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Selling cupcakes question

post #1 of 8
3/21/12 at 6:26pm
Thread Starter 
I am a Cottage Foods home bakery and have the opportunity to sell cupcakes at a farmers market. With the CFL, they have to be packaged to sell. Which after packaging and gas, etc, costs me $1.77 per cupcake to produce. Which means I think I would need to sell them for $3.50 to be worth my while. I just polled my Facebook friends and 98% of them say that's too much. They want more like $1.50-$2.50. That sounds super cheap to me... Is there a trick this that I don't know about.
Wilton graduate and proud cake business owner under FL Cottage Food Law. More cake photos here: www.FROSTEDChicCakes.com
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Wilton graduate and proud cake business owner under FL Cottage Food Law. More cake photos here: www.FROSTEDChicCakes.com
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post #2 of 8
3/21/12 at 6:59pm
Do your FB friends go to your local farmer's market? If not then their opinion doesn't hold much weight.

In my experience it's tough to sell items like cupcakes at FMs. They are usually in the morning so impulse breakfast items like muffins, breads, and fruit tarts tend to sell better.

How are you coming up with the $1.77 figure? If that's just ingredients and packaging that's pretty high for a cupcake.
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post #3 of 8
3/22/12 at 12:24pm
Thread Starter 
I think what's driving the price up for me is the individual packaging and gas to the market.
Wilton graduate and proud cake business owner under FL Cottage Food Law. More cake photos here: www.FROSTEDChicCakes.com
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Wilton graduate and proud cake business owner under FL Cottage Food Law. More cake photos here: www.FROSTEDChicCakes.com
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post #4 of 8
3/22/12 at 12:27pm
If you break out what you are spending on your ingredients and supplies we may be able to direct you toward alternative suppliers.

Packaging is definitely a big portion of the cost when selling cupcakes individually, that's another advantage of muffins/breads since you can just use a plain white bag with your logo stuck on.
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Recent Articles: The Magic Pricing Formula • Copyright Law
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The Bakery Business Perspective
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post #5 of 8
3/22/12 at 1:15pm
At FM I have seen CC sold in the short clear plastic cups with it in a treat bag. Could be a way to go.
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post #6 of 8
3/22/12 at 1:30pm
Thread Starter 
Quote:
Originally Posted by jpellette80

At FM I have seen CC sold in the short clear plastic cups with it in a treat bag. Could be a way to go.



That's a different idea, will look into it. Thanks.
Wilton graduate and proud cake business owner under FL Cottage Food Law. More cake photos here: www.FROSTEDChicCakes.com
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Wilton graduate and proud cake business owner under FL Cottage Food Law. More cake photos here: www.FROSTEDChicCakes.com
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post #7 of 8
3/22/12 at 2:14pm
Quote:
Originally Posted by bluedaisies

I am a Cottage Foods home bakery and have the opportunity to sell cupcakes at a farmers market. With the CFL, they have to be packaged to sell. Which after packaging and gas, etc, costs me $1.77 per cupcake to produce. Which means I think I would need to sell them for $3.50 to be worth my while. I just polled my Facebook friends and 98% of them say that's too much. They want more like $1.50-$2.50. That sounds super cheap to me... Is there a trick this that I don't know about.



I agree with the previous post that the cost seems awfully high. Is that ONLY cost of ingredients/supplies/gasoline for mileage?
Are you including a reasonable wage ($8-$10 per hour) for your time? The cost of the fee for the Farmer's Market?

Let me begin by saying I do NOT sell my goods, hobby baker only. However, if I were a customer at a FM, I would probably be more likely to purchase a package of 4-6 cupcakes, then a single cupcake. You can purchase plastic, lidded cupcake containers for 60-90 cents each, depending on your quantities.

You have to spend time online searching out packaging. Unfortunately, the more "individual" the packaging, the higher the cost. I've been to several farmers market in my area (San Diego County), and honestly, I don't see how anyone who sells specialty baked goods can make a profit. I really hope they do, but I don't see how.....

Here's an example of where to buy plastic containers. Scroll down to find the standard and deep lid cupcake containers. Yes, they appear cheap, but you must have a minimum order of $25, and shipping starts at $15.
http://plasticcontainercity.com/Cupcake-Containers-Muffins.htm
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post #8 of 8
3/22/12 at 2:16pm
double post (must be the system....it was really slow and I didn't push submit twice)
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