mix to achieve it, so make sure you take that into account if using box mixes.
Really very interesting, thank you for that matrix. It obviously took you a great amount of time and effort and I can tell you put a lot of thought into it, so, it's lovely you are sharing!
I personally use a software that determines my price. I entered in the ingredient prices, KW/h or my energy costs (my kitchen is all electric) plus prices for packaging, boxes, parchment paper, cake tin liners, etc, (a one time job which took AGES), and that formed the database. I then can just enter in a type and size of cake, what filling, frosting/icing, which embellishments are being used and it tells me the price based on my actual cost and mark-up. It also takes into account my fluctuating fuel costs based upon mileage, well, just everything. It was an expensive one-time purchase, but for me, it was worth it.
What I like about your matrix, (and about Alice's which is on this site,) is that you tell people to look at ALL costs involved. Often people forget about the cost of sticks for cookie bouquets, having to buy in a special colour for cake embellishments to match a bride's palette, how much parchment costs to line a tin, or wrapping their cake layers in plastic wrap for freezing and it all adds up! You want your clients to eat your cake, not YOU eat the profit.
I use CakeBoss software, although my grid was developed years before. What I have found is that it is still pretty spot on. Granted costs do fluctuate due to rise & fall in ingredient and paper goods costs, so the profit margin also fluctuates from time to time, I have had to adjust the base line price each time I moved (Houston to Sherman then here in Canyon Lake) to accommodate each locations pricing dynamics, but the core formula stays the same.
Thank You for sharing
You're Welcome to all!
I have had a few people still sending me their email addys. NO NEED. Simply look at the very first post in this thread. The link to the price grid is right there .
So if you have PM'd me or emailed me and I haven't gotten back with you please take a look at the link, I get so many emails requesting this that some might fall through the cracks. ;
Thanks heaps - I actually really like this! Boo to all the whingers
Also, those that keep emailing me, there is no need! Simply go to the first post in this thread for the link to the grid
Wow! Thank you! This is brilliant! Thank you thank you!
This is really helpuful! Thanks so much for posting the price chart. I am just starting up charging people for my cakes and I always feel like I am undercharging. This helps!
Just downloaded! Thanks for sharing!
I have only been advertising my business for 6 months, and I am already booked solid for the next 6 months. I have been increasing my prices steadily at a per serving rate. Every time I raise my prices I get more customers. The word of mouth and the consistency of your product will mean no matter what your price, they will want your work. I am double what other cake shops sell for around here and still getting business. But I also am the only one who does the type of cakes I do and makes everything from scratch even the fondant. So, maybe it would depend on the product and the competition. But I am $3.50 per serving period. However, modeling figures and extra sugar flowers, etc. are more as well as delivery over 20 miles.
thanks this is great
This pricing grid is perfect and gives me a good idea of what I should charge.
After working in the wedding industry as a planner and sometime florist and baker for a long time, I realised that the Wedding Cake Industry is crazy expensive - which is why many people go to someone from home to make their cakes.
I know a very well-established cake place in Vancouver and they will charge $8.00 per serving for 300 servings - there is never a discount.
Most people don't understand the time and effort it takes - so us "adding" extras, say it'll be $1 for each posey, and $2 per each rose - that's just nickle and diming. People are going to start saying - okay okay, 10 roses, that's it. And they'll be dissappointed by their product.
This isn't hard work or easy work, but it takes hours and patience and training - include all that in your price. A wedding cake baker from a high end place will not tell you, also, it'll take 13 hours to make this cake and I charge $120/hour additional to this and that.
Thank you for this matrix, it's very easy to follow.
thanks for the link
Hello! I am not sure if I am missing something, or just not getting it. I understand everything but, what does level 1, 2, & 3 mean? Is it the amount of things on it, the difficultly, etc?
AIt is based on the difficulty of the cake a simple border with happy birthday and a couple flowers would be basic while a carved or topsy turvy cake would be a level 3. It explains it in her original post. Hope that helps.
NM - I found your sticky with the price list. Thanks so much for doing this - very helpful!!
So sorry just saw this post. The levels are based on difficulty. It is up to you how you determine what constitutes the different levels of difficulty. To me a level 3 is something with lots of ornate flower, or gumpaste figures, 3D sculpting, Lambeth method, Mad Hatter or other gravity defying types of architecture. Level ones have side piping or easy figure piping, use of edible images, etc., Level 2 decor that falls inbetween Levels 1 & 3. Basic of course is very easy and quick to make. The more time needed, the higher the level.
Is this matrix still available? I went to your link and got an error message