Wednesday, October 14, 2009

Pricing...

So I got my first e-mail at cakeaddiction@gmail.com. It was a quote inquiry for 150 custom cookies. I'm struggling with how much to charge. I'm scared to overcharge. At the same time, I don't want to undercharge. I've been looking up other places and their prices are way above what I was thinking of charging. Yet I still think my price seems high. I'm conflicted. All the cakes so far, I have been paid whatever that person feels is a worthy amount. And most of the time is more than I would have charged.

Todays goal is to work on some kind of a set pricing list.

1 comment:

  1. Just came across this from @csoutherland RT.

    Feel free to take it or leave it, but here's some advice from someone who's been down this road a few times.

    Figure out how long it takes you to make them, including all the time spent getting the orders, etc. Basically your total time invested.

    Then decide what you're willing to work for a year. Add 10-20%. Divide.

    Go with that pricing til your running at about 80% capacity. Then start increasing the price slowly. A product here, a product there. Once you've found that sweet spot, stop increasing.

    Basically it does you no good to be out of work. It does you even less good to work your tail off for nothing. Trust me. I've done a lot of both of these. No matter how much you like baking it isn't worth it, and pretty soon you're broke and hate baking.

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