Hi every one ,I have another pricing question.I made this castle cake for a 6 year old girl.I'll attache the pic.I charge $2 for butter cream and $3 for fondant.I made 6inch and 8 inch cakes .Serves 20 people .the cakes were butter cream and decorations were fondant.So i charged her $2.50 per serving.Now the thing is her total was $50 but when I gave her the cake she was really surprised with the price I was charging.She insisted on paying me $150.I didn't feel right taking that much money but we settled at $80. She has home based bussines , so she gave me a long lecture how I am under selling my self and should be paid for my time.
And no she is not in cake bussiness.Now I am very confused about my prices.she told me that I should atleast charge $5 per serving for sculpted or 3D cakes.Any advise people????/

any one ,should I really raise my price to $5 ??????

I would say you were given VERY good advice!! I hope you will consider it carefully.

I am a new decorator here and have no plans to do this as a business, so I too, am not "in the business" However, I have been completely shocked at some of the low prices I see here. It has been so disheartening to see this as you all are very talented.

I keep thinking - every time I see a menu when I go out to eat for dinner, the dessert prices are not as low as some of the prices I see here.

I would think that taking your costs of doing business + your time + having a very good idea of what bakeries charge in your area would be a good starting point on getting clear with your pricing. (Personally, I don't think anyone should be undercutting bakeries.)

But if you offer something unique, the price can rise. If you create a really strong image for your business, and deliver an excellent product, the price can rise.

To illustrate this part about unique, I will share something that happened to me on my vacation to Maui, Hawaii at the end of September.

I created a beautiful bridal bouquet for the vow renewal ceremony I had with my husband. It was made with premium silk flowers because I wanted it as a keepsake. Much to my surprise, as I carried it with me to the airport, the rental car place, etc....... people were commenting on how much they loved it. I carried my real flower bouquet from a florist to Hawaii 5 years earlier and those compliments just did not happen. I was totally surprised.

It felt good to know that I created something that was such a hit. Little did I know that on the day of my ceremony, something wonderful was about to happen for me concerning the bouquet.

The reverend took one look at my bouquet and,

1. He thought it was real and,

2. He wanted to know where I got it so he could use that person as a florist for his brides.

When he found out that I made it, he said he wanted me to supply his brides with wedding flowers. He called my bouquet spectacular!!! And also said that he knows of only one woman in all of Hawaii who does that kind of work and she charges $750.00 for a bridal bouquet.

Am I going to pursue the opportunity???? YES!
Will I under charge that woman????? NO!
Was my bouquet unique????? YES! That's why the high cost and why the Reverend wants me to do the flowers. I used a flower in my bouquet that is not only beautiful, but also highly sought after in Hawaii - and most florists who use real flowers will not use it because it browns way too quickly.

I always like to illustrate things with an example and this one is the most recent one I could think of.

Please, please, please do not undercharge for your work. Your talent and abilities are worth so much more.

Roberta

I would not do a castle cake for less than $150. Carved/sculpted cakes should not be less than $5/serving, IMHO. Raise your prices, girlfriend!

Thank you Roberta1,& kelleym. I will increase my price for 3D cakes ,what about wedding cakes ? how should I charge for them ,I did only 2 that were samll so I charged my regular price .should I charge more per serving or just add price for flowers and decorations as extra ?

Well, with the wedding cakes, as with everything else, I imagine finding out what your local bakeries charge per slice could give you a starting point for consideration.

Take a look at www.carlocksbakery.com to see one of example of how pricing is done. I lived near this little bakery for over 20 years.

I bet bakeries local to you are on the internet and you could check that out too.

I'm so glad to hear you are looking at raising your prices. I bet once you make the leap, you are going to feel really good.

Roberta

Yes, you should charge more! Your castle cake looks spectacular!

I have settled on a pricing sheet and try to stick to it. I state that 3-d cakes start at $2.50 and that works for me. It lets me price each cake individually. Castle cakes are a LOT of work - I would always go on the higher end of the pricing scale for them!

I am not in the cake business but as a consumer I can tell you $50 is way too cheap for that gorgeous castle cake. I would expect to pay at least $100 for something like that.

Your customer gave you good advice and sounds like a wonderful person. Many people would pay the $50 and laugh about what a great bargain they got. She is looking out for your best interest and that is quite admirable, imo.

The next time that you do a cake, keep track of EVERY MINUTE you work on it that week, from shopping to prep to cleanup. Then divide the cost of the cake by the time that you spent, and see if you'd work for someone else for the amount of money you're paying yourself! Recently I keep getting the "Is that all?" reaction from my clients when I quote them a price, so I started keeping track of my hours, and it's a lot more than I thought, once you add in everything including paperwork, answering emails, etc. I work out of my home, so I can keep my prices lower than a lot of the commercial bakeries around here, but I agree with the poster above who said that she's disheartened by the low prices she sees people quoting on this board. We're worth more than that, ladies!!!! (and gentlemen!)

50.00 does seem cheap.
Most of my customers would not pay 150.00 for Birthday cakes though. I definitely wouldn't...but, that's because I always make them. But, 150.00 hmmm...in my area, people wouldn't do it. If you can get it in your area, go for it!
My cakes are 2.50 a serving but, I generally save the sculpted cakes for my beautiful children, and do only wedding/anniversary cakes for other people.

ps. Adorable castle cake!