Educating customers about your cake prices

The No. 1 Way to Get More Orders For Your Cake Business

Just the other day I got a tearful phone call from a baker lamenting that she has not had an order for months and is thinking of giving up. She said she only got one order after many months, but after this order she has nothing. She was frustrated and fed up.

She said she has tried everything but nothing seems to work.

I could sense the sorrow In her voice and I knew how she was feeling. We spent the next half hour coming up with a strategy on how she could market herself more. From our conversation, we found out that was neglecting a prime and sizable customer base.

So I came up with a strategy for her to tap to this market that she never knew she had. After the conversation, she had a plan in place and is so much hopeful for the future.

I know having a cake business can be challenging. To get more cake orders you may have tried Facebook or Instagram, Selling to family and friends, and all the other ways you can increase your cake sales. 

But let me tell you something, being on social sites is good for your business but will not translate to sales if you have not yet built a brand .If people do not know, like and tryst you, you can spend all your marketing budget on Facebook and Instagram ads but you will see you will hardly get orders

Those things are good to add authenticity and set you up as a legitimate business but may not add to customers.

So do you want to know the No. 1 BEST strategy to increase your cake orders?

Not only does this strategy works but it’s totally free.

So what is this wonderful strategy, you may ask?

Well it’s NETWORKING. 

You can’t expect to just sit at home and expect orders to come. You cannot grow your business like that.

The Importance of Networking

Selling your cakes is the only way you are going to make money.

Networking is a great strategy to increase your orders and grow your business. People knowing about your business happen through people. The more people who know who you are, the more orders you will get.

Yes, I admit, networking is scary. But you have to try and overcome this fear about telling people about your cakes.

Let me tell you why and how Networking will Increase your Cake Orders.

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  1. THE WORD OF MOUTH STRATEGY

Think about this, before we buy something from a business, most probably a friend or someone would have told you about that business. Like if you like going out to eat, before you try a new restaurant, someone would have recommended that place.

That is just how we humans are. We need proof, we need recommendations. That is why most companies have testimonials, reviews, and reports of what other people have said about them.

When you have a number of people telling others about your cake business, for you, for free – sharing to their customers how awesome you are, you are guaranteed more orders surely.

So why don’t you start getting feedback from your customers. After a sale, ask them how they liked the cakes and screen shot their response on your social media sites.

Encourage your customers to recommend your business by giving them outstanding customer service in addition to your tasty cakes. You can even go further by telling them that if they recommend you to someone and that person makes an order they will get a free box of cupcakes or a discount on their next order.

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  1. EXPAND YOUR NETWORK 

When you are building your network of people or contacts, don’t just talk to people in your locality or your circle, expand your network to event planners like party and wedding planners.

Talk to them to include your business in their books. Tell them that you will give them a percentage for any booking you get through them. 

This way, they will be talking about and recommending you. Again the more people who talk about you, the more people know about you, the more orders you will get.

  1. YOUR CAKE BUSINESS BECOMES A TRUSTED brand 

When your cake business has a great reputation, people will see that and will talk moreabout your business

The more people who trust you, the more people will like and recommend you, so in essence, you will get more orders.

So building your reputation is a must which comes from expanding your network.

As you continually to do this, you will reap the benefits in the long run. 

However, don’t expect this to work overnight. Building your cake business is a long and steady process. 

So this is a guaranteed way to get more orders. Talk to people, planners, and business contacts, give out your business cards, and make yourself known through social media. And you will soon be reaping the benefits of having a money making cake business. 

Now tell me, how do you network in your cake business? Will love to hear from you. Just Comment below and let me know what strategies work for you! 

Enroll in my training The Wealthy Baker System. An Online Course that teaches you how to be a master in the art of selling, pricing, marketing, branding and structuring your cake business.

I will show you how you can increase your cake orders and charge the prices you want. 

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REGISTER FOR THE WEALTHY BAKER SYSTEM ONLINE COURSE

The Wealthy Baker System is an 8 week program that will teach you how to sell, market brand, structure, plan and price your cake business even if you don’t know where to start from or you have been in business for a while and, and you are worried that you do not have any business knowledge.

