Price Breakdown

Business By Ally87 Updated 28 Aug 2019 , 2:45am by SandraSmiley

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Ally87 Posted 26 Aug 2019 , 1:06am
post #1 of 12

SOOO, I gave a customer a price quote and now she wants the exact breakdown of my quoted price? What?! Never had this happen how should I go about this situation. I just need some advice because I want to be able to go about in a professional manor, don't want to say the "wrong" thing? Ack...

11 replies
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kakeladi Posted 26 Aug 2019 , 11:45am
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Bump

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ypierce82 Posted 26 Aug 2019 , 2:58pm
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Yikes. I'm not sure how I would go about this. I've never heard of anyone wanting a breakdown of everything. I feel like that would open them up to thinking something is negotiable lol I hope someone can give you a good anawer!

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ypierce82 Posted 26 Aug 2019 , 2:58pm
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*answer*

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Freckles0829 Posted 26 Aug 2019 , 4:33pm
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Yeah I am not sure how I would handle that either.  I mean do they want a break down of every single ingredient and how much electricity it will cost you for X number of hours, etc?  I think I would be tempted to ask the client what exactly they mean as to the breakdown of the quoted price just to get an idea of where their head is at.

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kakeladi Posted 26 Aug 2019 , 6:37pm
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I mean do they want to know how much vanilla (or other flavoring) was used and how much it costs??   How about the teaspoon or so of shortening & flour used to prep you baking pans?   Tell them how much it costs you a day for your insurance or electric or gas??     All that and much more goes into pricing.  I would tell them your price per serving and how big that serving is and be done with it.    Of course that means you have done your work and figured out the per serving price to include the above. 

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Ally87 Posted 26 Aug 2019 , 8:55pm
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Thanks for the responses everyone! 

Yes, she wanted to know everything ingredient for ingredient and dollar for dollar. I think it's absolutely ridiculous that someone could even have asked this question.

I'm just sitting here kind of laughing to myself about it . People don't stop and think, you are not ordering from a bakery, you are ordering from a home-based cake baker business. Do they even realize that you are only one person? That there's a lot more time and labor and effort that goes into making these things and depending on how long or how big the project is the more your cost will go up? One thing is for sure, there's a lot more love in our cakes! And I think personalization can go much further than with any Bakery out there.

Sorry, I just had to rant about that for a moment! Because I just never had such a ridiculous question.

I'm about to drop the even though I already purchased everything that I did not have for the order she wanted. She told me she didn't care what the price was and just to get back to her with it since I didn't have a price in the moment. Obviously that wasn't true since she questioned it right away. I didn't want to be rude so I told her simply that it would be a bit difficult to tell her ingredient for ingredient and dollar for dollar. In the end I told her that the cost was included but not limited to ingredients supplies labor and travel. I don't think she was satisfied. 

She has not gotten back to me after I told her that. I think the price that I gave her was more than fair! I mean there are probably many people who would have charged more than I was asking. ugh!!!! I cannot stand difficult customers!

The funny thing is that she purchases her cakes and cupcakes normally from Walmart, with dirt cheap prices. This is most likely why she questioned and rejected my price right away.

I think my hands are in the air and I'm waving my white flag. The ball is in her court now. I went down by a full $100 for her. Which I should not have done but I did. We'll see if she accepts that price but I don't think she's going to get back to me. That's fine she can go to Walmart!

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MerMadeBakedGoods Posted 26 Aug 2019 , 10:39pm
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Ally87...take the ball out of her court and stab it with a butcher knife.

Definitely don’t reduce your prices for her. And who knows who SHE knows?!?! She might tell everyone you’re a baker who haggles. You definitely don’t want that reputation.

I’m sorry you bought all your supplies :(

Hard pass on Izzy Itemizer.

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Ally87 Posted 27 Aug 2019 , 12:15am
post #9 of 12

Hahaha! Thanks Mer! That made me LOL. 

You are SO right, I've  been frustrated ALL day with this lady! Why should I lower my prices and basically undervalue my time and work because she wants to pay pennies for an extravagant order which ALSO she only gave 2 weeks notice for! I was only charging 2.50 per serving along with the usual! I dont think she could grasp the concept that TIME IS  MONEY!

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Freckles0829 Posted 27 Aug 2019 , 12:12pm
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I doubt even large, established bakeries would be able to give a customer a dollar for dollar, ingredient for ingredient price breakdown.  I mean, trying to figure that out for one cake would need to be an additional cost of its own!  I agree with Mer, take that ball completely out of her court.  Honestly if you did give her a price breakdown I could see her questioning the individual prices and why they are what they are which would be even more of a headache.

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kakeladi Posted 27 Aug 2019 , 2:32pm
post #11 of 12

Freckles you hit the nail on the head for sure!!  Well said   I can’t imagine anyone asking for that information   Do they ask the waiter for a brake down of their hamburger?  Or when buying a car want to know the cost of each component ?   

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SandraSmiley Posted 28 Aug 2019 , 2:45am
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You could tactfully explain that all expenses, including electricity, gas, insurance, etc., in addition to ingredients come into play and that it is not practical to try and break it down dollar per dollar.  It would also be a very lengthy process.  Sweetly decline and DO NOT REDUCE YOUR PRICE!

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