I have a local pottery painting shop that is interested in selling my cupcakes in their shop. We are just in the beginning stages of working this out but I am thinking it will be smaller amounts, maybe 3-4 dozen once or twice per week. My question is how do you normally charge for that? Do I just charge my normal amount for cupcakes and then she can mark them up to whatever she wants? Do I charge wholesale? Discounted price? Any advice would be helpful. I have never sold to another business before. And, yes, I am licensed and the pottery place is also licensed to sell food.
Wholesale is selling to a business that will resell your products. Come up with a wholesale price and they can charge whatever they decide. That's business and it benefits both sides.
I think it depends on the quantity they buy.
You could say, for example, 1-2 dozen = $XX
3-4 dozens = $X
and so on..
I would be sure to discount only the LAST quantity, not the first.
Say 1-2 dozen, $2 each
3-4 dozen, $1.90 each
5+ dozen, $1.80 each based on a per week order.
Or give a quantity discount on a monthly basis, say 10th dozen free.
I am just trying to say, don't offer a discounted price UNTIL they buy. What if they only buy a dozen a week? The promise of quantity is not a guarantee of quantity.
I have vendor who apply discounts based on yearly purchase (home depot even does this on paint, for contractors). First $1,000.00 full price, second $1,000.00 get 10% off, third $1,000 get 20% off.
Whatever. Many choices.