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How to Price Your Cakes for Maximum Profit (Without Underselling Yourself)


Pricing your cakes for the best outcome

Pricing cakes is one of the hardest parts of running a cake business.

Not because cake makers don’t understand money, but because pricing is emotional.


You’re pricing something you made. Something personal. Something people compare.

And at some point, most cake makers ask themselves:


"Am I charging too much?” 

"Am I charging enough?” 

“Why does this feel so uncomfortable?”

If cake pricing has ever made you second-guess yourself, you’re not alone. And you’re not doing it wrong.


This guide will help you understand why pricing cakes feels so hard, what often goes wrong, and how to think about pricing in a way that supports your business - not drains it.

This is not a pricing calculator. It’s a mindset-plus-structure guide for real cake businesses.


Why Cake Pricing Feels So Hard

Most cake makers start pricing by looking sideways.

They check what others charge. They scroll Instagram. They ask in Facebook groups.

The problem is, none of that shows:

  • how much time someone spends

  • how stressed they feel

  • how often they fix things last minute

  • how delivery affects their workload

So pricing becomes guesswork.

And when pricing is built on guesswork, confidence disappears.

That’s why so many cake makers feel uneasy quoting prices - even when their work is beautiful.


Why I’m Sharing This

Yvette Farrugia with her mixer in the kitchen

I’m Yvette Farrugia - a professional cake artist and educator based in Australia.


I’ve been making cakes for over 30 years and ran my own custom cake business for nearly a decade, creating everything from simple celebration cakes to large, structured cakes that needed to be transported and set up on site.


Over the years, I’ve seen how often cake makers struggle not because of decorating skills - but because of the pressure, decisions, and systems that come with taking orders.

Today, I teach cake makers how to build beautiful, professional cakes that hold up in real kitchens and real delivery days, so the process feels calm, supported, and repeatable - not stressful or reactive. So lets continue.


The Biggest Pricing Mistake Cake Makers Make

The biggest mistake isn’t charging too little once.

It’s building a pricing habit that doesn’t support you.

Common patterns include:

  • saying yes too quickly

  • undercharging to avoid awkwardness

  • not accounting for delivery or pressure

  • assuming experience will make it easier later

Over time, this leads to:

  • resentment

  • burnout

  • feeling trapped by your own prices

Pricing doesn’t just affect income - it affects how cake making feels.


Why Copying Other Cake Prices Doesn’t Work

Considerations for Pricing decisions

This is important.

What someone else charges tells you almost nothing about what you should charge.

Their price reflects:

  • their systems

  • their speed

  • their stress tolerance

  • their delivery setup

  • their boundaries

Two cake makers can create similar cakes and experience completely different workloads.

That’s why copying prices often leads to frustration rather than clarity.

Pricing needs to match your reality, not someone else’s highlight reel.


What Actually Goes Into Cake Pricing (Beyond Ingredients)

When people think about cake pricing, they usually think: ingredients + time = price.

But that’s only part of the picture.

Real cake pricing also includes:

  • mental load

  • decision fatigue

  • delivery responsibility

  • risk if something goes wrong

  • pressure to perform under deadlines

If these factors aren’t accounted for, pricing will always feel tight - no matter how busy you are.


Why Underpricing Feels So Heavy

Working out your pricing strategy

Underpricing doesn’t just affect profit.

It affects how you show up.

When a cake is underpriced:

  • mistakes feel more stressful

  • changes feel more annoying

  • delivery feels heavier

  • confidence drops

That’s because your nervous system knows the effort and reward don’t match.

Pricing should support your energy, not deplete it.


When to Raise Your Cake Prices

Many cake makers wait for a “sign” before raising prices.

In reality, common signs include:

  • feeling resentful during orders

  • feeling rushed every time

  • avoiding quotes

  • dreading delivery day

Price increases aren’t about being greedy. They’re about sustainability.

If your business feels heavy, pricing often needs attention before anything else.


A Calmer Way to Think About Pricing

Pricing doesn’t need to be perfect.

It needs to be intentional.

Instead of asking: “What will people pay?”

Try asking: “What does this order require from me — physically, mentally, and emotionally?”

When pricing reflects the full workload, confidence follows.


Pricing and Skill Growth Go Hand in Hand

4 tier white wedding cake

As skills improve, pricing usually needs to evolve too.

Better foundations. More stable cakes. Calmer delivery.

All of these reduce stress and change how pricing feels.

This is why pricing rarely improves on its own. It improves alongside structure.


👉 Check out our Cake Skill Studio to see how we can help grow your skills and confidence


Frequently Asked Questions About Cake Pricing

How much should I charge for cakes in Australia?

There’s no single correct price. Cake pricing in Australia varies depending on location, skill level, delivery requirements, and workload. What matters most is that your pricing supports your time, energy, and sustainability.

Why do I feel guilty charging higher prices?

Pricing guilt is very common, especially when you care deeply about your work. Guilt often comes from underestimating the effort involved and comparing yourself to others without seeing their full picture.

Should I charge less when I’m new?

Charging slightly lower while learning can make sense, but consistent underpricing creates habits that are hard to break. It’s better to start intentionally and adjust as your skills and systems improve.

How do I explain my cake prices to clients?

You don’t need to justify every detail. Clear, confident pricing communicates professionalism. Clients don’t need a breakdown - they need trust in your process.


Disclaimer

The information shared in this article is based on my personal experience running a cake business in Australia.

It is provided for general educational purposes only and does not constitute financial, business, or legal advice. Pricing decisions vary depending on individual circumstances, costs, and business goals.

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