When pricing a cake you always find out how much it costs you to make your cake, ingredients, overhead such as electricity, gas, cleanup supplies, cake boards, boxes insurance, etc. Then you figure out how much you want to make per hour. then you mark it up by 20-30 percent. I would suggest in getting cake boss to help you to price your cakes. I have simplified it alot but it will give you a start.
You price a cake the same way anything is priced in the market. You can make up a price, but that doesn't mean anyone will pay it.
You must know all of your competition... taste as well as price. Be VERY HONEST with yourself and find the price based on where you fit in the market. Now you price all of your expenses, fixed and variable. Subtract your expenses from your price and that is what you have for salary and profit. If it isn't enough, you must up your skills or lower your expenses. If that still does not work, it is not viable. You can price wherever you want. But in the long run, word gets around, and those with the best product for the price will have a larger piece of the pie while others wonder why their business isn't going anywhere.
I can't tell you how to price your cake, but I can help you figure out the cost.
You (and anyone else) are more than welcome to a copy of my Matrix by emailing me at
[email protected]
I think this is the 4ths post on this subject tonight.
along with the advice you already received, check out this other topic about pricing. TexasSugar also goes into great detail on how to price product.
http://cakecentral.com/cake-decorating-ftopict-694973-.html
Quote by @%username% on %date%
%body%