I posted this on eCommerce as well, but thought I'd try here too.


I started my business (home-based cookie baking)
in mid-September, and today for the first
time I had a table at a craft show, hoping to get some advertising
and bring in some sales. I am also hoping for orders for the
holidays.
Many fliers and biz cards were taken.
I did ok in sales, but not like I hoped at all.

I know times are tough for nearly everyone right now.
It seems like everyone wanted prices to be next to nothing at
the show today.
It's a lot of work to prepare for this, and even though I can't
charge too much, I can't short change myself either - I need to
make a profit!

I've seen prices way under (not sure how that person makes ANY
money), and for much more than what I'm asking.

Please give me your opinion.

Thanks so much!

Here is my site:

www.cookiesbycathy.com

First of all, I'm hungry and your cookies look delicious! I think your prices are fair as long as you are portraying your cookies as a gourmet specialty. You mentioned they are packaged in a white bakery box tied w/ a ribbon. Maybe you could try packaging it up a little more fancily and take pictures so people can see that, too. You could also spruce up your site a bit to make it look more professional. If you want some tips, I'd be glad to help you out on that

Mindy Lepp
http://www.saltedwebsites.com/
$50 off your website if you mention Idea Cafe!!

Nice website. It comes across professional and it shows your cookies well. As I was looking at your site, I was wishing I had some of your cookies here right now.

Here are a couple of ideas to add to what others have already mentioned.

First - if you have the best cookie around your area... then don't drop the price. If you want to be known as gourmet... then you have to price them as such, and then back the price up with a killer cookie. At first, hen I was reading your posting, I thought that you could make them a little larger, but, if it has a taste explosion in a persons mouth... then maybe the size is OK where it is.

Second - I am not so sure that a deli or cafe is known for gourmet items... so I might look for more upscale places to get them. I would look for more upscale businesses to place your cookies.

Third - Are there any gift basket businesses in your area? If so... then I would contact the best ones and try to get them to trythem out.

Fourth - Try like crazy to get well known people to try them and then give you testimonials.

Fifth - Have you contacted the TV stations and Newspapers in your area to do a story about you? They are always looking for story ideas and a story about you is much better than an ad that you run. I never advertise in newspapers or anywhere really.... but I have had national magazines and cable TV networks want to do stories about my murals. No, it takes a lot of work, but if you will constantly work at it... you an get some great press about your cookies. Just try to always over-deliver on your product.

Sixth - Be patient... and grow your business at whatver speed it takes. Don't try to force it. And, if a lower-end deli (I'm using deli as an example... it ould be anything)calls you and wants to start offering your cookies in all 10 of their stores... don't do it. Or, if you just need the money that a deal like that would bring in... then sell to them under a different name. You want "Cookies by Cathy" to mean high-end, gourmet cookies.

When I started out doing my Night Sky Murals, I was charging only a couple of dollars a square foot. I went into an Interior Decorators store to talk to them about my murals... and one lady was really nice nd gave me some great advice. She said that the people that she deals with would not even give me the time of day at the prices that I was charging. They would automatically assume that they were low quality. Well, at the time, I was probably doing murals about as good as other simila companies. So, I decided that I wanted to work with the type of client that that Interior Decorator was dealing with... because everyone else was marketing to everyone, and losing the upper-end customer. So, I really worked on my product and over the years I perfected the techniques that I use and I am now probably the most expensive company in my business. But, I also back up the prices I charge with awesome murals.

Now, I get calls from around the country and even out of it... because I worked at it and let things just unfold as they would. Now, I mention that about the murals to show you an example of what I was suggesting to you. I have done what it seems you want to do too. I still haven't arrived at where I want to be... but I am further than I ever expected.

And, if your cookies are half as tasty as they look... then you will get to where you want to be too. I may just order a dozen cookies when I return from the 6 state painting trip that I am about to start on next week.

Good luck.... and sorry for the looooong post. I am always making short answers into long ones.



