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So frustrated with pricing I think I want to quit!

post #1 of 58
10/6/11 at 6:46am
Thread Starter 
I've been decorating cakes for a year and a half now. I LOVE to cake, it's what I think about most of the day. BUT, man is it hard to stand there and tell people who are in some way shape or form known to me..."ok, this cake will be 100,200?" And you know really I'm giving them a deal as it is? And what do I get? Crickets or head lights? (look on their face). So I tell myself well if you make it dirty cheap at lest I'm getting experience? But my patience is wearing thin. And I've read not to sell myself short and charge what your worth but really how many of us are charging dirty cheap just so we can play with cake? But they will go to local grocery stores and buy their frozen cakes and bucket icing. Go ahead vent with me? icon_cry.gif
Dayyi
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Dayyi
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post #2 of 58
10/6/11 at 7:00am
Don't feel bad this happens to me also! I live in a small town of 3000 ppl and it's certainly not a rich town by no means. I don't know how many times I have sold myself short and they still sometimes scoff at the prices I charge. They normally go ahead and order it and then love it when they get the cake because I do put time and effort into it. But they have NO idea how much time and effort costs!! I've had lots of repeat customers so they were happy with what they got for the price they got it for apparently.
Right now me and another girl are about to start a cupcake/cake shop in town and I'm trying to figure all the costs but I'm also trying to just go by what others around are typically charging for a sheet cake/round/or layered cake. I am really pretty busy just off of my friends on my fb page and word of mouth. Right now I am doing cakes at home but it's taking over my life here. On a normal week I'm making 3-5 cakes now each week/weekend. I've had up to 11 in one week. icon_surprised.gif So the way I look at it is if they want a CUSTOM cake, not something off the shelf at IGA or Wally World then pay the price. Explain to them it WILL be worth it and of course follow thru! icon_biggrin.gif
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post #3 of 58
10/6/11 at 7:26am
Quote:
Originally Posted by Dayyi

But they will go to local grocery stores and buy their frozen cakes and bucket icing. Go ahead vent with me? icon_cry.gif



Then let them!

I'm past the I want to do every cake offered to me to practice. If I want to practice now, I'd rather do a cake just because, with the theme I want and to practice what I want, and give it away to people that will appreciate it.

If they don't want to pay for my time, then you know what, I'll take that time and use it for what ever I want to do. Because in the end that makes me more happy. I'd rather not do a cake, then do a cake that I'm pissy about because I'm barely making any money off it, because they want something cheap.
My Weight Loss Support Group is The Chunky Monkeys!
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My Weight Loss Support Group is The Chunky Monkeys!
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post #4 of 58
10/6/11 at 11:25pm
It sounds like you are trying to sell a premium product to the masses. If you choose not to market to those that can afford your product, then you will always have to live with this. I never ever get this because I market to the right group and I am up front with my pricing.

Website that are vague with the pricing will always get this type of shopper because you have not given them the proper knowledge to determine the prices before they contact you. Not only do you waste time and lose a sale, but that customer is irritated that their time was wasted by having to play the price game. You don't like it when you are put in that situation by a salesman or business and they don't either.

Seasoned cake businesses don't necessarily fall into this category with their sites because they know how to give pricing information up front before the details and their reputation preceeds the contact.
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post #5 of 58
10/7/11 at 9:01am
I understand completely!! I am not in the business to sell cakes quite yet, but have been more than happy to make birthday cakes and other occasion cakes for my family... My last cake was for my FIL's 60th birthday party. I made a Frankenstein head popping out of a graveyard. http://cakecentral.com/gallery/2167847
It took me about 12 hours to complete... My in laws were wowwed and it got a fantastic reaction from the party. One of the guests came up to me to explain that he could tell what a time intensive project it was, and that it tasted even better than it looked. Then, of course... the "if you were to charge for that cake...???" I said that it would probably be very pricey... His response, "i bet you could get $40 for that cake EASY!" Ummm...yeah, seriously?
With only one time around this lifetime...why not make it a sweet one!
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With only one time around this lifetime...why not make it a sweet one!
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post #6 of 58
10/7/11 at 9:45am
Quote:
Originally Posted by Dayyi

And you know really I'm giving them a deal as it is?

