Question about Pricing
So, I don't charge for my cakes, as it is strictly a hobby at this point. However, I have long been confused about how one would price a cake. I understand that there is generally a price per serving. What I don't understand is what if the cake that is requested is much larger than the number of people to be served. For example:
Someone is a having a function with 60 people. But, the cake they would like you to make would feed 160 people, just based on the size. Do you charge for 160 servings? Or is there some calculation you can do for a package price? Do you include the level of detail required, such as fondant figures, flowers, etc. in the package price? Or do you have that as a separate charge?
Just curious.
Replies to This Discussion
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Permalink Reply by Linda Wolff on
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For me, I would absolutely charge for the 160 if that is the size you are making. Unless, of course, you can make the same cake in a smaller size to accommodate their guest list.
What I do, since every area of the country has different price ranges (U.S. East coast and West cost being much more pricey than say the Midwest), is I google up the best bakeries in my area, excluding grocery stores and box stores, and try to get at least ten prices from these bakeries for something similar to what I am making. That is if you have 10 bakeries in your area. (You can figure at least a 100 mile radius). Then, add all of the prices together, divide it by 10 and you have an average to go on. Don't forget delivery and set up fees to include in that as well. Others may have a different formula, but that is how I do it. It keeps me in the same price range as local, and I don't over price or under price. It works for me.
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Permalink Reply by Sherry Qualls on
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If they order 160 servings, they pay 160 servings. Flowers, gumpaste figures are extra
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Permalink Reply by June Kowalczyk on
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This is sound advice from Linda. She gave me the same advice. I did a wedding cake this past wknd, and based my price on quotes I got from 10 bakeries, shop/online cake decorators. Check out the article..."how to price cakes", on cakeboss.com. Not Cake boss on TLC, this site is for the business side of cake decorating. It should answer all your questions.
Hope this helps, it helped me.
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