Customer Asking Me To Lower The Delivery Charge...
Business By LoveMeSomeCake615 Updated 2 Mar 2011 , 12:15pm by indydebi
I have an order I am about to finalize for 3 dozen custom cookies, which we are charging $3.00 a piece for. I sent the customer the order form with the delivery charge on it, which is $35.00. The venue is about 45 minutes away and will take 50 minutes one way. She is asking if we can lower the delivery charge because it seems high to her since it is "the same price as one dozen of the cookies (30%)." Is $35 an unreasonable amount for that distance? When we calculate delivery, we take into account the gas cost (at current prices) and also our time to and from the venue.
Sure I can lower the delivery charge...come and pick it up...then it's FREE!!!
Otherwise $35...if it's too high, please speak with your local gasoline representative and get them to lower the gas prices...
...have a nice day! 
Don't come down on your price. I charge $1.25/mile round trip now, so she's getting a deal. Tell her you cannot lower the delivery fee but she's welcome to pick them up. Bet she's suddenly fine with delivery! It's a steal! 
tell her she can order more cupcakes or cake so her "cake" price is higher than the delivery.
But no dont' lower delivery, it doesn't matter if you deliver 1 cupcake or a cake for 1000 you still have the same cost to drive there and back (gas, wear and tear on the car, PLUS your labor)
Hmmm, 45 miles one way or 90 miles round trip. Gas = ~$3.35/gallon. Your car get ~ 20 miles per gallon so you are using around 4.5 gallons or $15.00 of gas. Plus 1.5 hours + of your time. So $30 - $35 hour not unreasonable. I agree ask if she wants to come pick them up herself and I bet she changes her mind.
If direct costs for driving (gas, wear and tear, etc.) are about 30c/mile, and you have a 100 mile round trip, you are about $30 out of pocket for the trip. Since you are charging $35, and the trip will take about 2 hours, you are valuing your time at $2.50/hour.
And that's not even including compensation for the increased risk of personal injury or property damage from an accident.
Thanks everyone! This makes me feel better! I like the idea of telling her she can come pick them up, we'll see what she says!
As I explained to more than one bride about min pricing and overhead:
It costs the same amount of gas to get to your venue, regardless of whether I have cake for 50 or cake for 100 in the back of it.
It costs the same to rent a tablecloth, regardless of whether I have food for 50 or food for 100 sitting on top of it.
It still takes 6 cans of fuel to run 3 chafer pans, regardless of whether I have food for 50 or food for 100 in them.
It takes the same amount of electricity to run my oven, regardless of whether I have 1 cake or 12 cakes inside of it.
So I don't care if you're delivering 1 cookie or 1000 cookies .... the cost to get them there is the same. My gas station doesn't give a volume discount based on how much STUFF I had in the back of the van!
indydebi- Exactly what my husband said!
Maybe it's me, but I don't think making snarky remarks to customers is a good idea. You could offer to meet her halfway or a number of other things, but making her feel like an idiot for asking is a great way to prevent repeat business. It's not like you're the only person in the world who can make some cookies.
I'm sure none of us would actually use the snarky remarks to the customer's face. It's just us letting out some steam to those that understand. You should hear me talk to my co-workers! But I'm the sweetest little thing to all the customers!
Maybe it's me, but I don't think making snarky remarks to customers is a good idea. You could offer to meet her halfway or a number of other things, but making her feel like an idiot for asking is a great way to prevent repeat business. It's not like you're the only person in the world who can make some cookies.
I don't think my email could have possibly made her feel like an idiot. I said everything in a very professional and kind manner. I DID offer to meet her halfway, in addition to giving her the option of picking them up if she didn't want to pay delivery. I explained why the delivery fee is what it is (Because the venue is 45 miles away) in the nicest way possible. I realize I am not the only one who can provide her with the cookies she wants, but she contacted me for them, and we have certain policies in place, and very good reasons for them. If she doesn't agree with those policies, she is free to seek out someone else. If you had ANY idea how much I agonize over every little thing I say to a customer, trying to sound as pleasant and professional as possible, even when I am close to tears because they are telling me off about the way we do business. I have never ONCE been snarky to a customer in any way, shape, or form. I actually have a tendency to be apologetic about things when I shouldn't be. As the PP said, what is said on here that is "snarky" is only between my fellow cakers who know how it feels and to blow off steam.
Maybe it's me, but I don't think making snarky remarks to customers is a good idea. You could offer to meet her halfway or a number of other things, but making her feel like an idiot for asking is a great way to prevent repeat business.
What is it with some people - why on earth do some customers feel the need to Barter with cakers and bakers.
Sheez, a price is a price - i am guessing that this customer is going to CM2009 because she makes the cookies that the customer desires - so there in a nutshell - she pays for CM2009's time, plus everything else.
