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How much do people think a cake costs to make???  

post #1 of 412
Thread Starter 
Thanks to the Cake Boss software, I found that I wasn't charging enough for my cakes to break even on supply costs. I have been really undercharging. I decided that in 2011, I was no longer going to do this. I work from home, so I don't expect to be rich, but I expect to break even. I decided that there were a handful of people I would make cakes for at cost (family), some that I would discount (best friends, firefighters, teachers and LEOs), and the rest would pay full price.

Before I quote a price, I now put everything through my Cake Boss software, and it spits out a price for me. I love it. The only problem is, that since I've started charging more, I've had several people decide not to book with me. There have been 2 in the last month. Both were 3 tier cakes requiring gumpaste figurings and lots of work. I quoted one at $125 and the other was $175. Both people told me my prices were ridiculous, and that they find it hard to believe a cake can cost that much to make.

Do you have this issue too? How much do people think it costs to make a cake?
post #2 of 412
I personally would rather make a cake for someone who appreciates my effort and creativity than sell myself short. I think $175 for a three tiered cake is really cheap. I recently made a 30 serving cake for a friend whose husband was being deployed to Kuwait so of course I wanted to give them a discount. My friend is always raving about my talent but when she proceeded to toss me 20 bucks for the cake I spent 3 hours making, I was so shocked I couldn't even say anything. Needless to say, I now know what type of person she is. You might find that family and friends are the last ones who will actually pay you what you're worth. Here's a quote from my mother that revealed itself to be the truth: "It's better to be pissed off than pissed on."
post #3 of 412
I'm with you. I think your prices are really fair- people think we should work at minimum wage hourly rates! I hate losing orders because of prices, and I usually end up being a sucker and giving a really cheap price....and then hating myself for it!
www.cantstopbaking.blogspot.com
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post #4 of 412
i know what you mean, Cakeboss really opened my eyes too and i too loose a lot of orders once i give them a price, People get back to me and say they found someone to make it 'much cheaper' then what i quoted. so be it!! I just know these other decorators are not making any money, if only they had cakeboss. My students in my wilton classes ALWAYS comment at the end of a class that now they realize why cakes cost so much. they are so much work.
post #5 of 412
Thread Starter 
I'm not giving in anymore, unless it's for my sister or mother or someone like that. If I lose the order, I guess it's "oh well." I have more free time. It's just shocking to me that with all the cake decorating shows on T.V. now, people are really shocked that a cake costs more than $50. The $125 cake is a Winnie the Pooh cake for my godchild. It was a 3 tier design with all the characters made of gumpaste. I thought the price was very fair, especially since I wasn't charging anything for the labor. The party is a month away, so I guess we'll see what the mom gets at a more "reasonable" price. She just better not use my design. Although, I can't imagine she can get my design cheaper anywhere else.
post #6 of 412
I would like to see the cake that was 'cheaper' than $125 for a 3 tier cake ! icon_eek.gificon_eek.gif

With any thing - you get what you pay for....

If you settle for less $$ then you are telling yourself that you are not deserving of your talent and time!
post #7 of 412
I just had that yesterday, I quoted my normal price, then gave her a bit of a discount and suddenly I'm alone listening to the crickets... icon_rolleyes.gif
To find "THE RECIPE LINKS ARE HERE" thread, click on "Forums", then "Recipes" and it's the first sticky. Latest updates are on (the bottom of) page 10 here: http://cakecentral.com/cake-decorating-ftopic-625803-135.html
To find "THE RECIPE LINKS ARE HERE" thread, click on "Forums", then "Recipes" and it's the first sticky. Latest updates are on (the bottom of) page 10 here: http://cakecentral.com/cake-decorating-ftopic-625803-135.html
post #8 of 412
I too, have given people cakes at a ridiculously cheap price. I spend somewhere around 20 hours on a cake, then to have someone hand you 20 or 30.00 is an absolute insult. I had rather give a cake to someone because then I don't have to listen to how they can find a much cheaper cake. I'm getting to the point of "go ahead" have it done cheaper, I don't care. If I'm willing to give up an entire weekend, because I work outside of the home Monday through Friday, then they should appreciate my doing the cake for them and pay what I'm asking. I only break even anyway.
post #9 of 412
OMG- I just logged in here to say something similar! I just had someone contact me on Sunday for a cake on this Saturday and when I emailed her back the quote she emailed me back and said she couldn't justify spending $75 on a cake for her husband's 50th birthday and that she'd have to think about it. HELLO!! I told her she had until COB today to make a decision and also explained how I justified what the cost of the cake was....I probably should have just said to go to WalMart or the grocery store but I reminded her that my cakes are made to order, no frozen/pre-made cakes or icings out of buckets, etc. etc. She had seen a cake of mine at a party she attended (the 50th Man of All Seasons cake in my photos) so she knows my work and the attention to detail that I give to my cakes and all the different items I put on there.

