Cupcake Pricing

Baking By CalhounsCakery Updated 31 Mar 2011 , 8:29pm by CalhounsCakery

CalhounsCakery Posted 29 Mar 2011 , 3:30pm
post #1 of 10

Hi everyone! I've just joined up, and this is my first post. I'm so excited to have found this site.

So, here's my question. I sell my regular cupcakes for $2.00 each. But I have been asked many times about bulk discounts. As of now, I don't offer any because I wouldn't want to give bulk discounts for large wedding orders. I was just wondering if it would be appropriate to offer bulk discounts for regular orders and not weddings as there is the set up and delivery time involved with weddings.

Please advise on this! I don't want to loose business because of any policy I may set into place!

Thank You

9 replies
TexasSugar Posted 29 Mar 2011 , 3:44pm
post #2 of 10

To me, more product, especially smalle things, means more hassle. Unless you have a large oven it takes longer to bake, you have to have more places to store them, more boxes, take up more space for delivery.

cylstrial Posted 29 Mar 2011 , 3:47pm
post #3 of 10

You could possibly offer a special. For instance, buy 12 cupcakes, get 1 free.

jason_kraft Posted 29 Mar 2011 , 3:56pm
post #4 of 10

The only time we give discounts is on wholesale orders where there is guaranteed volume every week/month. Bulk discounts for one-time purchases don't make sense in this business, since you're typically not sitting on a huge inventory of cupcakes that you need to get rid of.

If you have a lot of idle time you may want to look into short-term sales, adjusting your price, increasing advertising spend, and/or modifying your product mix. $2/cupcake is already pretty low though, you're getting close to grocery store-level pricing (depending on where you are).

KristyCakes Posted 29 Mar 2011 , 7:46pm
post #5 of 10

I like the idea of offering "extras" but I find that's a problem in itself with cupcakes b/c the boxes only hold 12. So I don't want to be out the cost of an extra box....

Cupcations Posted 30 Mar 2011 , 2:38am
post #6 of 10
Quote:
Originally Posted by KristyCakes

I like the idea of offering "extras" but I find that's a problem in itself with cupcakes b/c the boxes only hold 12. So I don't want to be out the cost of an extra box....




I think she meant giving them that offer when they order big quantities not just for a dozen, like when they order lets say 6 dozens you tell them you get 6 free CCs

Whereas to the topic I dont belive in discounts unless it was my sister or so, cause more cupcakes is more work for you whatsoever... this thread might help you regarding this issue

http://cakecentral.com/cake-decorating-ftopict-712919.html

ashleyisawesome Posted 30 Mar 2011 , 3:58am
post #7 of 10

The bakery I used to work for would do the buy a dozen get two free (price of 10), such as $2/cupcake or $20/dozen. If you were offering one free, you would just charge for 11 cupcakes rather than all 12, if that makes sense.

cylstrial Posted 30 Mar 2011 , 12:22pm
post #8 of 10
Quote:
Originally Posted by Cupcations

Quote:
Originally Posted by KristyCakes

I like the idea of offering "extras" but I find that's a problem in itself with cupcakes b/c the boxes only hold 12. So I don't want to be out the cost of an extra box....



I think she meant giving them that offer when they order big quantities not just for a dozen, like when they order lets say 6 dozens you tell them you get 6 free CCs




Sorry, that is what I meant. So you might be out 1 box in the end, but hopefully it would be full of the cupcakes because the customer bought 6 dozen or whatever.

Or you could do what the last poster said. Make it 11 cupcakes and give the 12th free.

They were just some thoughts I had to help the OP's business, but not necessarily, have her lose tons of money by giving a huge bulk discount.

leily Posted 30 Mar 2011 , 12:36pm
post #9 of 10

I only do "bulk" or "wholsale" discounts for CONSITENT large orders. So if they want to order 10 or more dozen (for example you may need to make it larger) every day or once a week then i can look at a discount because it's a gaurenteed order that I can plan in advance for and buy my supplies at a discount. A wedding is a one time event and is not a bulk order.

CalhounsCakery Posted 31 Mar 2011 , 8:29pm
post #10 of 10

This has been very helpful everyone. I've been told twice that my cupcakes are overpriced, but at $2.00 each, I think it's reasonable. I make everything from scratch and use straight butter in my icing (most in my area use shortning). I've also been asked why I don't have say, $2.00 each, or a dzn for say $20.00. I know you can by them in packs at the grocery store, but really, I'm not a grocery store! Besides, my stuff tastes better than anything from a grocery store! icon_biggrin.gif

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