In this Course it will show how to create a profitable cake business month after month, how to market your business, attract better paying clients, and also have the confidence to charge the prices you want and much more.

To learn more about his course just click here

or join The Waiting List here below:


Introducing Young Bakers Academy- Nigeria’s Premium Baking School for Children

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Baking Business School is proud to present The Young Bakers Academy, Nigeria’s premium Baking School for children.

Young Bakers Academy is a unique and premier children’s baking school. 

Our mission is to teach children the joy and value of baking. We provide an interactive learning experience that gives your children the opportunity to develop skills in the art of baking, cake decorating, sugar craft and pastries.

We are offering Baking classes in Christmas and Cookie decorating in locations around Lagos.

To book a slot just call/ whatsapp the cakelady at 0803 319 3375 or email at cakelady@bakingbusinessschool.com.ng

For more information about The Young Bakers Academy and to see our Calendar of events for December 2017, please head to our website at https://bakingbusinessschool.com.ng/baking-classes-for-kids/

See more details in the flyers below:

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About Me:

Hello, my name is Rotimicakelady and I am a cake business coach that teaches cake business owners how to grow and have a profitable cake business so that they have a constant stream of customers buying their delicious treats.

I have been running my own successful home based cake business for some years now. I have also been teaching bakers through my online courses who are struggling with low sales, with strategies on how to market, and price their cakes for profit.

In addition I am also run a Facebook Group where I coach, offer support and help bakers in their businesses.

I have helped over 50 bakers through my online course A comprehensive guide to starting your cake business in 30 days’ with much needed information on how to start a cake business in Nigeria. I also teach close to 4000 cake enthusiasts through my Facebook Group how to run a money making cake business.

I have been featured in ‘Naija Top Baker’ magazine, one of Nigeria’s foremost cake magazines and also been a Guest Speaker at the Bakery World Convention.

If you are struggling with getting customers for their cakes, I can help you solve this problem by showing you how to market, sell, price, plan, structure and brand your business so you are constantly selling to the right people who want your cakes

Do You Have A Business Or An Expensive Hobby?

This is something many home based cake business owners struggle with, and I will admit have struggled with this in the past.

Treating your business like an expensive hobby instead of a business. You might be doing this right now but you might not know it.

So, in this blogpost I am going to help you recognise whether you are actually running a business or in fact just have a very expensive hobby.

If anything I say below rings true, then you may just be running a hobby rather than a fully-fledged business, then please go and register for my Pricing your cakes right to build a money making cake business Masterclass where you will be taken through the process to make sure you move away from hobby cake business owner and move into the role of a successful cake businesswoman.

  1. You have not even registered your company

One of the first steps in setting up your business is to register it at the Corporate Affairs Commission.  Structuring your business properly from the start sets the right tone for not only yourself but for your potential customers as well.

You will appear more trustworthy and professional if you have a duly registered company. How can you expect your potential customers seriously if you too don’t take yourself seriously?

  1. You do not know how to price your cakes

I know pricing can be a real struggle for cake business owners. Most times we do not know how much we should charge for our cakes and in the end we allow ourselves to be under-priced.

People value what they pay for. If a person values what you are doing, then you should charge appropriately otherwise they will value you less and you will be known as the cheap cake lady.

You are in business to make money, so you need to charge right for your time, skill and effort you put in in crating that masterpiece of a cake.

If pricing is a struggle for you then register for my Pricing your cakes right to build a money making cake business Masterclass and all your pricing woes will be out to bed.

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  1. You don’t know how much money you make from my business.

If you don’t know how much money you are making then you also don’t know if, or when your business is making a profit or loss.

This is a clear sign your business is an expensive hobby.

The foundation of any business is in good record keeping and keeping track of your expenses. You need to have bookkeeping and accounting systems in place. This will help you monitor the finances of your business.

If you cannot tell how much you made and how much you spent in previous months, then it means you’re treating it like an expensive hobby.

So, if this is you then please, please watch my Training on Bookkeeping Systems you should have in your cake business here and here and put an end to it now with my simple actionable tactics.

  1. You know nothing about marketing

Customers do not fall from the sky. You have to go out there to get them and the only way you can get customers is by marketing. 

