What Should I Do??? (Kind Of Long)
Decorating By aggiecakes Updated 17 Jul 2006 , 5:42pm by daranaco
Okay, out of boredom this summer, I decided to try cake decorating and immediately became addicted to it and to this site. (BTW, you guys are all so helpful and encouraging.) Anyway, I took a cake to my husband's office last Friday and they loved it. They even approached me about making their monthly birthday cakes and I said I would love to before a price was even discussed. Well, come to find out, they had been paying $60 for a half sheet from another baker and decided it was too much and they cancelled ordering from her. I just got an email this morning from the person in charge of birthdays and she said "Would $20 be enough?" I almost fell over backwards - $20 for a half sheet - and they want filling. She said managment had wanted to do the $15 Sams cake and that she was really pushing for $20 for me to do it because it tasted so much better than a Sams cake. I responded to her email and told her "I was thinking more along the lines of $30" - and I think that is even a little on the cheap side.
I figure it is going to cost me somewhere around $15 to just make the cake and then I have to drive it downtown (my husband takes the bus and I can't see him trying to carry a half sheet and brief case on the bus LOL) - and downtown is about 20-25 miles - one way!! Hello - gas prices!!!
I really really want (and need) the practice and to be able to get my name out there, but I just don't know if I should do this for $20. It really isn't too bad right now in the summer- I have lots of time, but I teach first grade full time and once school starts back up, I think I may come to resent the fact that I have to make a monthly cake for just $20 when I am feeling rushed with just the regular day to day routine of life. Let me know your thoughts!
You're right - $20 is really not enough!! But, there are a couple ways to look at it. Since you are just starting out, you could tell them you'll do it for the first six months at that price - for the practice. The most important thing is that your costs are covered. Be sure to tell them after that, prices will go up if they still want to go with your cakes. Chances are, they will like your cakes and not want to stop getting them!! If they do decide to go to Sam's, let them. They might end up missing your cakes, and they will get to experience the difference. At least that way, you got some more practice under your belt, pictures for your portfolio, and anyone who has eaten your cake can be a potential customer for their own events. Don't ever feel bad about telling people you aren't going to beat Sam's or other store's prices. As the cake master Earlene says, no one else can offer the same product you do. If people don't understand that, let them go somewhere else. They will only value you as much as you do yourself.
I wouldn't do it. I understand the desire to get your product out there, and get some practice, but absolutely not for that price. You don't want your name to be our there if people think your cakes are that price. Then everyone will want them for that amount. I would tell them that they should probably go for the Sam's cake (as hard as that may be), and remind them that they get what they pay for, and you would be more than happy to make cakes for them in the future if they should so change their minds.
I think that is WAY too cheap. This is not a prefrozen (sometimes pre-iced) grocery store cake. This is a fresh cake that is customized. Please don't be offended but there is some truth to the statement that we teach people how to treat us, personally and professionally. Please train everyone from the very beginning about what you do and the benefits of getting a cake from you vs. the grocery. If they can't (or won't) pay your prices be okay with that, but don't start off by undercharging and all that comes with it. I understand about practice and exposure, believe me, but there are people who are willing to pay a reasonable price for your services. Seek them out. Find a price point that is good for you and stick with it. Good luck to you and have fun with it! 
If you are really interested in doing it, start high and negotiate down. But do not underprice yourself. Practice is one thing, but once you start doing something for pay, no matter how "small" the paycheck, you will stress yourself out over it.
As a teacher (and by the way, thank you for being one!), you have more than enough stress! However, you still can let your husband's coworkers know that you are available to do cakes for them at a special rate if they are interested.
Let us know how this goes!
Wow only $20?! For that, I would make exactly what they pay for...a box mix and a quick job with the icing. If they're considering Sam's Club, then they shouldn't expect much (no offense to anyone working at Sam's Club).
Wow only $20?! For that, I would make exactly what they pay for...a box mix and a quick job with the icing. If they're considering Sam's Club, then they shouldn't expect much (no offense to anyone working at Sam's Club).
I make my cakes from a box, homemade frosting, and I STILL wouldn't accept $20. No way. My sheet cakes (11x15), I charge $30, and the 12x18, $40. No filling. Extra for special requests such as MMF accents, etc.
Okay, good news (I think). Just got another email and she said she has been approved for $30!! I went ahead and told her I would do it at $30 for now. I figure since I am new (my icing is really not all that smooth yet and my decorating skills - well, let's just say I am working on it) I don't think I can or should charge what someone else who has been doing this for quite some time would charge. I like the idea from dydemus - charge this for 6 months or so and then go up on my price since hopefully by then my technique will be better and if they want it - fine and if they want Sams - that is fine too. At least I will get to have the experience and have my costs covered. Thanks for all the advice!! I couldn't do this without this site.
I feel your angst -- but don't do it! PLEASE don't do it! Not for twenty bucks!
I just this weekend decided to set my minimum price at $50/cake, no matter HOW big or small.
Because I put "my all" into every cake I do, as do you, it truly isn't worth it to me to pour so much of myself into something that won't at least bring a healthy profit over my costs.
(And the $50 usually doesn't even begin to cover my time.)
Our local grocery store charges $19.99 for a 1/4 sheet cake that comes in frozen that they ice with icing bought by the bucket, no filling, and she wants you to make a 1/2 sheet for $20!!! 
I wouldn't do it for the simple word of mouth it's going to create. The people your husband works are probably going to know what you're getting for them and they'll tell people then everyone is going to be expecting really cheap cakes. I'd say the lady charging $60 for a 1/2 sheet was charging about right, I've only sold a couple but the last one I got $35 for a 1/4 sheet.
Aggiecakes, I'm glad you were able to get a price that you feel comfortable with! I think it is a great opportunity to get some practice without having lots of cake sitting around the house. Plus you can experiment with flavors and recipes and receive direct, honest feedback.
Plus, as you mentioned, you can always raise the price later!
Good luck!
Danielle
Class of '97
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