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Pricing my cupcakes - new comer :) ..i need support please!!

post #1 of 7
Thread Starter 

Hi guys! So i'm a 20 yr old student who graduated from culinary school, and ended up going to college again to get a teaching degree. Apart from attending school I've always wanted to try and start my cake business, at least to get me through my weekends. I really enjoy decorating cakes, but a one off cake for a family birthday isn't enough for me! I really want to get my name out there and do what i've always wanted to do!!

To tell you the truth i'm quite jealous of this particuar girl my age. She started off her cake business last yr and my oh my she's doing amazing jobs!! She even has her own business cards, banners and participates in various occasions and sets up stalls!!!  Why can't I succeed like her??!  I've recently created a facebook page but that didn't seem to work as no orders have come in, and the only people that like the page are family related or old friends! :/  

...Now since halloween is coming up i came up with the idea of making cupcakes and selling them to my local supermarket, but i don't know what to do!! What should i ask the manager? What prices should i quote if he says yes? Do i need some kind of permission to sell foods in a store??  I know that i need to calculate my costs first, and for example my chocolate fudge cupcake, piped with a swirl of chocolate ganache, decorated with handmade fondant figures and tiny bits and pieces, and neatly packaged in a cupcake box, added up to a cost of 90 euro cents. How much should i tell the manager that they cost? would i make any profit? 

Sorry for the long text and constant whining but i really want to try this is out, but every time i think about i start giving up. my parents don't really support me on this one, especially my mother who thinks that everything i do i way too expensive! she says that if she was a customer she would never buy anything from me :'/  ..anyways thanks in advance for the help! :) 

 

 

P.S  sorry for using euros but im from Malta and that's the currency we use :)

post #2 of 7

First write a business plan. Or listen to your mother :wink: 

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post #3 of 7
I don't know if too many people here know what the laws are like when it comes to baking in the home and selling, you're really going to need to research that yourself.

The biggest mistake a lot of newcomers make when it comes to pricing is that they forget that they're not their own customer. Most of us can't afford custom cakes, but the Ferrari sales guy can't afford a Ferrari - that doesn't mean he lowers the price. You're selling a custom cake to people with a custom cake budget.
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elsewhere.
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post #4 of 7

Sorry.... but why would a business (supermarket) allow you to sell your product on their property? Doesn't the supermarket have it's own bakery and cupcakes to sell? :?

 

I am just asking... not trying to be mean.

post #5 of 7
Quote:
Originally Posted by johnson6ofus View Post

Sorry.... but why would a business (supermarket) allow you to sell your product on their property? Doesn't the supermarket have it's own bakery and cupcakes to sell? icon_confused.gif

It sounds like OP is talking about a wholesale arrangement, where she sells cupcakes to the supermarket, and the supermarket resells them to consumers at a markup.

OP, aside from looking into the food safety laws in your area regarding selling retail and wholesale, you need to do some research to determine the market value of your products at retail. Combine this information with your costs and the supermarket's markup and you will have a good idea of whether or not the numbers will work in your favor. Do not approach the supermarket (either the store manager or the bakery manager) without having all this information (and a business plan) ready.

You also need to put together a marketing strategy if you want to pursue retail business, just putting up a Facebook page won't help you much.
post #6 of 7

Reread it... yes, my mistake....

post #7 of 7
Quote:
Originally Posted by johnson6ofus View Post

Sorry.... but why would a business (supermarket) allow you to sell your product on their property? Doesn't the supermarket have it's own bakery and cupcakes to sell? icon_confused.gif

I am just asking... not trying to be mean.

I wss going to post the same as Johnson6ofus, every supermarket I've ever been in that has a bakery always has their owwn cupcakes available for purchase.
With that being said, a while ago when I worked in an office there was a woman that came by every morning selling an array of homemade breakfast items such as sausage with cheese on buttermiok biscuits, etc . Maybe that is something you could explore that may bring in money in the meantime.

I think you should definitely take Jason's great advice , and do some serious homewwork

Sorry I am not. much help. Don't get discouraged though. I am sure you will get some greate advise from the CC pro's
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