So she wanted these things included in her cake: An airplane (her husband works for an airline/is a pilot), sailing/tropical island (they spend their winters in the tropics sailing on their boat), hiking/mountains, a moose, bears (they spend their summers in the White Mountains of NH), woodworking, skiing and biking and that it didn't need to be THAT elaborate!! LOL Oh, and she only needed it to serve 10 ppl!!!


Are you kidding me....you have a sailboat and spend your winters sailing in the tropics and your entire summer in the mountains a few states away but you can't justify spending money, $75 at that, on a cake for your husband's 50th birthday!!! Give me a break! I'm not to judge what people spend their money on but please don't tell me about your tropical vacations and all of the toys you own and then say you can't justify spending $75 for a cake for a milestone bday!
"He who passes on dessert drives home with a stomach full of regret."
"He who passes on dessert drives home with a stomach full of regret."
post #10 of 412
Quote:
Originally Posted by Bturpin


Are you kidding me....you have a sailboat and spend your winters sailing in the tropics and your entire summer in the mountains a few states away but you can't justify spending money, $75 at that, on a cake for your husband's 50th birthday!!! Give me a break! I'm not to judge what people spend their money on but please don't tell me about your tropical vacations and all of the toys you own and then say you can't justify spending $75 for a cake for a milestone bday!



LOL, so true!
www.cantstopbaking.blogspot.com
Join in the craziness!
www.cantstopbaking.blogspot.com
Join in the craziness!
post #11 of 412
I definitely need to look into the cake boss software! I am told by many of my customers that I need to raise my prices also - and with the price of groceries I have to. The ones that think the cakes are too expensive are the ones who will go and get their hair done - at 1-1/2 hours and have no problem paying $100 for that!! (I am not saying the hair dresser is not worth that - they totally are) But they need to take into consideration the material and TIME!!
post #12 of 412
You know the other side of this coin is the market -- I know people here won't pay more than $50 for something that will feed 25 people (like a 6 and 9 inch topsy turvy or a 10 inch pillow cake). They just won't do it. Yet my prices have those cakes at $100. Hence the problem!!! (Anyone have a solution???) icon_rolleyes.gif
To find "THE RECIPE LINKS ARE HERE" thread, click on "Forums", then "Recipes" and it's the first sticky. Latest updates are on (the bottom of) page 10 here: http://cakecentral.com/cake-decorating-ftopic-625803-135.html
To find "THE RECIPE LINKS ARE HERE" thread, click on "Forums", then "Recipes" and it's the first sticky. Latest updates are on (the bottom of) page 10 here: http://cakecentral.com/cake-decorating-ftopic-625803-135.html
post #13 of 412
I know, its really a problem! I understand why the don't pay that- I wouldnt either!
www.cantstopbaking.blogspot.com
Join in the craziness!
www.cantstopbaking.blogspot.com
Join in the craziness!
post #14 of 412
[quote="ginger001"]I too, have given people cakes at a ridiculously cheap price. I spend somewhere around 20 hours on a cake, then to have someone hand you 20 or 30.00 is an absolute insult.


And they think they are a hero giving you that!
May your layers be many and your frosting be thick! - Stampin Up
May your layers be many and your frosting be thick! - Stampin Up
post #15 of 412
I really think it would be great if the "Cake shows" would actually list the prices of their work much like they do on Fabulous Cakes. People are getting their ideas from the things these shows are putting out. They are totally unaware of the amount of work that goes into creating a character or animal or building. If you want true art then you have to pay for it. If it doesn't matter whether you have "true art" then go buy the cracker jacks because you get exactly what you pay for, cracker jacks.
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