Cake Pics With Prices

Decorating By cupcakefrost Updated 2 May 2016 , 4:23pm by kakeladi

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smittyditty Posted 18 Jul 2013 , 8:25pm
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Then you obviously have nothing to worry about...lol I'm in the country way in the country past fort worth.

I'm glad to know I looked professional..Haha..maybe I should have just worn jeans and a t-shirt with my hair down in the cake

Yes I take my business seriously.

1. I am not going to bother my local baker every time I have a cake that is 3d and run their phone lines up asking ?s about my cakes and leading them

on to think they are getting an order. Her pricing is online. She doesn't do 3D cakes. I went off her price of fondant compared to the matrix. She was SO low. So just because she didn't have any 3D cakes pictured doesn't mean her talent is limited to what I see online. Maybe she does and she just doesn't post pics because its not her favorite thing to do. She has other things priced but she obviously loves doing wedding cakes. So in that respect maybe I should have no fear and just price accordingly.

2. I got it free at the hardware store. I wasn't saying I wouldn't charge I'm just saying on this cake yes it was to my advantage and profit. Obviously the next cake it won't unless I refund the cost of the board. I have read in some posts of  decorators who do just that.

3. it was literally 4 screws I did my self.

4. I wasn't saying I wouldn't charge for it. I just wasn't going to throw $20 rental charge after the fact of the original quote because I knew the customer and knew I'd get it back. This is like her 4th cake. On a learning curve each time I have charged twice as much as before and I'm learning.

5. Now see this comment could be worded SO much more tackfully. However, yes if my math was perfect and I had already done this cake before I would know ahead of time that cooking the domes in my pyrex bowls didn't get the exact width I required. I however didn't know any of this until actually doing a cake in those bowls to see what it came out like.

6. Again correct. However, this was my first cake for my business being official. While I didn't charge the 20 and still get my item back. I got a great looking cake with a professional picture that I knew would be eye catching not only for my website but also for advertising purposes. Will I charge a little more next time yes I will. However the amount of business this cake versus a standard tiered cake got me will be way more than the $20 or so dollars extra I should have charged.

7. The cake stand is endless possibilities as I plan to do tattoo cakes as well.

8. That part I don't think so I didn't see anywhere on it to put that part. However it only cost me $2 with a coupon.

 

Yes they are torted--big lumps..

At $370 that is .20 lower than RBI I'm sure I'm not anywhere near his ballpark..lol

I emailed her and told her what I was going to do and how much it was so no time to calculate there. She picked up the cake. I had one trip to the hardware store where I already needed to go. Next time I can charge for that.

 

9. I made $14.25 an hour that subtracts fondant, icing, supplies, and doesn't calculate the fact that I got some of them back ie box, board, pipe.

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DeliciousDesserts Posted 18 Jul 2013 , 8:27pm
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Quote:
Originally Posted by smittyditty 

 

Hey Delicious- What do you do if you are already way over the cost of the local baker? I'm not suppose to undercut but at the previous prices she had posted I couldn't make any money matching her price. I then over charged from her price, but still want to get any business I can. How can I be still not charging enough when in my area i'm over charging. I could see not caring and charge what I like but i JUST started literally 2 weeks ago. Which is why I settled for a bit less than the matrix yet way over the local baker $$. However the matrix priced it at $4.25 a slice. Thinking either I used the matrix wrong or need a new Matrix..lol

 

I am in Charleston.  Starting prices range from $3.75-8.00 per serving in my town.  There are a few $1.50-2.50.  I honestly don't count those.  They are illegal and cake wreck worthy.

 

Just north of Charleston, the prices range $2.00-3.00.  That's all the market will bare in that area.

 

There are so many factors to consider when establishing your pricing.  Yes, you have to at least charge enough to cover costs including labor.  You still have to price yourself for your market.  Many people forget that element.  

 

I once met Brownen Weber.  When she revealed her starting price, I fell out of my seat.  I was shocked!!  This national celebrity charged less than the bakery for whom I worked.  That was her market.  

 

The whole point of this thread was to help educate those who don't do the homework, and to get a glimpse of just how different pricing can be in different areas.

 

To EVERYONE:  Do your homework!!!!!  Charge what you can.  Understand there are many differences.