Marketing your business is a must. There are various marketing strategies you can employ such as social media marketing, having a blog, sending out email or sms newsletters. You need to be doing some sort of marketing on a consistent basis every day, if not; your business will find it hard to survive.

If you are unsure about marketing, then register for Pricing your cakes right to build a money making cake business Masterclass which has an  entire Module dedicated to Marketing.

Stop waiting for people to find you and go out and go get them

  1. You do not keep track of your time

Do you how long it takes you to bake and decorate a cake from start to finish? How long does it take for you to give a quote for a cake, answering emails, shopping for ingredients and so on? You need to keep track of your time. Because you need to be paid for your time. You need to earn a wage for the time you use for an order.

If you feel you are worth N500 an hour, then if you spend 5 hours shopping, baking and decorating a cake, that means you will have earned N2,500. So that amount should be added to the price of your cake.

If you don’t know where you are spending your time then you have no idea what you are actually getting paid.

 

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6.    Your family and friends don’t take your business seriously

The energy that we give off about something reflects on those around us. If you are finding that your friends treat your business like a hobby, then it’s likely you are also speaking about it in that way as well.

What kind of language do you use when you speak about your cake business? How do you stand and how do you feel? All of these signals are emitted and interpreted by those around us.
If you are upset by a friend or maybe even family members  not taking your business seriously or they keep asking you for a free or a cheap cake, then this is a sign that you probably aren’t taking your business seriously.

  1. You do not have a website because you are still deciding what logo to use

If the reason you have not launched your website is because you are still deciding on what colours, or logo or theme to use, then you really are missing the point of being in business.

Yes it’s good to get those things right, but don’t spend time and a lot of money deciding on such trivial matters. You mind should be on how to get your business out there so that people will know you and you can start making money, how to add value and how to be different from the other cake businesses out there.

So that’s it.

I have struggled with all of these in the past, and many home based cake business owners do to. And this is something that I help my clients to deal with all of the time through my coaching programs and courses.

So, if any of these are true for you don’t worry. You are not alone.

The most important step is to become aware of and identify the issue, and if you have done this by reading to the end of this article, that is a huge step, well done.

The next step is to come over and register for my Pricing your cake right to build a money making cake business masterclass and I will give you some really actionable strategies that you can implement straight away to build a more profitable and lucrative cake business.

 

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JOIN THE MASTERCLASS HERE


 

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About Me:

Rotimicakelady is your personal cake fairy. She is a cake business consultant and Coach. She runs the Cake Business Owners Club where she helps bakers through Online courses have super profitable and successful cake businesses.

She has a passion for helping women who have a passion for baking, transition from hobby cake makers to successful and profitable cake business owners. She also help cake business owners who have struggling in their cake business with strategies to enable them get more customers, so you make more money. Rotimicakelady is passionate about Cakes, business and making money.

If You Are Still Getting The Same Results, Why Don’t You Make A Change?

Inspite of my busy schedule I try to read at least 2 new books in a month. I started this when i heard that millionaires read at least 30 books in a year. Usually I like to read historical romance’s but since i have started by business journey i only read business or self-help books that will help me improve my business and teach me how to manage my money.

I promised myself that once I hit my income goal, I will treat myself to a holiday and a trashy romance novel.

As you know I have launched my Pricing your cakes right to build a profitable cake Business Course. I put my heart and soul in this course and in the launch. I got a lot of interest for it, but was disappointed in responses when it came to payment.

It is just perplexing to me that here is a solution to most bakers problems and yet they are not taking action.

Anyway, this past week I have been reading ‘Secrets of the Millionaire Mind’ by T. Harv Eker. While reading this book it brought about some home truths to me.

In this Course I have just launched I have prepared an answer to most bakers and cake business owners problems. And it just amazes me when people just pass it by. A few years ago if I had come across a course like this I would have jumped at the chance, no matter how much it costs.

We need to realize that ”if you continue to keep on what you’ve always done, you’ll keep getting what you’ve always got”- Jim Rohn

That is why I created this course, my goal is for you to learn more so that you can have a better business. When you learn something new, you have a new way of thinking, new actions, and therefore new results.

That is why it is very important that you continue to learn and grow.

