Am I Asking To High A Price

Business By deb4oscar Updated 2 Jul 2014 , 1:55am by ugcjill

deb4oscar Posted 28 Jun 2014 , 9:43pm
post #1 of 23

I made this 10" chocolate with white chocolate mousse filling (from scratch) covered in fondant with fondant and gumpaste decorations all made by me. On a facebook group I asked what everyone's thought was on charging around $160 for this cake.


I did my research and cakes are going for about $4 a serving which I based my starting price on.

(Just starting my legal home business but do not want to be known as the cheap lady or undercut businesses around me).


Most of the responses are they would charge only around $50 for this cake. That to me is really low what with material cost and time involved.


I would like the feed back from all you professionals on what you think.


Oh, this cake is for a very close friend of mine as a birthday present.


Also I know there are things I need to work on and am in the process of doing that.


Thank you in advance.


22 replies
petitecat Posted 28 Jun 2014 , 10:54pm
post #2 of 23

Deb4oscar, facebook isn't the right place to ask about pricing. Most people on there wont have a clue how much cakes should cost. There are loads of people who will tell you your quotes are too high, but that's par for the course in the cakes business because they don't know how much work is involved. Loads of pricing threads on here if you search for it. HTH

deb4oscar Posted 28 Jun 2014 , 11:00pm
post #3 of 23

Thanks Petitecat that's what I had already thought about Facebook. I have been reading those threads for years and that is why I want to go into this the correct way instead of trying to work for nothing.


I was taken aback by all the low balling even for Facebook that I just needed some professional feedback from my blog ladies (that's what my husband refers to us as) that I am doing this correctly.


My sister took a class from Julie Bashore and passed on how to price also.  I am confident in what I am doing. She's the one to convince me to ask the group on Facebook..


Must confess social media and I are not friends.

ugcjill Posted 29 Jun 2014 , 1:32am
post #4 of 23

AStay away from Facebook. It's not going to get you quality customers. Make a business site, post a few nice pics, but do your marketing somewhere else.

If you need help on that end, see if there's a college near you who has a student who needs course credit. They will provide low cost services under the supervision of one or more professors.

AZCouture Posted 29 Jun 2014 , 2:19am
post #5 of 23

A"....even for Facebook." Ohhhhh lordy, that is cheap central! Especially the buy sell trade groups for each town. That's where people go to get the cheap cakes.

"Who can make dis 4 cheep?" And they fall over each other to make it as cheap as possible, therefore winning the race to the bottom.

simplyme4469 Posted 29 Jun 2014 , 3:27am
post #6 of 23

AI struggle with this as well. I am inexperienced and it is difficult to determine the value of my time when things take me longer to do the work. However most people wouldn't want to work for $3-4 (if that in some cases) an hour like I end up doing when i make a cake lol. I don't think people know how much time goes onto custom cakes. Wish I could help but I understand where you are coming from.

ugcjill Posted 29 Jun 2014 , 5:43am
post #7 of 23


Original message sent by AZCouture

"....even for Facebook." Ohhhhh lordy, that is cheap central! Especially the buy sell trade groups for each town. That's where people go to get the cheap cakes.

"Who can make dis 4 cheep?" And they fall over each other to make it as cheap as possible, therefore winning the race to the bottom.

Ha! Ever notice how at least half the pics are on top of a dryer? What is that???

AZCouture Posted 29 Jun 2014 , 2:52pm
post #8 of 23

AOr on the FLOOR!

bakernoob Posted 29 Jun 2014 , 4:58pm
post #9 of 23


Originally Posted by AZCouture 

"....even for Facebook." Ohhhhh lordy, that is cheap central! Especially the buy sell trade groups for each town. That's where people go to get the cheap cakes.

"Who can make dis 4 cheep?" And they fall over each other to make it as cheap as possible, therefore winning the race to the bottom.

Oh  you are spot on AZCouture! I am a part of a few of those groups and though I do not sell my cakes (family and friends only) I sometimes get a friend of a friend of someone's cousin that will tag me in one of those posts saying "ask her. she does them for free!" Oh no! I make them for my family for free. There are always  at least 10 other "bakers" replying then trying to get the business. "I'll do your 3 tier for $30!" 

deb4oscar Posted 29 Jun 2014 , 5:10pm
post #10 of 23

Thanks everyone for your responses. I knew I was doing the right thing.  I didn't want to do Facebook but of course a friend mentioned to put up a page because that would lead back to my website and so on and so on...


I knew this was the right site for me.  I spend so much time in taking care of my son to fight someone just to lose money on making a cake.  My time is just as valuable, even if I do work from home.