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morganchampagne Posted 18 Jul 2013 , 8:28pm
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A

Original message sent by smittyditty

Then you obviously have nothing to worry about...lol I'm in the country way in the country past fort worth. I'm glad to know I looked professional..Haha..maybe I should have just worn jeans and a t-shirt with my hair down in the cake Yes I take my business seriously. 1. I am not going to bother my local baker every time I have a cake that is 3d and run their phone lines up asking ?s about my cakes and leading them on to think they are getting an order. Her pricing is online. She doesn't do 3D cakes. I went off her price of fondant compared to the matrix. She was SO low. So just because she didn't have any 3D cakes pictured doesn't mean her talent is limited to what I see online. Maybe she does and she just doesn't post pics because its not her favorite thing to do. She has other things priced but she obviously loves doing wedding cakes. So in that respect maybe I should have no fear and just price accordingly. 2. I got it free at the hardware store. I wasn't saying I wouldn't charge I'm just saying on this cake yes it was to my advantage and profit. Obviously the next cake it won't unless I refund the cost of the board. I have read in some posts of  decorators who do just that. 3. it was literally 4 screws I did my self. 4. I wasn't saying I wouldn't charge for it. I just wasn't going to throw $20 rental charge after the fact of the original quote because I knew the customer and knew I'd get it back. This is like her 4th cake. On a learning curve each time I have charged twice as much as before and I'm learning. 5. Now see this comment could be worded SO much more tackfully. However, yes if my math was perfect and I had already done this cake before I would know ahead of time that cooking the domes in my pyrex bowls didn't get the exact width I required. I however didn't know any of this until actually doing a cake in those bowls to see what it came out like. 6. Again correct. However, this was my first cake for my business being official. While I didn't charge the 20 and still get my item back. I got a great looking cake with a professional picture that I knew would be eye catching not only for my website but also for advertising purposes. Will I charge a little more next time yes I will. However the amount of business this cake versus a standard tiered cake got me will be way more than the $20 or so dollars extra I should have charged. 7. The cake stand is endless possibilities as I plan to do tattoo cakes as well. 8. That part I don't think so I didn't see anywhere on it to put that part. However it only cost me $2 with a coupon.

Yes they are torted--big lumps.. At $370 that is .20 lower than RBI I'm sure I'm not anywhere near his ballpark..lol I emailed her and told her what I was going to do and how much it was so no time to calculate there. She picked up the cake. I had one trip to the hardware store where I already needed to go. Next time I can charge for that.

9. I made $14.25 an hour that subtracts fondant, icing, supplies, and doesn't calculate the fact that I got some of them back ie box, board, pipe.

For what it's worth I have close family in that area and your prices seem on point with what they've inquired about. If they can even get 3D cakes

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DeliciousDesserts Posted 18 Jul 2013 , 8:34pm
post #394 of 699

I don't mean to step into anything.  Since I am priced not far from Smitty, I felt I might need to defend my pricing.

Quote:
Originally Posted by howsweet 

 

2) You can't not consider the cost of the wood because you got it for free.  Even when I have something on hand or get something free, I charge what it would have cost me to purchase.  It was mine.  Now I am using it and will no longer have it.  What would it cost me to replace it and be made whole?

3) If you had someone do the carpentry part of the cake, then you have to take into account what that would cost you, if say your brother or husband hadn't done it for free.  or of course the time it took you. You see this as a rental item so I suppose you'd cost it out like that.  Excellent point.  I always charge as if I had to purchase or make the item.  There is always a cost even it it's the wear on my relationship.

4) You don't not charge for rental because you know you can get it back. Car rental places know they're going to get the car back, don't they?

5) It was 30 servings. There's no reason to not charge for the other 5 just because you're not going to use calculus to determine the exact size and shape of the cake for the number of servings requested and then create the perfect pan. There is not an infinite number of pan size choices and that's not your fault. I believe she stated she did charge for the extra servings.  I certainly allowed for them in my price.

6) Regardless, when pricing a 3d cake number of servings is only part of the quote.  Nope.  I still came to the $175 and I consider myself a bit on the pricey side.

 

8) Did your pricing matrix take into account the dummy part of the piece?  I did.  I charged $50 for the structure & foam.