An author once said ‘ the learners will inherit the earth while the learned will be beautifully equipped to live in a world that no longer exist’- Eric Hoffer

In essence this means that if you don’t create the habit of learning on a regular, you will be left behind.

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I cannot think of the numerous courses, seminars, books and training’s that I have done. I have spent thousands and thousands of Naira on them. It is not like if I have millions of naira in my account yet, or that I’m waiting till I’m a multimillionaire before I pay for these courses, But I never see it a cost, but rather as an investment. I know that even if I learn just one thing that will make my business improve, then I know it is worth it.

If you are in business and you are doing the same thing and not making money, then sorry to say you are doing something wrong and maybe it’s time you try something new.

We all know the definition of insanity which is doing the same thing over and over and expecting different results.

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In the Eker book he said ‘some people claim they can’t afford to get educated due to lack of time and money. On the other hand, rich people relate to a quote by Benjamin Franklin, which says that  ”if you think education is expensive, try ignorance’’.

And I find this very true. When I launch a course, I find it curious that it is usually the people who are struggling or are broke that say; ‘ I don’t have money or ‘ I don’t need this course or I don’t have the time. While  it is those who are actually making a headway in their business or those who are serious and determined to be a success that will find the money to pay for courses., because they know that if they can learn something that they can use to improve there business, it is all worth it in the long run.

Mr Eker also said ”if you don’t have time to do the things you want to do or need to do, you’re most probably a modern slave. And if you don’t have the money to learn how to be successful, you probably need it more than anyone’’.

If you come across an opportunity for someone to teach you how to run a profitable cake business and you are saying I don’t have money. What is going to be different in 1, 2 or 5 years down the line? I am going to tell you this for free, the answer is nothing. You’ll be saying the same thing at that time.

This is by no means a curse; you have got to know that for you to make money you have to LEARN how to make money for your business. You have to learn how to market, price, selling and brand your products right. You need to learn the skills, strategies and methods on how to have a money making cake business.

As cake business coach it is my passion, my goal to train and teach and show you how to have a profitable cake business, so you can move from whatever level you are on now to the ultimate level.

This past week I got booked to make a cake for over N100k. And it is not a wedding cake. As I said before, I have scaled down by business to concentrate on Cake business Owners Club so I tend to only get about 3-5 orders a month. This gives me time for my coaching business and courses and before I take an order it has to be worthwhile. I no more take orders for less than N30k unless it is for family or close friends.

How was I able to structure my business in this way. It was by investing my time, money and energy in learning how to do this.

Success is a learnable skill.  You can learn to succeed at anything. Your cake business can be a success.

So if you find someone or something that can teach you, you should grab such opportunity with both hands.

The more you learn, the more you earn… and you can take that to the bank’ – T. Eker

 


The Pricing your Cakes Right to Build A Money Making Cake Business Masterclass is still partially open. You can get more details and all the modules covered in the Courses here.

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me3Rotimicakelady is your personal cake fairy. She is a cake business consultant and Coach.

She runs the Cake Business Owners Club where she helps bakers through Online courses have super profitable and successful cake businesses.

She has a passion for helping women who have a passion for baking, transition from hobby cake makers to successful and profitable cake business owners.

She also help cake business owners who have struggling in their cake business with strategies to enable them get more customers, so you make more money. Rotimicakelady is passionate about Cakes, business and making money.

How to price your Cakes for profit

Part guesswork, part experience, part number crunching – how ever you look at it, determining your cake price can be quite a difficult task.

Cake pricing or how much to charge for your cakes can be the most challenging and intimidating question to most beginners in the cake decorating world today.

Unfortunately there are many factors to consider.

But I am going to break it down to just 7 factors that will help you price your cakes in a way that will make you and your customers happy.

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  1. LOCATION…LOCATION…LOCATION…

Where you live and where you bake will be the most important factor to consider when looking at pricing. If you live in Lekki, your pricing will be very different than if you live in Gbadagry.

Researching your local market is the best starting point to figure out pricing. Call other custom bakers and find out what they are charging. If they are successful and are charging a lot more than you were planning to charge, you need to raise your prices.

