What To Charge?

Business By klynne Updated 10 Oct 2007 , 10:11pm by klynne

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klynne Posted 5 Oct 2007 , 2:41pm
post #1 of 21

I've been asked by a co-worker to do her grand daughters birthday cake...but...its not just a cake. She wants a three tiered cake decorated with jo jo circus AND a sheet cake in the shape of an elephant. When I explained to her that the charge for this would be more than just a regular bd cake she seemed offended. Im far from being a professional but those cakes do take much more time and would have to be completed at the party. Sooo,,,my question is What would everyone here charge for a cake like that? The layers would be 14', 10' and 6', with a 11X15 sheet cake. Your help would be greatly appreciated. I dont want to over-charge someone,,,but I dont want to be undercut either. Thanks

20 replies
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ccr03 Posted 5 Oct 2007 , 3:30pm
post #2 of 21

Dear lordy that's a lot of cake!!!

Simplest thing for me is to calculate the servings NEEDED and charge per servings. I don't like additional math, so I just charge a flat $1.25 for cakes for whipped and $2 for fondant. HOWEVER, if it requires any RKT or extra work, I'll add an additional fee to it.

To get the cake servings I use Earlene's wonderful chart http://www.earlenescakes.com/ckserchart.htm.

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klynne Posted 5 Oct 2007 , 3:46pm
post #3 of 21

My thoughts exactly on the amount of cake,,,especially for a 3 year old. But we know the customer is always right.....lol....at least in their eyes. I really appreciate your reply. Your suggestion on the price is pretty much what I quoted her and she seemed to think that was outrageous....Will probably be one cake I dont have to do. Thanks again.

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ccr03 Posted 5 Oct 2007 , 4:11pm
post #4 of 21

True, but you might to calculate the number of servings it would be and her, because if she is just getting it for looks she may end up with TONS left over. And obviously, less cake means a lesser price.

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leily Posted 5 Oct 2007 , 5:14pm
post #5 of 21

wow that is 165 servings that are 1x2x4 on the 4" tall cakes and 2x2x2 on the sheet cake. My base price would be $3 with the detail and the carving of the cake. So $480 to start, if she wants more detail then the price goes up. Oh and there would also be a delivery fee b/c I don't let customers pick up anycake over 2 tiers.

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kelleym Posted 5 Oct 2007 , 5:19pm
post #6 of 21

That's about 140 servings of cake...is that really what she needs? icon_eek.gif

My BASE price for the 14-10-6 cake would be just like a wedding cake, $3.50 per serving, but could be higher depending on the design. The sheet cake would be $2.00/serving (35 servings = $70.00).

So, the 3-tiered is 105 servings for a total of $367.50
Sheet cake is $70.

MINIMUM for the order is 437.50. Think about how much money you will spend on ingredients and supplies and how much time you will spend making these over-the-top cakes. I bet you spend at least $100 on ingredients and supplies. That leaves $337.50 for "profit". How many hours is it going to take you? Remember to count shopping, GAS, utilities, baking, washing dishes, cleaning the kitchen, and OH YEAH, actually decorating the cake, and I'm assuming delivering it too? My estimate would be about 25 hours. That would leave you with an hourly wage of $13.50. For skilled craftmanship. You might even call that a bargain icon_wink.gif How many people can you get to work for you for that much per hour? Not a plumber. Not an electrician. Not a hairdresser. Not a dressmaker. Not a painter. Not anybody. So why should you charge less than a living wage?

Whew! Stepping down off my soap box! I just want to see us all get paid what we're worth! thumbs_up.gif

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indydebi Posted 5 Oct 2007 , 6:32pm
post #7 of 21

I'm with leily and Kelley .... does she really realized how much cake that is? And just because she's calling it a birthday cake instead of a wedding cake, doesn't make it "suppose to be cheaper".....same cake, same work, same price. Surely to GOD she doesn't expect to get all of that cake for fifty bucks!!!!!!!! icon_surprised.gif

My pricing would be in the same range as previously mentioned in above posts.

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klynne Posted 6 Oct 2007 , 2:33pm
post #8 of 21

Thanks for everyones replies. I love doing cakes for friends and family just dont want to be taken advantage of. I did explain to her about the amount of cake she was going to have for only 50 people. It amazes me how people go overboard on birthday parties...but...lol, the extra money helps me. This is probably one sell I have lost but thats ok too.
CakeCentral has been a great find for me and everyone is so helpful. If I draw a blank when someone asks for a special design I know I can come here to find something..THANKS EVERYONE!!!!

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debrab Posted 6 Oct 2007 , 2:54pm
post #9 of 21

Hi! I live in KY too and most people around here don't turn over big money for cakes. Usually I charge $35 for the 12x18. Since it would be carved, I would add $10 to it making it $45.

Then I would probably charge about $110 for the 3 tiered cake plus if you had to drive. I usually charge an extra $10-$15 to drive to Lexington or one of the other surrounding counties.

I hope this helps, but as you know around here, for most people it is Wal-Mart or Kroger with the plastic cake kit.

We had 2 real bakeries here. One has closed and the other is for sale. I only make cakes for friends, but with all the bakeries closing, that may increase.

Good luck with the cake!!

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MacsMom Posted 6 Oct 2007 , 3:13pm
post #10 of 21

My pricing is only $.25 more than KelleyMs' per slice: $3.25 for tiered cakes, $4 for carved 3D cakes, $2.25 for sheet cakes.