 

 

I don't know if you torted the top or if those are big lumps of cake, but I might quote it at $370 or thereabout for torted.  I don't mean this snarky:  Please share the breakdown of this price.  I'm honestly interested

 

Anyway, if we subtract your costs from $120 and divide by 6, what did you make per hour?  What if you were a business with all kinds of overhead most people never even think about and you're paying an employee to make this cake? I am a business with all kinds of overhead.

 

9)Does your 6 hours include time spent picking up supplies and talking to the customer?  Yes.  

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smittyditty Posted 18 Jul 2013 , 8:35pm
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yes I'm 45minutes outside of the city

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Annabakescakes Posted 18 Jul 2013 , 8:42pm
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A

Original message sent by DeliciousDesserts

I'm about $175 for SmittyDitty's cake

Same here, about $160

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thelittlecakery Posted 18 Jul 2013 , 9:43pm
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A

Original message sent by BatterUpCake

I think the $225 would be right. It doesn't matter what is eaten IMO. More work goes into the items that are not eaten....will you make me one for $150? lol

I think my post was misunderstood. I meant the foam was not eaten, not the cake. If the whole castle was made of cake then I'd charge quite a bit more.

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BatterUpCake Posted 18 Jul 2013 , 10:00pm
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Little Cakery, The one you were commenting on appeared to be the teapot, since that is the quote that was included in your post. I understood you were not talking about the cake portion but the real work is in decorating....so whether it is the castle or the teapot,  I would charge about the same for cake as I would styrofoam. For an 8" round it costs me $3 to bake...if buy the foam dummy it is about $6 and takes just as long to decorate. That's all I was saying...

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BatterUpCake Posted 18 Jul 2013 , 10:05pm
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"Originally Posted by smittyditty View Post

 

 

Hey Delicious- What do you do if you are already way over the cost of the local baker? I'm not suppose to undercut but at the previous prices she had posted I couldn't make any money matching her price. I then over charged from her price, but still want to get any business I can. How can I be still not charging enough when in my area i'm over charging. I could see not caring and charge what I like but i JUST started literally 2 weeks ago. Which is why I settled for a bit less than the matrix yet way over the local baker $$. However the matrix priced it at $4.25 a slice. Thinking either I used the matrix wrong or need a new Matrix..lol"

 

People say don't undercut...No one says you have to charge their low prices if your work is worth more. If people are willing to pay what you charge and keep returning, you are not overcharging. They are obviously satisfied with the value of product they are getting for their dollars. Any  product is worth what people are willing to pay for it.

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smittyditty Posted 18 Jul 2013 , 10:32pm
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Agreed BatterUp  I have one repeat customer because all the rest have been family or moved out of state? I just got my FB account up yesterday lol.

To those who emailed me and wanted instructions on the cake you can go to Scrumdiddlycakes blog to see what she was SO kind to share with me.

The whole point of Cake Central to help in a friendly way.

Here is her blog tutorial

http://sweeteatscakes.blogspot.com/2010/12/topsy-turvy-stand-tutorial.html

 

You like my cake check hers out and its ALL cake!

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BatterUpCake Posted 19 Jul 2013 , 12:11am
post #401 of 699
Quote:
Originally Posted by smittyditty 

Agreed BatterUp  I have one repeat customer because all the rest have been family or moved out of state? I just got my FB account up yesterday lol.

To those who emailed me and wanted instructions on the cake you can go to Scrumdiddlycakes blog to see what she was SO kind to share with me.

The whole point of Cake Central to help in a friendly way.

Here is her blog tutorial

http://sweeteatscakes.blogspot.com/2010/12/topsy-turvy-stand-tutorial.html

 

You like my cake check hers out and its ALL cake!

Wow....some nice work here!

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thelittlecakery Posted 19 Jul 2013 , 11:54am
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A

Original message sent by BatterUpCake

Little Cakery, The one you were commenting on appeared to be the teapot, since that is the quote that was included in your post. I understood you were not talking about the cake portion but the real work is in decorating....so whether it is the castle or the teapot,  I would charge about the same for cake as I would styrofoam. For an 8" round it costs me $3 to bake...if buy the foam dummy it is about $6 and takes just as long to decorate. That's all I was saying...

Oh, ok. I didn't think of it that way, I'm new and just starting out, still doing cakes for friends and family and I have had some clients sent my way from these people. I do appreciate you clarifing that for me. Thank you.