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  1. DO NOT UNDERCUT YOUR COMPETITORS

When you are starting a company, you are telling friends, family and clients that you believe you are good enough to open a business.

You may not feel like you are good enough, but pricing your cakes low hurts yourself because you will be working a lot of hours, and not make any money, and you can become known as the CHEAP cake lady.

Undercutting your competitors also hurts them and the cake industry in your area. Bringing prices down in your area can take business away from other companies and cause them to loose income, which can have many unwanted consequences.

Lower prices at the beginning can also make it very hard to raise prices once you have a strong customer base.

They will not want to pay the higher prices and will find the next new decorator to take your place. You want to attract loyal customers that see the quality of work you do and are willing to pay for it.

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  1. KNOW YOUR COSTS

This is a big one! You have to figure out your costs. You will need to calculate what you actually spent or will spend on making a cake.

Here is a list to consider as you calculate your costs

  • Overhead: rent, utilities, business cards, posters, office supplies, computer
  • Bakery equipment and supplies: mixer, oven, tables, cooling racks, pans, bowls, food coloring, luster dusts, fondant, tools, boxes, cake stands, cake boards, dowels
  • Ingredients: flour, sugar, butter, eggs, baking powder, chocolate, vanilla and other specialty ingredients
  • Delivery: petrol, wear and tear on your car, your time
  • Time: You need to make sure you get compensated for your time. Set an hourly rate for yourself and charge accordingly.

 

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  1. DO NOT COMPETE WITH SUPERMARKET &FAST FOOD STORE PRICES

When pricing a cake, never try to compete with them. Those cakes were flash-frozen months ago and decorated as fast as possible with buckets of premade icing.

You need to target the customers that are loyal and will come back for great tasting, quality cakes. If you want to know if your prices are too low, compare your prices with the supermarket. If you are close, raise your prices.

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  1. IT’S JUST A CAKE…NO IT’S NOT!

This is something you may hear from customers, or you may have even said it yourself. When a couple gets married/ there is always a picture of the bride and groom cutting the wedding cake. When people go to a wedding, what do they talk about? The dress and the wedding cake!

A wedding cake or a birthday cake is the centerpiece of that event.

Custom cakes are not just cakes. They are works of art that are central to the celebration.

Also, from the business aspect, your cakes are not just a cake you throw in the oven and hope it comes out right. Your cakes are tried and true recipes, icing, cake boards, dowels, fondant, decorating tools, days of work preparing decorations, planning, sketching, designing, and working with the client, then you deliver the cake and make sure it is perfect before walking away.

 

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  1. DO I PRICE BY THE SERVING (by the number of people the cake can serve) OR BY THE CAKE?

Once you have run your numbers and you know the costs involved, this is usually the next question.

They want to be able to compare prices and feel that they have a basic idea of what they can expect as far as pricing is concerned.

Here are 2 things to consider when setting your prices:

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Have a Minimum Price Point

Make it very apparent that your cakes start at a certain price point, such as, “Fondant cakes start at N100.00 per serving” or at N4,000 or “Wedding cakes start at N65,000,” then add that the prices go up depending on the design and size.

This can save you and your customer time. They will walk away if they know the minimum price is too high. You don’t want to spend time emailing and meeting with a customer only to find out they were expecting a three-tier wedding cake for N20,000.

You may have customers that tell you your prices are just too high, but do not lower your prices! You wouldn’t go to a supermarket and tell them their prices are just too high and ask them to give you a discount.

You should not try to make every person that contacts you happy. Stick to your pricing and if they choose to go somewhere else, they may not be the right kind of customer for you.

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Pricing specialty cakes

Specialty cakes and carved cakes require a lot more time for designing, structuring and decorating. This is a great time to price by the design.

Be realistic about the time required and price it accordingly. Just because a customer only wants to serve 10 people does not mean it will take you less time than a cake to serve 30 people.

Be honest with your customers, tell them these cakes take much longer than other cakes, and are priced based on the design not on the number of servings.

 

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  1. YOUR TIME IS WORTH MONEY

Make sure you give yourself credit and include the hours you worked on your cakes. Your prices may seem high to you, but if your research shows that your market will sustain your prices, go for it.

