Originally Posted by Stitches
That's what I would suggest. I don't even sell 6" cakes because I can't charge enough to make them worth my time.
When I first brought up the subject I was cautious about bringing up the topic. I don't want the OP to under charge for her work either! What Jason actually suggested is a smarter work around for getting a better price with-out scaring people off. I thought I read that the OP 'started' at $85. for a basic 6" cake, now I've double checked and realize I was wrong, it's $75 for a 6". That's still $12.50 per person. You can scare people off with your pricing, it does happen. Because one person on this thread has been blessed by wealthy customers never questioning their prices, doesn't mean that the OP will be that blessed. I'm trying to balance things out and show the OP that there's another person on this thread who hasn't been so blessed, who's clients won't pay $14. p.p. on a basic cake. That's all.
I'm reevaluating my pricing structure and even though I will be sticking with price per cake, vs. price per serving, I would like to know where $12.50/person comes from. I've looked at several different cutting guides and the smallest # of servings for a 6" cake is 8 (Earlene's), which would come out to $9.38/serving for a $75 cake. Doing the math, I can see that 6 servings would come out to $12.50/serving, but what cutting guide does that come from?
Originally Posted by jason_kraft
Actually if you look at OP's price structure it makes it very easy to upsell customers. If the customer is looking at a 6" round that serves 8 for $75, they might decide that it's a better "deal" to get a 10" round (almost 4 times as much cake) for just $20 more. No one would throw around the $14/serving figure without framing it as an upsell conversation.
If anything OP might want to lower her minimum a bit and space out the pricing on more of an exponential curve instead of linearly, the 14" round is less than $2/serving. For example, the pricing from 6"-14" could be $60, $70, $90, $120, and $160.
Also, where does $2/serving for a $115 14" cake come from? I'm thinking it might be from Earlene's cutting guide, which would be 65 servings for a 14" round, making it $1.77/serving.
I would just like to know what everyone references when they are talking about per serving prices, just so we are all on the same page. Mainly, I'd like to be on the same page as all of you. I'm not going to put it on my website, but I'd like to have serving suggestions on hand when someone asks.