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$99 wedding cakes

post #1 of 71
Thread Starter 
I saw this on the news the other night and was wondering what y'all would think of it.

http://www.wivb.com/dpp/news/99_dollar_wedding_cake_20090114

At first, I thought ... icon_eek.gif . Then, I thought, hey, what a nice hook for customers if you can swing it ...

Of course, I'm not in business. icon_rolleyes.gif So I'd really like to know what you think.
"I long to accomplish a great and noble task, but it is my chief duty to accomplish small tasks as if they were great and noble." -- Helen Keller
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"I long to accomplish a great and noble task, but it is my chief duty to accomplish small tasks as if they were great and noble." -- Helen Keller
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post #2 of 71
**As I just shake my head in wonder** - I don't know about the rest of the world, but I can't afford to give my cake away...maybe they won the lottery, and this is their idea of "paying it forward"...! icon_rolleyes.gif
What we learn with pleasure we never forget.
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What we learn with pleasure we never forget.
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post #3 of 71
I'm sure it is very small, buttercream with very basic decor (border a few buttercream roses). They are probably saying it will feed 100 if you do the 1"x1"x4" serving size thus it really will only feed 50 with a typical serving size. They are only offering 2 flavors no frills at all it seems. And they are limiting the timeline of purchase...actually not a bad idea to get a massive amount of orders...kind of like the McDonalds theory...shear volume to make a buck. And they are required to purchase the cake by March 1 and the event must take place in 2009. You know there are going to be those that want more done...upcharge!
post #4 of 71
I'm not in business but I think its a pretty darn smart marketing tool. You know that the decorations can only be buttercream and really simple. They probably make a ton of choc and vanilla cakes in 3 specific sizes and have them in the freezer.

You know once a bride comes in and says I want a $99 cake she is going to add bows and frills and flowers and fluff to that basic boring cake! Turning the $99 cake into $250+ cake. I would be very suprised if they didn't end up upselling 90% of those cakes. Plus, they are getting a lot of exposure without having to pay for advertising.... smart, smart, smart!!
post #5 of 71
I actually calculated this out the profit margin would only be about $27.50 each cake, but if you booked 1000 of these cakes for the 2009 year that is $27500 in profit for 2009...500 half that $13750 and even if you booked a mere 250 for the year $6875!

And yes you know they are going to be ready for all the upcharges if a bride decides she wants just a little bit more done to her cake.
post #6 of 71
post #7 of 71
DANG! Are they CRAZY...LOL! I was thinking just basic border a few BC roses in color of choice a ribbon at base but what they are showing...I don't see how they can do it for that price...that just cut the profit to next to nothing if not nothing! Some of those designs in labor costs alone would be over $50! add the ingredient cost.. and you aren't making anything at all! Not sure why they are doing this except hoping to get brides to upcharge but if you have that many designs offered I don't see why a bride would need to add anything...now I'm with Marmalade1687, shaking my head.
post #8 of 71
Yep - now that I see the cakes that they are offering - changed my mind! CRAZY CRAZY CRAZY!!!!!!!!!!!!!!!! If they were doing it with the basic buttercream, couple roses, ribbon border - color choice etc...i can see it - but this - NUTS!
post #9 of 71
Gutsy move. I'd love to hear what happens and if the risk pays off in 6 months.
post #10 of 71
Wow, the brides in their area are very lucky.
Despite difficult economic times, I'm determined to be rich!
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Despite difficult economic times, I'm determined to be rich!
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post #11 of 71
wow... I set up a couple of 'discount' cakes... but I would not do all that for $99....
Alison
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Alison
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post #12 of 71
What if it brings in a whole new clientele though -- kind of like a "Black Friday" for cakes? This is pretty great publicity...Maybe it will work.
post #13 of 71
Wow. There was one in basketweave....I can't believe that is not an upcharge!
post #14 of 71
I dunno about the $99 cakes, but the pink lemonade cupcake sounds yummy!!!
post #15 of 71
If they were in my town I'd pay 'em a visit with a baseball bat.

That is so not cool...... severely undercutting everyone else like that.

Man.
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