I know we all have a tough time with pricing and I have another question. The first time I try a new style for a cake I always give what I think is a good price, but then when I am working on the cake I realize how much more work it is. Obviously, I honor the price to the customer, but how do I let them know that if they order the same cake again it will be more? Or do I not even mention it? I don't want the customer going around saying that she/he only got it for X dollars either.
Any ideas on how to handle this in the future?
Thanks.
Anita
Maybe when you give the original price on a new cake style, mention to the customer that this is the initial price, which will be subject to change depending on time spent and difficulty levels. Most people don't realize how much goes into cakes, and how we might not always know how difficult something is going to be until we try it.
We all like to have different style cakes in our portfolios, so maybe you could quote a 'portfolio' price.
I'd charge them the correct price right from the start.
yeah, but how can you charge the correct price from the start if it's a style of cake that you've never personally put together before. Like someone else said, alot of times you don't know just how much work is going to go into it until you try it for the first time. I would let the customer know that the price is subject to change depending on the level of difficulty and hours involved.
Would that mean that you would then make a practice cake to gauge how long and how difficult it is to do and then work out a price
OR
Take the order and let the customer know the total price when you deliver the cake?
From a customer's perspective, he/she dosen't really care how long it takes you to make the cake. They want to know the total cost before they order from you.
Goodness, hope that does not sound rude. I know what I want to say but I am having difficulty typing it so it makes some sense.
I would honor the original price, but would tell the customer that the cake took alot longer than anticipated, and that you underestimated the price. This way, they know that the price would be higher if they ordered the same type of cake in the future.
I have this problem alot. I commit to doing a cake and give a quote, but then it ends up being alot more work than I expect.
No, it doesn't sound rude at all. I understand what you're trying to say. I know that the customer really wants to know a price up front. But let's say they bring in a picture of something that isn't in your portfolio and is completely different from the style of cakes you normally do. I really don't think it would be a bad idea to let the customer know that you've not done this style of cake before and that the price you quote is an estimate. I'm by no means an expert when it comes to cake decorating. In fact, I'm brand new, but my job that I just left completely focused on customer service. So that's the kind of the standpoint I'm coming from. Is it possible to look at a picture of a cake and give both a minimum and maximum estimate? Then maybe you wouldn't lose out by having that maximum estimate in place. I don't know. My biggest point with my last post was that if it's something brand new to you then I would think that it would be extremely difficult to quote the customer the "correct price" in the first place.
I've had this happen several times. What I do is put the price I will be charging in the future on the receipt with a discount bringing the price down to what I actually charged the customer. Then I explain to the customer that the cake took alot more time/cost to make than I expected and in the future I'd have to charge more, just in case anyone asks them about what they paid for the cake/cookies. If anything, the customer feels like they got a deal.
Sometimes I will put more time/detail into a cake than I usually do for the quoted price (at no extra charge) so that I have a nicer picture for my portfolio or because I wanted to try out a new idea and again, I will list the extra item on the receipt as a charge, then a discount. For example, I've added fondant detail at no charge.
Julie 
I'd charge them the correct price right from the start.
So emmascakes, how do you ensure you've charged them the correct price from the start, and know that you're right everytime.
I did that on my wedding cake order so I did tell them they where getting abig price break as I miss quoted myself and did not charge then for my labor or time. they thank me and asked how muchdid thye save so if anyone asked they would give themthe right price and not their special pice (lol) i told them what theyshould of been paying and then laughing said never agian will i work that hard for free. theylove the cake and gave me 50.00 more dollors and said they wish they could buget me out more as they loved the cake and i do get order from them alot.
so just tell them don't be shy it was a mistake!
All my cakes are cakes I've made for the first time, I've never made the same style twice so I'd be completely skint if I charged at a discount for a 'practice' run - they're all practice runs! I charge roughly £2-3 per person for my cakes, taking into account ingredients and a rough idea of how long it will take. Maybe it just needs some time thinking realistically about how long each stage will take. for example, if it involves a lot of pastillage work which is going to take a long while to shape and dry it's going to take a lot longer than cakes that are mostly piped decoration or cut out fondant spots, for example. Modelling is a different matter altogether and I don't do much.
I don't 'know that I'm right every time' but I charge enough that I enjoy the work, don't get irritated by feeling that I've undersold myself and enjoy the process. I think it's really important not to undercharge for your work; people don't realise the value of cheap things and you don't get so much out of making it if you feel resentful that they're getting you at a bargain cost.
If I could wave a magic wand over CC it would be to bless everyone with more confidence in their work and more guts to charge what they're worth. So many of the posts in CC are from people worrying they're overcharging - ladies (and a few gents!) you're skilled artists - realise your worth!
Thanks everyone. I really appreciate the comments. Emmascakes, I do realize the value of my work, sometimes I just cannot figure out how long something may take. I just started this as a business about a month ago and it is going well but I assume these will be bumps in the road as I get it off the ground. But, you are right, we all have to realize our worth.
For example, I made a purse cake for a customer and charged $70 and I think it should be closer to $100.
Julie, I think I will do that.
I really appreciate all the advice!
Anita
From a customer's perspective, he/she dosen't really care how long it takes you to make the cake. They want to know the total cost before they order from you.
Well-put.
Part of what the customer is paying for is your experience and your expertise. They're paying you because you're supposed to know what you're doing.
What I usually do is tell them the price is going to be around $XXX to make sure that price range is ok with them. Then I usually add on to that price as much as I can b/c I end up spending WAAAAAY too much time on the cake!
Courtney
that's a little dangerous. I am shocked you have customers who are ok with you changing the price. As a customer, I wouldn't sign a contract with a price range - tell me what you are charging or I go somewhere else (IMHO, of course).
Quote by @%username% on %date%
%body%