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BatterUpCake Posted 19 Jul 2013 , 11:58am
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No problem...good luck and welcome to CC. I actually just started doing this in April but have learned so much here and come such a long way. Still tons to learn. Best of luck!

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howsweet Posted 20 Jul 2013 , 6:32pm
post #404 of 699

I'm glad I don't have to compete with such low prices. Well actually I do-  I quoted out three 3d cakes for a customer last week and she emailed me back and said, if I could do the three, 3d cakes for $250 she'd use me, but otherwise she was going with the lower price. I don't blame the customer. I have a feeling some of you would change your minds about pricing if you didn't have spouse bringing in an income. It's a whole different thing when you support yourself making cakes. Caking is headed towards a situation where people won't be able to make a living from it.

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thelittlecakery Posted 21 Jul 2013 , 12:09pm
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A

Original message sent by howsweet

Caking is headed towards a situation where people won't be able to make a living from it.

I have to disagree with that statement. I understand where you are comming from with it, but I am a "self-subsidized" hobby baker. I am working on getting my business license so I can sell cakes and make a little extra money. Regardless, here is why I disagree with stent, you are a baker, that is u do fulltime to make a living. While I am almost done with my psychology degree and I work full time as well. You are able to take on a more difficult cake, more cakes per week, and your business sells itself. You are more likely to have repeat customers, work with venues and such. You have the time to do things I cannot, which is why I don't think caking will

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thelittlecakery Posted 21 Jul 2013 , 12:34pm
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A

Original message sent by howsweet

Caking is headed towards a situation where people won't be able to make a living from it.

I have to disagree with that statement. I understand where you are comming from with it, but I am a "self-subsidized" hobby baker. I am working on getting my business license so I can sell cakes and make a little extra money. Regardless, here is why I disagree with stent, you are a baker, that is u do fulltime to make a living. While I am almost done with my psychology degree and I work full time as well. You are able to take on a more difficult cake, more cakes per week, and your business sells itself. You are more likely to have repeat customers, work with venues and such. You have the time to do things I cannot, which is why I don't think caking will become a business that you cannot make a living doing. For instance, we live in the same small town with one storefront bakery (you), wal-mart, and me (hobby-baker). A potential client comes to me thru word of mouth and asks for an extravagant cake, one I know I have the ability to make but I don't know if I have the time. So I say to the client, while I would love to do this for you, I'm not sure I can get it done in x amount of time and I want you to have the best cake possible so, here is howsweet's business card, she does amazing work and is a fulltime baker. I send client on their way and call you to give you a heads up. That is exactly how I plan to run my business. I would also hope that if you were slammed and had an order come in that you couldn't do, you would send them to me. Also, I'd have an agreement with you that I would not under-cut you, and I'd hope to have a relationship with my local bakeries that I could call and ask what price was quoted so that I did not unknowingly charge less. I think if bakers, full-time, part-time, hobby, could work together instead of against each other, the caking business would still be able to provide a living.

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DeliciousDesserts Posted 21 Jul 2013 , 12:59pm
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A

Original message sent by thelittlecakery

you are a baker, that is u do fulltime to make a living. While I am almost done with my psychology degree and I work full time as well. You are able to take on a more difficult cake, more cakes per week, and your business sells itself. You are more likely to have repeat customers, work with venues and such. You have the time to do things I cannot, which is why I don't think caking will become a business that you cannot make a living doing. [B]In our particular industry, volume doesn't equate to more profit. We are still limited in how many we can produce. Making pennies on 2 additional cakes won't equate a successful living.[/B]

A potential client comes to me thru word of mouth and asks for an extravagant cake, one I know I have the ability to make but I don't know if I have the time. So I say to the client, while I would love to do this for you, I'm not sure I can get it done in x amount of time and I want you to have the best cake possible so, here is howsweet's business card, she does amazing work and is a fulltime baker.

That client will still want your pricing!

Yes, we should all work together. The difficulty is that some don't do the math or research to see what the real cost & therefore profit is.

I don't mean to imply that you are undercharging. I don't know. I do know there are enough of them out there to muddle the market for those trying to have a successful business.

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kikiandkyle Posted 21 Jul 2013 , 1:03pm
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AThe problem is so many bakers out there don't realize they're not making a living, the notion that more cakes equals more money is wrong but so many people are in this mind frame of getting as many orders as possible, at any price. It's no good getting 20 cake orders for the week if you only made $5 from each order. If you could get 4 and make $50 from each you already earned more, and you didn't wear yourself out doing it.

