Welcome to the Cake Decorators Q&A

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asked September 10th 2019

Lack of buiness

Hello everyone,
I've not long opened my cake business. I am getting enquiries about cakes but through Facebook message, but when I give them the price I don't hear back from anyone. I have worked out the price of the cake for me to make. Then put £8.00 per hour for decorating the cake. I keep asking myself if I'm too expensive. Yet a lady just up the road charges £5.00 for each cupcake, mine are £2.50 each. Here are some quotes I have giving;_
For a 3D elephant cake (mollys creature creative moulds) I charge £80.00
Two tires princess castle caste 8" & 6" I charge £110.00
8" castle cake I charge £60.00
6" castle cake I charge £49.00
One lady asked my to do a woody (toy story), i explained i can't do Disney cakes due to copyright. I told her i would love to make her a cake and said i could come up with ideas. I never heard back from her.

One of my boys told me to put the prices on Facebook as this will give people an idea of my prices. Yet my other son told me not to put my prices on Facebook and try and aim for better customers. I am on Facebook and Instagram my business name is "Traceys Cake House" I'm not sure what I'm doing wrong and I would appreciate some advice and thank you in advice

Tracey xx

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Hi Tracey,

It does look like you are too cheap to make enough money to pay yourself a decent wage.

I would always advocate putting prices on your cakes. If you get lots of enquiries from people, but when you give them the price then you don't hear back, then they probably were never your customer anyway. Yet, because they don't come back you are left thinking that it's your price that's putting off.

Somewhere between 5%-7% will pay the going rate for a hand crafted designer cake. However, all too often businesses try and market to 100% of the population. You should look to aim at the quality end of the market, but that needs backed up with a solid brand and marketing plan.

Charge your higher prices with confidence and be proud of your reputation that you are expensive. Believe it or not to the 5%-7% that's the appeal.

Provide a great product, great service, strong brand and ensure that you are active and effectively marketing.

I'm going through some google ads training at the moment. Things change so much and I was falling behind. I now need to ensure that I put self development into my weekly time plan. Choose some key marketing techniques online and offline and start to target your market.

Hope this helps. We have a Pro members live Q&A session on the 19th of September, hope you can join us then 🙂

Kind regards
David xx

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Thank you for that David yes you have been a great help. I was only charging £8.00 per hour hoping to get some work. I will have up my wage per hour. I'm lucky in the fact I'm working from home, so my overheads are at the min, but I need a pot as you mentioned in one of your tutorials for replacing equipment when they stop working.

My son has told me I need to aim at the higher end of the market. Also I'm not established yet, so more reasons for me to promote my business on and off line.

What time is your Q&A on the 19th September?

Tracey xx

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Hi Tracey

The live Q & A is at 7pm on the Pro members Facebook page.
https://www.facebook.com/events/2476540182569591/?ti=icl

🙂