Customer Asking Me To Lower The Delivery Charge...

Business By LoveMeSomeCake615 Updated 2 Mar 2011 , 12:15pm by indydebi

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Evoir Posted 22 Feb 2011 , 4:17am
post #31 of 39

I do not think that is unreasonable. I do not as a rule offer delivery for non-wedding orders, but if someone desperately wants it delivered then they pay the same amount.

I wanted to do an informal poll here - do any of you reading along INCLUDE the charge of delivery in your cakes?

I never have, because I think its unfair for someone living by the lake (nearby) paying the same as someone living in the valley (far away). So I go with google's distance calculator use driving routes and work out a per kilometer charge. BUT quite a few decorators in my area include delivery in their prices, which hides it somewhat. "Oh I offer free delivery!" Not really! I prefer being up front and have my quotes itemised.

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classiccake Posted 27 Feb 2011 , 2:22am
post #32 of 39

I am with Leah! I would never deliver cookies...not worth the time it would take me away from the shop. We normally don't even deliver tiered birthday cakes unless it is for an event planner that sends us all their business.

I do make exceptions for three tiered party cakes if we are not bogged down with wedding cake deliveries. But they pay the same as wedding cake deliveries.

I had surgery recently and was out of the store for several weeks. I just heard throught the grapevine (the photographer) that a recent customer complained all evening that we would not deliver a birthday cake downtown, which is a good 1/2 hour one way. I asked if it was a large cake....no, a small 2 tiered cake. The lady complained alot I guess. The photographer said it was probably the first time this lady had ever been told "no!" (It was a "well known" family.) Oh well!

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LoveMeSomeCake615 Posted 27 Feb 2011 , 3:32am
post #33 of 39

Yeah, we will probably eventually get to the place where we don't deliver unless it's a larger order or a wedding. Right now we don't have a storefront location, so sometimes it is actually easier for us to deliver it rather than try to figure out a place for them to come get it.

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LKing12 Posted 27 Feb 2011 , 3:58am
post #34 of 39

$.51 per mile is for the car expences-that does not cover your time!

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Eisskween Posted 27 Feb 2011 , 4:23am
post #35 of 39

$.51, you are actually undercharging if you are figuring gas and time. You need to figure in insurance, wear and tear on the vehicle, maintenance, etc. All these costs are passed on to the customer.

Now with the price of gas going up, as of yesterday, tell her that you now charge $.75 per mile, but your keeping hers at $.51, so she IS getting a bargain.

Sometimes people make me wretch.

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jason_kraft Posted 27 Feb 2011 , 4:51pm
post #36 of 39

I'm surprised any vendor would flat-out refuse to deliver smaller cakes...there are many customers who would gladly pay extra to avoid having to pick up the cake. We've delivered many birthday cakes in the $50-$100 range with delivery fees ranging from $30-50 (based on $1/minute travel time round trip).

For $60/hour I would make deliveries all day long.

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LoveMeSomeCake615 Posted 27 Feb 2011 , 7:41pm
post #37 of 39
Quote:
Originally Posted by jason_kraft

I'm surprised any vendor would flat-out refuse to deliver smaller cakes...there are many customers who would gladly pay extra to avoid having to pick up the cake. We've delivered many birthday cakes in the $50-$100 range with delivery fees ranging from $30-50 (based on $1/minute travel time round trip).

For $60/hour I would make deliveries all day long.




That's pretty much the way we look at it too. Other than the logistics of not having a set place for them to pick things up anyway, it's an issue of as long as I am being compensated for my time and costs, why not deliver? I think people love having that option, and many will gladly pay because it's so convenient for them. Especially if they are in the middle of setting up for a birthday party or something, and it would be a major hassle and time taken out to come get it.

Incidentally, the customer I originally wrote about has decided to go ahead and pay delivery! I think she figured it was worth it to her after all to not have to figure out how to come get them in the midst of everything she has going on that week.

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howsweet Posted 2 Mar 2011 , 3:50am
post #38 of 39

On a side note, in my opinion, meeting a customer halfway is just asking for trouble. It puts you in a position of waiting for them if they are late. I think lots of people make sure to be late so they aren't the ones put in the position of waiting.

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indydebi Posted 2 Mar 2011 , 12:15pm
post #39 of 39
Quote:
Originally Posted by Eisskween

$.51, you are actually undercharging if you are figuring gas and time. You need to figure in insurance, wear and tear on the vehicle, maintenance, etc. All these costs are passed on to the customer.

Now with the price of gas going up, as of yesterday, tell her that you now charge $.75 per mile, but your keeping hers at $.51, so she IS getting a bargain.

Sometimes people make me wretch.


Absolutely! Never ever EVER charge ONLY what the gov't reimbursement allowance is. A gov't reimbursement allowance is NOT a limit on what you can charge for delivery and so many people confuse that! 51 cents MIGHT cover your gas but does it cover the cost of your employee (also known as YOU) for the 3 hours you/they are in the delivery vehicle? Does it cover your comm'l auto insurance that is usually around 3 times what personal insurance costs? As already mentioned, wear and tear, depreciation (yeah ... wait till you're ready to trade in that car and you get a sucky trade in allowance because of too many (delivery) miles on it!), etc.

Govt rate of 51 cents is NOT an etched in stone delivery "maximum". I didn't let the gov't set my prices ..... *I* set my prices based on what MY expenses were .... not what the gov't decided they were going to "help me out" with. thumbs_up.gif

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