Smitty I love your ice cream cake, I think the issue with your price is that you are justifying it based on the number of servings rather than the cost of the supplies and the time spent. Most people don't price their 3D cakes in line with other fondant cakes because there is more time, more skill and more cost involved. You can't go by what your other local bakers would have charged for a fondant cake if their price wasn't for a similar 3D cake.

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BatterUpCake Posted 21 Jul 2013 , 1:33pm
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AI want to know where I apply for one of these husband subsidy programs? I will be working from my savings and tiny tiny military retirement check!

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MimiFix Posted 21 Jul 2013 , 1:41pm
post #410 of 699
Quote:
Originally Posted by thelittlecakery 

Oh, ok. I didn't think of it that way, I'm new and just starting out, still doing cakes for friends and family ...

 

Quote:
Originally Posted by thelittlecakery 

... I am a "self-subsidized" hobby baker. I am working on getting my business license so I can sell cakes and make a little extra money... I am almost done with my psychology degree and I work full time as well. ...So I say to the client, while I would love to do this for you, I'm not sure I can get it done in x amount of time and I want you to have the best cake possible so, here is howsweet's business card, she does amazing work and is a fulltime baker. I send client on their way and call you to give you a heads up...That is exactly how I plan to run my business...I think if bakers, full-time, part-time, hobby, could work together instead of against each other, the caking business would still be able to provide a living.

 

You have a few very sweet but naive scenarios. You're new to the cake business, your personal financial reality is far different for many others, and your business vision is not what many here have seen. I'd love to hear your viewpoint after you've been around for several years.  

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thelittlecakery Posted 21 Jul 2013 , 3:10pm
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A

Original message sent by MimiFix

[SIZE=14px]You have a few very sweet but naive scenarios. You're new to the cake business, your personal financial reality is far different for many others, and your business vision is not what many here have seen. I'd love to hear your viewpoint after you've been around for several years.  [/SIZE]

I don't believe that I am naive, I do know that I am new to the business and have a lot to learn, but I'm not stupid. I've done my research on pricing for example, the only bakery in my town charges $3.50 per slice buttercream only, $4.00 per slice for buttercream wit fondant accents and $4.50 for full fondant. Their specialty and wedding cakes start at $75 minimum. I will price mine the same or very close to that, so when I send a client there for a cake, they don't leave because Im much cheaper, thats not right. I refuse to undercut just to make a buck.

Im sure that there's other hobby bakers in my area who charge $1.50 per slice, but that's not fair.

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thelittlecakery Posted 21 Jul 2013 , 3:39pm
post #412 of 699

ADeliciousDesserts, I understand that quantity does not help your profit, I was just using that as one more example as to why I have such admiration toward full-time bakers. I personally do not intend to "muddy the waters," as I plan to only do 1-2 cakes per month, aside from family and friends (which I already do). I really feel like hobby bakers are not welcome, which makes me wonder if I should even go through every thing to get licensed or if I should just keep baking for family and close friends.

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ttaunt Posted 21 Jul 2013 , 4:54pm
post #413 of 699

beautiful,definately a $250 cake

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Annabakescakes Posted 21 Jul 2013 , 6:25pm
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A

Original message sent by BatterUpCake

I want to know where I apply for one of these husband subsidy programs? I will be working from my savings and tiny tiny military retirement check!

. I met mine here www.plentyoffish.com ;-) he was the first guy who emailed me, about 30 seconds after I got my profile up! I still went out with about 5-6 other guys, but once we met, we were inseparable. Married 5 years now!

But I still don't have the luxury for undercharging. A regular client of mine is always looking for a deal, but wanted a 9" cake with a cow girl them for less than $120 for today. Instead, I cooked dinner last night, and watched 2 whole movies with my husband. I would've had to sat out in the bakery by myself, if I would've taken the order, so less $$ isn't worth it!

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smittyditty Posted 21 Jul 2013 , 9:04pm
post #415 of 699
Quote:
Originally Posted by kikiandkyle 

The problem is so many bakers out there don't realize they're not making a living, the notion that more cakes equals more money is wrong but so many people are in this mind frame of getting as many orders as possible, at any price. It's no good getting 20 cake orders for the week if you only made $5 from each order. If you could get 4 and make $50 from each you already earned more, and you didn't wear yourself out doing it.