Your time is valuable, so set an hourly rate and stick with it. You have a great talent and should not be making less than minimum wage because you are building your portfolio or because you are just starting out.

Before i go let me introduce you to this awesome E-Course.

                           n5

Are you ready to finally start making serious money in your cake business, so that you can get more orders

                                         THEN REGISTER HERE

                                                   (Just fill in your details below)

Educating Customers About Your Cake Price

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When you get lots of phone calls or enquiries about your prices, or lots of rejections based on price alone, it can seem as though that’s all people care about. 

To be fair, for most people, price plays a major role. However, I find most people are willing to get more than one quote, and willing to consider why those quotes differ. 

The thing about cakes is (especially custom ones) is that your potential customers are actually not in this business, so they don’t really have any idea of how much effort and time goes into creating our cake creations. 

TV shows like ‘Cake Boss’ or ‘The Great British Bake off’ have done a LOT to educate the general public about the amount of effort and artistry which goes into cakes, but not everyone watches those shows. 

Plus, there are a lot of perfectly reasonably decorated, mass produced baked goods out there which will do the job just as well.  If all your client wants or needs is a cake that a 5 year old will be happy to take to school to feed just 10 kids. You’re going to have a hard time justifying why they should spend N25,000 with you when a N4,000 cake from the supermarket can meet that need.

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The challenge for us as business owners is working on the people who see a cake (no matter where it’s from) as “just flour, butter and eggs,” and get them to see why our custom cakes are so much more than that.

The general public doesn’t just “get it.” They really don’t. They think Cake is just cake, but we know that’s not it.

Part of our job as cake business owners is to educate and convince our customers to buy our cakes, and that means taking the time to explain why it’s worth why it’s worth. 

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You don’t need to look any further than KFC to find a great example of this – they market their specialty by telling us about using the best chicken, seasoning and so on. Why? Because those special things are more expensive and they want to convince you to spend that little bit more. They do not assume that consumers just “get” that the fancier stuff is worth the money, they explain why it is worth it.

Cakes are no different. You’ve got to market your products and your business precisely because not everyone understands what makes your cakes special. 

Yes, there will be some people who will not care that the quality of your cakes are better? If they say “no” based on price, that’s okay…but there are plenty of people who, with a bit of education, will be willing to spend a bit more to get something a bit better.

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Instead of just getting angry that “all anyone seems to care about is price,” and “I keep losing orders even though I’ve made my prices reasonable,” – why not try educating your potential customers?

One way is by re-examine your marketing. Re-examine how you answer their enquiry about the price of your cake.

If you get an email enquiry about baking a 2 tier Mickey Mouse cake. Do you say, “A Mickey mouse cake for 30 people costs N32,000,” or do you say,

“Thanks for your email! We’d love to make you a Mickey Mouse cake for your son’s upcoming 1st birthday. Our cakes are all baked from scratch, and we’ve got an array of kid-friendly flavours to choose from – I’ve attached a list for you to pick from. We’re also happy to customise the birthday message, and if you need delivery we offer that service too. To feed 30 people, you’re looking at a cost of N32,000. Please give me a call on 080-123-4567 so we can discuss further. I look forward to helping make your celebration fantastic.”

Tell me. Does that 2nd email require a little more thinking, a little more effort and engagement? Sure it does – but the investment in service and education are worth it if it means you’ve converted them into buying from you rather than just settling for a cake from ‘ Cakes and Cream’. 

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Every company, everywhere in the world, selling anything at all is going to come up against people who seem to only care about price.  In every market (clothing, cars, food…) there will be companies who service the very low end, companies that service the very high end, and a whole lot of companies’ right in the middle of that. 

Even the companies selling things for cheap have to market themselves and their products – because they are not the only ones in town claiming to be the cheapest. The companies at the top are no different – because they too are not the only one in town that sells a premium product.

You would aim to be the cake business that educates and then converts cake enquiries to sales.

However, accept that some people just won’t be won over …but be clever enough to at least try.

Not everyone gets it, and not everyone needs to … but you would be silly not to even try because you have decided ahead of time that they can’t be taught.

Hope you found this post useful? If you did, please comment.

Till next week.

Happy Caking.

Cake Regards,