So these are family members or friends? Because if it's the general public, then I don't understand this comment.
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post #7 of 58
10/7/11 at 9:58am
I'm still laughing at the jamieq comment, $40, easy, lol. A pregnant woman approached me when she saw that i had several books by famous cakers. she leafed through the books and said, can you do this? Long story short, she said should would pay whatever, cake for a hundred, sculpted, tiara, etc. I'm thinking 600.00 for a simplistic design, she's thinking, $125.00. again she said whatever it is I'll pay, the second time she saw me, she wanted a sculpted baby cake, Well, I told her I don't do those. Actually, I find them kind of icky but can do them. I'd rather bake the cakes, take pictures to build my portfolio and make the majority dummy cakes. From now on, I'm carrying my price list that way i can whip it out and there's no room for these type of situations (Not true-they will tend to change your prices if you let them0 good Luck
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post #8 of 58
10/7/11 at 10:11am
Wow, I feel ya! I usually feel really good about my pricing and don't have any trouble telling people my prices, but I made the mistake of giving a girfriend a really deep discount when I first started in this area. Now of course she expects more detailed cakes for stupid cheap prices. She recently called me wanting to do a cake for her daughter's 3rd birthday. She prcedes to tell me what design she wants and her budget is $60. It was the straw that broke the camels back! I told her that I would give her a discount and it will cost you $150 and for anybody else it would be $200. She was a little taken back to say the least. I don't think she realized how much my cakes cost, which is my fault because I have never told her. I had just letting the recentment build up. So she agreed to the price....BUT then she wants to add this, that, some more of this...REALLY? I told her sure ...but it will cost you another $60. "Oh? really?" "Yes, really. Let me know if you still want it." She decided to go with the original design. I think now that I have stood my ground and started to to educate her she may be more reasonable and if not she will get her cakes somewhere else. Phew, thanks for te vent! I feel better now!
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post #9 of 58
10/7/11 at 10:24am
I've decided to stand firm on the price quoted. I don't haggle. If you don't want it, I have to move on because my time is valuable and my cake is delicious.
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post #10 of 58
10/7/11 at 10:33am
i might be wrong, but maybe it's human nature to expect something for nothing icon_confused.gif
well i made only few cakes for family and friends all of them as gifts. so i had coments 'you should start bussiness ,etc...' and 'you can easy get a £10 for it!that's money in your pocket' icon_eek.gif not really http://cakecentral.com/gallery/2116459
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post #11 of 58
10/7/11 at 10:40am
kathie-d I hear you on that one! I made the same mistake. Now I will not do any cake for my friend. It is just easier to not mix my cakes with my friend anymore. Given time, she will see just how much I was discounting for just her.

Dayyi - - pricing is hard for almost everyone. I still struggle. It is hard sometimes to quote a price (for me) because then I start thinking, gosh times are hard, maybe I am over charging. I have to tell ya, you have to stand firm, cause some people will try to take advantage if you don't. I agree with TexasSugar (but still struggle with myself). If you don't like my prices for whatever the reason, that is fine, I get it, you are more than welcome to go someplace else. I would much rather spend that time with my children, while they still want to spend time with me.
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post #12 of 58
10/7/11 at 10:56am
Quote:
Originally Posted by jamieq

Then, of course... the "if you were to charge for that cake...???" I said that it would probably be very pricey... His response, "i bet you could get $40 for that cake EASY!" Ummm...yeah, seriously?



LOL! And he probably thought his estimate was on the high side! I get this too, but mostly when it comes to my cookies. I have relatives that can't imagine ever paying more than a $1 for a decorated cookie, no matter how elaborate. So I make them for myslelf and find people to give them to who will appreciate them....or eat them myself!
The pessimist complains about the wind;
the optimist expects it to change;
the realist adjusts the sails.
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The pessimist complains about the wind;
the optimist expects it to change;
the realist adjusts the sails.
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post #13 of 58
10/7/11 at 11:03am
I know how you feel. I'm waiting on a reply right now for a cake. Design is an 8" tree stump with the initials carved out like a regular tree would. Also with leaves and wedding bands on it (all fondant). Told the lady $55 although I want to charge $75 just because I REALLY want to do this cake. She replies that she doesn't want to spend that much but will let me know by this morning. Well this morning has come and gone and never heard from her. If she doesn't want to pay for a beautiful and great tasting cake, that's her problem. I don't want to do cakes for people who are so cheap like that.

Don't give up, if you believe in your work then your customers will too, hopefully.
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post #14 of 58
10/7/11 at 11:26am
ROFL.... I've had my share of those stories as well. Knowing what the cost of materials, overhead and what my time is worth has helped me alot. I periodically do a check sheet to make sure I'm staying on top. You know the price of our materials keeps going up and all..

I come from a long line of business owners and we always have had one rule of thumb. Family ONLY GETS 10% DISCOUNT. Keeps it fair.

My daughter came to me last week with a request for 50 of my signature lollipops, but she only wanted to pay $1.00 for a $3.50 item. I told her only if she would go shopping with me to buy all the ingrediants, pay for them with her money and then pay me a salary. Told her, she doesn't work for free and why should I. She quickly ordered something else.
Virginia 323.253.8213
www.urbanainez.com
He is the man of my dreams, my prince; He gives me the desires of my heart, He completes me. His name is Jesus
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Virginia 323.253.8213
www.urbanainez.com
He is the man of my dreams, my prince; He gives me the desires of my heart, He completes me. His name is Jesus
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post #15 of 58
10/7/11 at 11:50am
I've been lucky to have only one customer in the year and a half that I've been doing cakes for people other than family to complain about the price. A lady wanted a cake simalar to the new ones at walmart but with a different design then what they had to offer. When I told her the price wich wasnt a hole lot more than the wal mart price she was shell shocked. She asked why so much? When I explained to her my cakes are made fresh along with the different types frosting (BC and MMF). that I do the decorating to her request and my cakes are not frozen or decorated and shiped in from who knows where ( Are wal marts do not deal with fondant). She had second thoughts and ordered the cake. Since then she has become my most regular customer and not once questioned a price. Just the opposit. She usally throws in a nice sized tip. I tell her she doesnt have to, but she says "you can buy more cake things for your cakes." So I have..lol So I hope you have better luck in the future with customers.....
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