Pretty simple from where i am sitting.
It's not like you're the only person in the world who can make some cookies.
Now thats a snarky comment if ever i saw one
Bluehue
I agree with others you are not over charging for delivery. I don't know know the gas rates in your area...but here $35 is cheap for 45 miles away. I'm sure you already explained why the delivery charge is necessary ... But don't feel guilty for charging it. People as a whole are used to bargaining for things...car clothes home etc...it's in our nature. So don't be offended & she will probably pay with out incident once she get's your explanation. But like my momma used to say ... it never hurts to ask. 
You are doing the right thing.
ooh, ooh, I'll put my hand up and say that I've been snarky with clients before! Totally depends on the client. But if someone asks if I'm going to be doing a full-sized mockup of their wedding cake so that they can approve it beforehand, they're going to get a snarky reply.
I agree with others you are not over charging for delivery. I don't know know the gas rates in your area...but here $35 is cheap for 45 miles away. I'm sure you already explained why the delivery charge is necessary ... But don't feel guilty for charging it. People as a whole are used to bargaining for things...car clothes home etc...it's in our nature. So don't be offended & she will probably pay with out incident once she get's your explanation. But like my momma used to say ... it never hurts to ask.
You are doing the right thing.
Yeah, I kind of figured she was just asking to see if she could get a better deal, but that it wouldn't be a deal breaker for her, at least I hoped not! Gas is $3.15 a gallon here now, and seems to be going up everyday! So at least she's probably getting a better deal than she would be in April when her wedding is!
Agree with the majority on here that your delivery charge is more than fair and it is not being snarky to suggest politely that she collects them if she is not prepared to pay the charge.
The only snarky comment on here as far as I'm concerned is the nice person who said "It's not like your the only person in the world who can make some cookies"! RESPONSES LIKE THIS WE CAN DO WITHOUT THANK YOU!
The only time I actually got 'snarky' with one of my customers was when she asked me for the fourth or fifth time if I could squeeze another cake into a very busy week in March and I replied, "Which part of I am fully booked don't you understand"!!!!! Don't think I'll be seeing her again, eejit that I am! LOL!
Im with all these ladies. You price is more than reasonable to how far away the venue is. Im sure thay she is just trying to get a deal but who knows, maybe she will take you up on your offer to have her just come get them.
She'd really be getting a deal if you had our gas prices here in Ontario. I filled up yesterday at $1.13/litre with roughly converts to about $4.27/gallon. I think I did that right. Yikes. Maybe im glad we go by litres..over $4 sounds terrifying. lol
Good luck and let us know what she said.
I'm sure none of us would actually use the snarky remarks to the customer's face. It's just us letting out some steam to those that understand. You should hear me talk to my co-workers! But I'm the sweetest little thing to all the customers!
I agree... even on here i usually try to stay away from snarky comments, but guess what... catch me at the right time on a subject i'm tired of dealing with personally, you'll get a snarky remark. But i'd never say it to a customer, at least the way i type it on here But i'd still get the same message across.
The only snarky comment on here as far as I'm concerned is the nice person who said "It's not like your the only person in the world who can make some cookies"! RESPONSES LIKE THIS WE CAN DO WITHOUT THANK YOU!
I was thinking the same thing... 
She'd really be getting a deal if you had our gas prices here in Ontario. I filled up yesterday at $1.13/litre with roughly converts to about $4.27/gallon. I think I did that right. Yikes. Maybe im glad we go by litres..over $4 sounds terrifying. lol
Good luck and let us know what she said.
$4.27, yikes! We are probably headed that way too, the way it's going right now! 
As of now, it sounds like she is going to try to pick them up from us. We will see if that is her final decision though, we are still going back and forth (through email) and I am trying to answer all of her questions. I sent her the order form (Before she asked about lowering the delivery charge) to sign and return and told her we need the 50% deposit to secure her date, trying to get something nailed down! I hate when things get dragged out like this, and I still don't have a definite from them in the form of CASH, which is the only thing that seems to commit people to anything.
I use $5/gallon when I work out what to charge for deliveries (and in my budget for non-business expenses). IMO $5/gal gas in the US will be a reality within the next 5-10 years, and until that happens I have some extra margin built into our delivery prices (and some extra room in my budget).
Yeah, she said she would try to figure out when she could come get them. Haven't heard from her in a day or two now. We'll see...
We go with the standard government mileage rate, which is .51 a mile. If the customer complains...well that's the standard rate at the present time.
I like that! Makes it more official, so maybe they won't think of it as arbitrary and negotiable! (Which it's totally NOT arbitrary for us, we really do have a method to the madness, but it seems like with custom stuff people are more likely to try to haggle.)
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