Facebook out, Cake Central always in.



petitecat Posted 29 Jun 2014 , 10:02pm
post #11 of 23

deb4oscar, facebook is just part of the package. It's a way to be conversant with potential customers, customers, fans, what have you. Your website is your professional face and facebook, twitter, blog is your fun face where you can talk about cakes and talk to customers and be more 'human'. 


Keep your facebook page, use it to talk about your cakes and your business and yourself and people who happen to come across your facebook page, or get referred to it may still look up your website. It's still a way of getting your name out there and generating interest :)

cai0311 Posted 30 Jun 2014 , 9:07pm
post #12 of 23

AWhat size is the cake you posted? I am assuming it is an 8" round.

My price breakdown: $4.50/serving for fondant/ganache cake = 24 servings x $4.5 = $108 Topper = $35 Grand total = $143

Stay off facebook for that kind of info. That would be like going to a home show and asking how much a car should cost. You need to go where people with knowledge of the field are - like cakecentral.

AZCouture Posted 30 Jun 2014 , 9:39pm
post #13 of 23

ANo [@]deb4oscar[/@], a business page is fine, I think everyone can benefit from having one. I'm talking about the groups where people sell baby clothes and used tires. Yard sale groups, every town has at least one, like Craigslist but on Facebook. Those places are to be avoided like the plague. The ones for my town anyways, can't speak for everyone's area, but no one goes on my towns page looking for quality goods.

deb4oscar Posted 30 Jun 2014 , 10:41pm
post #14 of 23

Sorry, its a 10".


So I did - $4 x 30 servings + $120.00

white chocolate mousse (from scratch) and topper for the additional $40.


AZCouture thank you for breaking down how you came to that figure.


I don't like or use the Craigslist here in California.  I will use the Facebook page for business announcements or adding new product (still working on the website).


Again thank you AZCouture and Petitecat for all your help with this. It is going to take some time but I know I will get there.


And the party that the cake went to got some inquiries.



Singerssoul Posted 1 Jul 2014 , 12:37am
post #15 of 23

Chocolate mousse sounds delicious!  So tough to find recipes that don't require refrigeration, in order to be compliant with the law here in California.  Do you mind sharing the recipe?

SprinklesCS Posted 1 Jul 2014 , 12:47am
post #16 of 23

Add the cost of all your ingredients... that should be 30% of your asking price. The other 30 is your overhead costs, 30% for YOU and 10% profit and taxes.

deb4oscar Posted 1 Jul 2014 , 1:16am
post #17 of 23

Sorry no new recipe. This was for a very close friend and it was a gift, not a client.     I know about getting recipes approved, I'm still trying for ganache and royal icing.


I couldn't get pumpkin approved either. Go figure.

Singerssoul Posted 1 Jul 2014 , 2:20pm
post #18 of 23

Yes, I could not get pumpkin through on anything but bread. The Royal issue is a pain, especially since some counties are allowing it, not mine though. 

deb4oscar Posted 1 Jul 2014 , 2:44pm
post #19 of 23

I'm in Riverside County which seems to go by the book where as San Diego and Los Angeles are approving Royal and Ganache..


My health inspector needs a written form from California that will allow these items, so getting paperwork together to submit.


Alot of it is frustrating as some of my best things needs some refrigeration. I will just have to make those at family/friends functions.



Oh yea she approved Salted Caramel which uses heavy cream but not my ganache......

Singerssoul Posted 1 Jul 2014 , 3:47pm
post #20 of 23

Good luck with the letter!  I hope you are able to submit it, as I know of a CFO in Menifee who had her inspector call Sacramento and was told no go.  It is a bit ironic as Sacramento County has approved if for use there.

ugcjill Posted 1 Jul 2014 , 8:54pm
post #21 of 23

I don't know how the CA law works, are you able to submit samples to a certified lab for testing and get approvals based on the results? The tests would probably be a manageable cost, around here they'll test pH and Aw for $35 each and the inspector gives approval if the numbers are ok.

deb4oscar Posted 1 Jul 2014 , 10:28pm
post #22 of 23

That is some of the information I am trying to find out. Just crazy some counties are approving recipes while others are not. 

ugcjill Posted 2 Jul 2014 , 1:55am
post #23 of 23

Yep, I know how it is with inconsistent regulations.


Go by what your local inspector says for these two reasons: First, they have final say on your approval with all the knowledge to back it up, and second, they are accepting liability on your behalf by giving your kitchen their approval, so it's as important to them as it is to you. You guys are a team, and the inspector really does want you to succeed.

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