Can you perhaps talk her down in cake pan sizes for the 3 tier? (8"6"4")

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bethola Posted 6 Oct 2007 , 3:16pm
post #11 of 21

A THREE YEAR OLD? Wonder what they will do for this kid's 16th birthday? WAIT!! Let's think about the WEDDING this kid will have. Can we say Platinum Wedding? LOL

I'm with the rest on the pricing and the fact that I don't think "Grandma" has a CLUE as to how many servings this will be!

GOOD LUCK!!

Beth from MADISONVILLE KY

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klynne Posted 6 Oct 2007 , 5:01pm
post #12 of 21

I live in a small area too. I usually charge $22 for 11x15 birthday cake, but seems like everyone is wanting more complicated designs so Im thinking of raising my prices for special characters. Theres no "bakery" around here either and just a few women who it on the side. Basically Ive been doing it by word of mouth and have lots of repeat buyers. The grandmother told me she could get the same cake from a local grocery for $90. I did explain to her that those cakes are shipped in frozen and the icing is store bought too. So far I've never frozen a cake that someone has purchased,,,but of course if things keep going they way they have been I may need to just to keep ahead of the game. One day I think it would be great to be able to quit my "day" job and open a cake shop,,,,but,,,for now I'll keep learning from all the great cake people here. icon_smile.gif

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indydebi Posted 6 Oct 2007 , 5:45pm
post #13 of 21

Cake for 135 for $90. I'll tell her it was nice talking with her and I hope she enjoys her grocery store cake.

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bethola Posted 6 Oct 2007 , 5:46pm
post #14 of 21

Know what? I've learned to tell people if they want to buy the cheaper cake that fits their budget, that's EXACTLY what they need to do! I charge 25.00 for my 11 x 15's and my regular friends that purchase from me don't blink an eye. They also know that I require a 2 weeks notice as I work another job AND HAVE A LIFE. If they call with less than 2 weeks notice, sorry, no cake. I also don't do cakes between Thanksgiving and Christmas. I tell them the holidays are mine!

YEP! I don't ever intend to quit my day job, because I like too much control over what I do and when I bake cakes to make money...it's not fun anymore. This way, it's always fun because I do it when I CHOOSE to do it!

Now, exactly WHAT small community are you from? I certainly understand if you choose not to respond to this question!

GOOD LUCK!

Beth

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klynne Posted 6 Oct 2007 , 6:34pm
post #15 of 21

My regular customers dont complain about the charge for my cakes cause they KNOW they do taste great. I always tell them I cant guarantee what the'll look like,,,since Im no professional,,,but I DO KNOW that they will be much better than the local grocery. Most of my friends tell me I dont charge enough. Im tryin to learn to say no. I've had several people call and want a cake the next day. If its a simple design I try my best to do it,,,although it usually means a late night for me. Theres only been one that I did have to tell no....She wanted my "Boob" cake for her boyfriend the next day it was just impossible to do since I do have a full time job and it was 8pm that night when she asked. All in all everyone is pretty good about calling in advance.
As to where Im from,,,,its Southeastern KY,,,close to nothing but 30 minutes away from everything. lol,,,Just a little speck (at least I think so) on the map close to KY/VA border.icon_smile.gif
Also I did tell my co-worker that is she could get the cake she wanted for a cheaper price I would not blame her,,,but there was no way I could do what she wanted for $90,,,,my other co-workers were proud of me,,,lol,,said it was about time I stood up for me.

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bethola Posted 6 Oct 2007 , 11:37pm
post #16 of 21

Just got back to the thread. You are all the way across the state from me! I'm in South WESTERN KY! LOL

So, are you doin' the cake? Yes? No?

Beth

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klynne Posted 10 Oct 2007 , 4:43pm
post #17 of 21

Grandmother/co-worker came back to me today and said she wanted me to do this cake. She has decided to down size on the size of the layers but still wants a three tiered stacked cake. Ok,,,so what are some suggestions on the sizes of the cake (for approx 50 people) and suggestions on pricing. I think she found out it wouldnt be as easy or as cheap as she thought to get this cake from the local grocery. thumbs_up.gif

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tonedna Posted 10 Oct 2007 , 4:57pm
post #18 of 21

I say if they dont like the price for a custom cake they can go to walmart and have them done there!...MY WORK IS VERY PRECIOUS...
My prices start at $2.5O For a very simple cake..and when i have to do 3d shapes...$125 is the starting price...

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DianaMarieMTV Posted 10 Oct 2007 , 5:00pm
post #19 of 21

A 6-8-10 would give you 60 servings according to Wilton's chart. I charge 2.50 a serving so for me it would still be $150 base price plus more if it is fondant or has any figures, edible images, or detailed/intricate work.

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Antgirl Posted 10 Oct 2007 , 5:01pm
post #20 of 21

I am new at cake making for money, but my husband and I started an engineering business a couple years ago and have had the same struggle with pricing (though it's a pile more than I could charge per hour for a cake icon_lol.gif ).
We have to charge friends and family when they need his services because we can't afford to have him work for free. And we need them to know and appreciate the "fair market value" of the services he does, but to give them an especially good deal.
So we have a "Preferred customer" discount of 25% (but it could be any percentage you choose.)
So you could tell your co-worker "This is what I would normally charge for this cake. Because you are a close friend I will give you a discount of $x or x%."
Just an idea! thumbs_up.gif

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klynne Posted 10 Oct 2007 , 10:11pm
post #21 of 21

Thanks so much for everyones input. The discount sounds like a good idea! Her daughter is suppose to get the decorations she wants on the cake so all I should be doing is the actual cake. Again,,,thanks everyone!!!!

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