Smitty I love your ice cream cake, I think the issue with your price is that you are justifying it based on the number of servings rather than the cost of the supplies and the time spent. Most people don't price their 3D cakes in line with other fondant cakes because there is more time, more skill and more cost involved. You can't go by what your other local bakers would have charged for a fondant cake if their price wasn't for a similar 3D cake.

If I sounded like I was justifying that is not what I meant to come across.

 I'm all good with asking why I priced something the way I did. There was however a lot of assumptions from that poster as they had mentioned. I think I also mentioned that my matrix could have been wrong and next time I will price accordingly. It was the tone more than anything at which I was addressed. 

By no means, do I think my pricing is perfect, hence the reason I'm on here.

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BatterUpCake Posted 22 Jul 2013 , 12:36am
post #416 of 699
Quote:
Originally Posted by Annabakescakes 


. I met mine here www.plentyoffish.com icon_wink.gif he was the first guy who emailed me, about 30 seconds after I got my profile up! I still went out with about 5-6 other guys, but once we met, we were inseparable. Married 5 years now!

But I still don't have the luxury for undercharging. A regular client of mine is always looking for a deal, but wanted a 9" cake with a cow girl them for less than $120 for today. Instead, I cooked dinner last night, and watched 2 whole movies with my husband. I would've had to sat out in the bakery by myself, if I would've taken the order, so less $$ isn't worth it!

LMAO...really POF??? Everyone I met on there was looking for umm...free cupcakes...It's good to see it worked out for you though

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howsweet Posted 23 Jul 2013 , 3:43am
post #417 of 699
Quote:
Originally Posted by thelittlecakery 


I have to disagree with that statement. I understand where you are comming from with it, but I am a "self-subsidized" hobby baker. I am working on getting my business license so I can sell cakes and make a little extra money. Regardless, here is why I disagree with stent, you are a baker, that is u do fulltime to make a living. While I am almost done with my psychology degree and I work full time as well. You are able to take on a more difficult cake, more cakes per week, and your business sells itself. You are more likely to have repeat customers, work with venues and such. You have the time to do things I cannot, which is why I don't think caking will become a business that you cannot make a living doing. For instance, we live in the same small town with one storefront bakery (you), wal-mart, and me (hobby-baker). A potential client comes to me thru word of mouth and asks for an extravagant cake, one I know I have the ability to make but I don't know if I have the time. So I say to the client, while I would love to do this for you, I'm not sure I can get it done in x amount of time and I want you to have the best cake possible so, here is howsweet's business card, she does amazing work and is a fulltime baker. I send client on their way and call you to give you a heads up.
That is exactly how I plan to run my business. I would also hope that if you were slammed and had an order come in that you couldn't do, you would send them to me. Also, I'd have an agreement with you that I would not under-cut you, and I'd hope to have a relationship with my local bakeries that I could call and ask what price was quoted so that I did not unknowingly charge less.
I think if bakers, full-time, part-time, hobby, could work together instead of against each other, the caking business would still be able to provide a living.


Are you saying you completely support yourself and are putting yourself through college? And you're going to sell cake, too? I wish I had that kind of drive!

 

I think part of what you said was a good point - that you're not available to make cakes all the time. But the problem is there's a current trend of cake start ups all over the place. Right now, it's super easy to find cheap cake ladies, so while you may not be available, someone else is.  A person on another thread objected to my saying every tom, dick and harry is starting in the home cake business. However it's worded, it's true. Now, I don't mind competing with anyone on a level playing field, but what is frustrating and in fact impossible to compete with, is people who undervalue their cakes. What we had on this thread was very nice, earnest, articulate and intelligent person diligently use cake central to help price her cake and ( I'm sorry Smitty) yet still get it wrong.  And most people don't put that much effort into it. People selling these cakes don't realize they are luxury items. They aren't selling cakes for as much as they could if they had a little more business acumen...so what is happening? Cake prices are going down.

 

A quick way to understand the true value of cake is to have to put food on the table with it, and I'm in that position.  Yet every one and her brother will STILL tell me I'm wrong about pricing. I may have to go back to school and get a psychology degree and compete with you if this keeps up.

