Pricing: Add It Up!

I realize I seem to do a lot of articles on pricing and pricing issues, but in the (wedding) cake business, its a point of frustration for baker and client alike. I recently heard a story from a fellow baker that is a wonderful lesson and I'm happy that she agreed to let me share it here.

As I've written before, it is not uncommon for a baker to charge for a consultation or tasting. (http://cateritsimple.blogspot.com/search/label/consultation ) The baker incurs some expense in supplying various cakes, fillings and icings for the consulation, plus the "lost opportunity costs". Some bakers charge this fee, some don't. Some apply it to the order if the cake is ordered, some don't. It is one of the items I encourage brides to ask about as they make appointments.

In another article, I shared how my brides have told me that my higher-than-the-competition per-serving price can end up being cheaper than the "cheaper" place. (http://cateritsimple.blogspot.com/2009/10/lowest-price-isnt-always-cheapest.html )

As a bride does her comparison shopping (which I strongly encourage), she needs to take careful note of the various fees/charges that may apply and add them up.

Here's the story I want to share:

A client canceled a consultation appointment when she found out there was a $10 charge for the consultation, giving a reason that the competing bakery did free consultations. This competing baker's pricing was also higher per-serving than the first baker.

Let's do some theoretical math to see how this works out and to illustrate what a bride should look for.

Client is looking for a cake to serve 50 people.

Baker A charges $3/serving plus a $10 Consultation Fee.
50 servings x $3/serving = $150 + $10 consultation fee = $160 total cost.

Baker B charges $3.50/serving and consultations are free.
50 servings x $3.50/serving = $175 total cost.

It is costing the client fifteen dollars more to get the "free" consultation.

It is a given that the bride/client needs to also consider the taste of the cake, the quality of design and execution of the work, and not just the price per serving or not just whether a consult is free or not.

Baker A tells me that she charges the $10 consult fee because many of her clients know what they want and order their wedding cake via email or phone. She does not want to just add in the cost of the consults into the base price because she does not want to charge extra to those who do not need the private consulation appointment. It is how she keeps her expenses covered and her pricing fair to all of her clients.

When planning a wedding, people seem to forget how to "Do The Math" (see this blog article where I discuss that: http://cateritsimple.blogspot.com/search/label/Do%20The%20Math ) and this article is to show why it is important to always, always, always ask questions and keep track of the details.

They add up and can sneak up on you!

Ask the Question: How Much is the Tasting/Sampling Appointment?

I found it interesting to discover that having a tasting appointment with your caterer or wedding cake maker is not common in all areas of the country. I live in Indianapolis, the 14th largest city in the country, and it’s almost a given that a bride will have a sampling appointment. Yet in my hometown, just an hour away, when I called various businesses to find out their sampling policy, I was met with multiple responses of “our WHAT policy? You want to taste our food for FREE?”

So I guess the first thing you should find out is does your caterer/caker even DO samplings?

If they do, you need to ask their policy. Is it free? Is there a charge? If there is a charge, does it apply to the order if you book with them? If it’s free, how many people can you bring? Are the extra people free or is there a charge for them?

By the way, a sampling is not a free food party, so lose the idea of bringing your entire wedding party to the bakery to for a taste-testing dessert party. I know one bride who got the door slammed in her face when she showed up at the baker’s with 10 people in tow. It doesn’t take a baseball team to decide if you like white or carrot cake.

I’ve seen catering websites that advertise a free consultation … but if you want to taste the food, there is a $75 fee. Evidently there is a difference between “consultation” and “sampling” appointments. Be sure to clarify when you make the call.

It is not uncommon for a business to charge for a sampling. Unfortunately, this has resulted because of what we mention above ….. wedding couples who decide to have an after dinner dessert party at the baker’s expense, or worse …. those who pretend to be getting married just so they can make the rounds and get free food and cake. (yeah … we know you’re out there, and we know how to spot you. You’re not fooling anyone.) So to weed out the tire kickers, a fee is being charged.

Bottom line: Some folks charge and some don’t (Cater It Simple does not charge for samplings). Some apply it to the booked order, some don’t. Some will permit only the bride and groom to attend the sampling, some will permit one or two other persons for a fee.

A sampling is a real and sometimes costly service that the food vendor provides for their potential clients. Respect the investment they are making for you. Ask good questions when calling and making appointments so you understand what’s involved and what’s expected on both sides.