Pricing Help

Decorating By lschmitz05 Updated 3 Oct 2011 , 3:26pm by cakegirl1973

lschmitz05 Posted 2 Oct 2011 , 8:12pm
post #1 of 6

I am new to baking and live in a very small area where a lot of older people do sheet cakes for cost of ingredients. I made 45 cupcakes for a lady who mind you never asked for a price before she picked them up and she was not happy when I told her the price. They were only $45 since I charge 3 times the price of the ingredients. She is the first person to make a stink when I told her the price... but was I wrong to stick to my price since it was her fault for not asking for a price when she ordered them?

5 replies
sugarandstuff Posted 2 Oct 2011 , 8:56pm
post #2 of 6

Your price seems more than fair $1/cupcake - not sure how time intensive they were as far as design, but honestly, I would never do a job for anyone without making sure they were aware of the final cost because people suddenly get "sticker shock" like your customer. I also make sure I either get a signed "order form" back from them or an email acknowledgment.

SarahMdr Posted 3 Oct 2011 , 3:54am
post #3 of 6

Besides "offering a quote" before you make it, I always get a 50% deposit/payment at time of agreement and then the remainder a week before the goods are due...

I think it was good you stuck to your price, but it's always better piece of mind and more professional when everyone is clear on the price from the get-go - a win win situation icon_smile.gif

LoverOfSweets Posted 3 Oct 2011 , 7:05am
post #4 of 6

You put in the time right? So yes, sticking to your price was fine. I also live in a very rural area and supply and demand play a role in pricing structure. That said, I always try to end my conversation with something like this "and you wanted x order correct?" "I am not sure if you are familiar with my prcing structure but I charge x amount for that and I just want to make sure we are on the same page." That gives them a chance to back out if they want to. Because I am rural, I don't get a signed contract unless it is over a certain price. I get a lot of calls for sheet cakes. Getting a signed contract for a 1/4 sheet cake is not worth my time, especially when I know our small claims process very well and live in a community of around 700 people. When you have to see a person all the time they are less likely to to give you issues. Also, I have the benefit of knowing which people are the likely problems and I don't have to take an order from them. That is the beauty of doing it when I want and how I want....

There is a lady nearby that charges $100 for a basic 1/2 sheet cake (keep in mind even the bakeries in the area don't charge more than $35 for that; and she is not using organic ingredients or anything like that.) I think she just doesn't want to have to do sheet cakes; in which case that is ingenious! icon_lol.gif

TexasSugar Posted 3 Oct 2011 , 2:41pm
post #5 of 6

In the future, I would discuss pricing before you make the cupcakes. Your idea of what the price should be and theirs could be vastly different. It doesn't mean they are right and you are wrong, you are just looking at it from different angles.

I would charge at least $2 for a plain buttercream cupcake, so she got a steal in my opinion. The price would go up if they were filled or actually decorated (more than a swirl and sprinkles.)

http://cakecentral.com/cake-decorating-ftopict-694973-pricing.html

cakegirl1973 Posted 3 Oct 2011 , 3:26pm
post #6 of 6
Quote:
Originally Posted by SarahMdr

Besides "offering a quote" before you make it, I always get a 50% deposit/payment at time of agreement and then the remainder a week before the goods are due...

I think it was good you stuck to your price, but it's always better piece of mind and more professional when everyone is clear on the price from the get-go - a win win situation icon_smile.gif




Ditto. thumbs_up.gif

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