 

Yes, that sounds so nice..referring business when I'm booked. I thought so, too. Then I figured out a few things.  The ladies I was referring cakes to I were never, ever going to send anything back and I was building up their businesses from the benefit of my highly visible website. Not only that, but I didn't need them to send anything back.   It's not smart for one business to help create a healthy competitor.   In fact, I think I'd say that referring my overflow was foolish.

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jason_kraft Posted 23 Jul 2013 , 5:48am
post #418 of 699

AWhen you have an increase in supply that outpaces demand for any product or service, prices will drop. This is perfectly normal, and it's how things are supposed to work in a capitalist economy.

Assuming a rational market, once prices start dropping business owners will start to close up shop and pursue other opportunities as they realize that they aren't making enough money to stay in business. This brings down supply and pushes prices back up.

The big problem here is when business owners do not realize how much money they are or are not making (possibly due to lowered barriers to entry), and they price based on what downmarket customers can afford without taking into account costs, profitability. or targeting. Since supply does not level off in this case, prices continue to drop well below the point where businesses can afford to pay minimum wage, let alone have a positive profit margin.

This would not be such a big deal if everyone agreed to switch to a socialism, but if you want to successfully participate in capitalist economy you can't ignore the basic tenets of economics.

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thelittlecakery Posted 23 Jul 2013 , 6:11am
post #419 of 699
Quote:
Originally Posted by howsweet 


Are you saying you completely support yourself and are putting yourself through college? And you're going to sell cake, too? I wish I had that kind of drive!

 

 

 

Yes, I am and thank you. I understand that many people are opening cake businesses and that only charge $20 for a $100 cake and that causes a big problem for those who are full-time bakers, who depend on selling cakes to feed their family. What I do not understand is why so many experienced/established bakers are constantly putting down someone like smittyditty or myself who are here to learn, I feel like I we take hits left and right and are unwelcome by some here because we are new. I realize there are many people who are not here with a ligament business, but I also do not think that everyone who is new should be treated that way.

 

I have learned a lot from reading threads in this forum.  While I have done research myself, it is nice to get others' input, but I do not want to be treated like I am stupid because I did not think about the fact that I would need to charge for the Styrofoam castle because I decorated that too (duh). That is why I am here to learn, as I believe smittyditty is as well. Just because we are new, does not mean we are here to undercut your prices and steal your clients.

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BatterUpCake Posted 23 Jul 2013 , 10:25am
post #420 of 699
Quote:
Originally Posted by thelittlecakery 

 

Yes, I am and thank you. I understand that many people are opening cake businesses and that only charge $20 for a $100 cake and that causes a big problem for those who are full-time bakers, who depend on selling cakes to feed their family. What I do not understand is why so many experienced/established bakers are constantly putting down someone like smittyditty or myself who are here to learn, I feel like I we take hits left and right and are unwelcome by some here because we are new. I realize there are many people who are not here with a ligament business, but I also do not think that everyone who is new should be treated that way. "When I seen this I laughed...not at you because I misspell all of the time. I just imagined cakes looking like ligaments..lol. But I do believe that everyone should be running a legitimate business in the food industry. I am not a picky-picky eater, overseas I eat "monkeymeat on a stick" in an open air market. But I would not bring that home to serve to my guests. Those laws protect the consumer. And all a baker needs is for 50 kids to get Montezuma's Revenge from an egg gone bad. Not only does it come to light that the baker is running an illegal business, but they are not protected my insurance or an LLC/Corp. From the posts I read it doesn't seem like you are undercharging...albeit I did not read them all.

 

I have learned a lot from reading threads in this forum.  While I have done research myself, it is nice to get others' input, but I do not want to be treated like I am stupid because I did not think about the fact that I would need to charge for the Styrofoam castle because I decorated that too (duh). That is why I am here to learn, as I believe smittyditty is as well. Just because we are new, does not mean we are here to undercut your prices and steal your clients. I'm new here. Even the regulars learn new things. You didn't think about the styrofoam. Now you know. Take the advice that you can use and ignore that which is not constructive. And keep coming back and learning more. If you are working full time, going to school and doing cakes why waste your minimal spare time bickering with folks on the internet? Never let-anyone mess with your serenity....especially people who have never met you. I am guilty at times too...just not worth it

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