I am getting alot of people wanting to order cakes. Ihave done a handful of wedding cakes and just kind of made up prices. What is the average price per serving that you charge? how much extra do you charge for fondant? I am new at the per slice thing and am curious what to do. If any one can help i would appreciate it. if anyone knows a a site to find a list of average prices that would be great!!! Help PLease.
I have been charging $2/slice for BC and $2.25 for fondant but I plan to up the price at the end of the year. I'm not sure what to up it to though. I was thinking to raise it to $2.25 and $2.75 but was thinking maybe I should just go with $2.50 for all since I prefer working with fondant.
I do live in a rural area with not alot of money so I can't have really high prices yet.
Lots of variables in that question. The area of the country is one. KoryAK can charge a much higher price than I can, but she's in ALaska and her cost for ingredients and supplies is much higher than mine.
I just upped mine to $3/serving for BC. I don't do fondant but if I did, it would be higher than that.
I just caution you to not fall into the trap of pre-determining what people will pay. I had a friend whose mouth dropped open when I told her hubby and I paid $150 for dinner for two one night. while she may be a person who "would never pay that", I am a person who will. So it's a good thing for that restaurant that they didn't listen to only people like her, or hubby and I would have missed out on a great dinner!
Also, since I grew up in small towns, I am frustrated by the "I live in a small town and no one will pay that" attitude. People who live in small towns drive BMW's and Cadillacs; they own designer clothes and purses; they build 4 bedroom houses in the very affluent part of town; they buy acres in the country so they can have their horses. They will pay good money for a good product. Back in my hometown, the average salary is slightly over $32,000, but I know for a fact there are lots of people in that town/area who make over $100,000. The new home construction isn't HUD homes ..... they are very large and ornate homes. SOMEBODY there has the money to buy them!
You can have the best darn cake in the county, but if you don't market it right, you'll never get the true value or the exposure you need. It's a whole package.
Hopefully, this is some info to get you thinking and help get you started! 
Also, since I grew up in small towns, I am frustrated by the "I live in a small town and no one will pay that" attitude. People who live in small towns drive BMW's and Cadillacs; they own designer clothes and purses; they build 4 bedroom houses in the very affluent part of town; they buy acres in the country so they can have their horses. They will pay good money for a good product. Back in my hometown, the average salary is slightly over $32,000, but I know for a fact there are lots of people in that town/area who make over $100,000. The new home construction isn't HUD homes ..... they are very large and ornate homes. SOMEBODY there has the money to buy them!
Well, the poverty rate for my town here is 19% There are alot of people who live in trailer courts and whatnot. I do understand your frustration though. We do get vacationers in the summer with their summer homes at the lake and I have actually gotten some customers that way...but the majority of my customers are locals who don't make much money. Those with more money (the ones with vacation homes) usually make it more worth it anyway because they choose things like fillings and fondant and other "special" upgrades, making the cake more expensive.
LaSomba, I know what you mean. My hometown has a 2004 poverty rate of 13.2% with 19.5% of children living in poverty. 75% of the kids in the school system qualify for free lunches. They have an average unemployment rate of 7.1, compared to the state unemployment rate of 5.4.
But I do a few weddings there and those people pay my pricing. THere are lots of people who make good money. I just have to figure out how to market to them.
Yep, I just did my yearly pricing and policy update and I am now at $6.50 per serving base price for either BC or fondant since I prefer the fondant, but didn't want to shut out those who truly just do want BC. I will tell you that I am one of the highest in the state tho. The lower priced vendors are more around $3 serving.
Pricing your cakes totally depends on the area you live in. I'd call around to other bakeries, etc., to see what the going rate is. If you know other decorators, ask them what they charge--you can even pose as a prospective customer to get this information. Then price yourself a bit above.--My motto--"Quality is remembered, long after price is forgotten!"
LaSomba, I know what you mean. My hometown has a 2004 poverty rate of 13.2% with 19.5% of children living in poverty. 75% of the kids in the school system qualify for free lunches. They have an average unemployment rate of 7.1, compared to the state unemployment rate of 5.4.
But I do a few weddings there and those people pay my pricing. THere are lots of people who make good money. I just have to figure out how to market to them.
marketing...yeah, that's the key isn't it. That's the hardest part of this whole business really, in my opinion...that and convincing people that I'm experienced enough to make a wedding cake since I only have a few wedding cake pictures in my portfolio. This winter, I plan on doing alot of cake dummies and taking pics.
Indydebi, I am going to print out your pep-talk about small town pricing and hang it on my fridge! I stand by my cakes...they look great and taste even better! It is NOT worth it to LOSE money. I live in a small town and I can't agree more about the big jewelry, clothes, cars and homes. SOMEONE'S got money!
But my question is How large is a reg slice of cake? :0/
The industry standard is 8 cu. in.
2" x 2" x 2" for one-layer cakes
1" x 2" x 4" for two-layer cakes
http://www.wilton.com/cakes/making-cakes/baking-wedding-cake-2-inch-pans.cfm
Have you sat down and figured out how much it is costing you to make the cake? Not only in supplies, but also in labor? With out that information, you are really only pulling numbers out of the air, and more often than not way to low of numbers.
I'm just starting out and work out of my home. At first, I just came up with a number that I knew would cover my expenses and considered it practice. Now, I charge $2/serving for BC and $3/serving for fondant. I've been doing that for a few months and everyone keeps telling me my cakes are worth more, so I'm thinking of upping my prices to about $3 and $4.
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