Jeff S.
Night Sky Murals
Award Winning Murals

www.NightSkyMurals.com (Product)
www.DarkSkyMurals.biz (Business Opportunity)

Featured in...

* The Robb Report's "Luxury Homes" magazine -
* Angies List
* in Affluent
* HGTV's show - "I Want That"
* Check us out on the FINE LIVING network:
http://video.google.com/videoplay?docid=-5656674788734451823&hl=en

One more thing... Don't Lower Your Prices! Let everyone else fight over who can charge the lowest price. Don't get into that game. I usually charge 3 to 4 times more than any of my competitors... and I very seldom lose out to them. And, because I charge more, I can spend more time doing the job right, instead of racing off to the next low-bid job... and then to the unemployment line and soup kitchen.

There will always be people who will buy quality. You will have a smaller market that you will market to, but that's OK. They will pay your price if your product is wrth it. The rest of the market that you are ignoring may... as someone else mentioned, not care about quality. And, let the other cookie sellers fight to sell to them.

Salespeople are the first to think that the "price needs to be cut!" when things get a little tough. But, price is not even in the top three buying reasons.

Make a great cookie (not just good) and then charge a lot for it.

Good luck!

Jeff




Jeff S.
Night Sky Murals
Award Winning Murals

www.NightSkyMurals.com (Product)
www.DarkSkyMurals.biz (Business Opportunity)

As seen on the FINE LIVING network...
http://www.youtube.com/watch?v=eUhRFIL2A38

Featured in...

* The Robb Report's "Luxury Homes" magazine -
* Angies List
* in Affluent
* HGTV's show - "I Want That"
*

Starting out I think you should try to set your prices as low as you can set them. You are trying to build your clients. Then as prices start to raise, your clients will still pay whatever fee because you're already have them locked in the bag. The person who was selling the cookies at a very low price. He probably don't sell them that low always. When you are attending shows to sell, you have to ALWAYS try to either beat your competition prices or be on the same price scale as close to him. Now day people aren't concern about the quality (in they should be) but they are more concerned about the prices.

Hope this helps.

Mercedez
http://www.lovelyurl.net/9n1c5
Fundraiser 1.0 - Raise Funding for your Business

I respectfully disagree with just about everything that you said. I really tried to find something to agree on. Here's why...

>Starting out I think you should try to set your prices as low
>as you can set them.

Why would you want to do that? If you have the best cookie on the market... your prices should reflect that. Otherwise, you will just be another vendor selling cookies. Price can also be a good way to set yourself apart from the other sheep who are selling cookies around you. And, people who know quality will perk up their ears and pay attention.



>You are trying to build your clients.

True... but you don't need to catch them all. A good fisherman doesn't want to catch all the fish in the pond. He wants to catch the large, discriminating ones. You can make more profit, work less stress-filled hours, and actually enjoy what you do if you charge what the product is worth. One of the fastest ways to run your business into the ground is to fight to be the low-priced dealer. There will always be someone else who will come along and undercut your price. Then what?



>Then as prices start to raise, your clients will still pay

Not really. If you start out selling on price... that is where you will most likely have to stay. If you get into the habit of thinking that price is so important - then at the first sign of the customer hesitating, you will throw in the towel and lower the price... because that is what you think they are concerned with. If you go after the customers who buy only on price... then, as soon as you start to raise your price, they will spit the hook and go to the next low-priced vendor. There is NO LOYALTY amongst low-price shoppers. You get loyalty by offering a consistantly great product at a fair price (now, fair may not be fair to 75% of the other buyers, but it is to your customers).



>whatever fee because you're already have them locked in the
>bag.

Low-price shoppers are never locked into anything. They will drop you faster than lightening if you start to raise prices. Nope... no loyalty there.



>The person who was selling the cookies at a very low
>price. He probably don't sell them that low always.

Wrong again. The person who starts out selling low, will usually always stay low, because they are the ones who think that price matters. And, fighting for the lowest price, for any length of time, will run them into the ground and they will close up shop.



>When you are attending shows to sell, you have to ALWAYS try to >either beat your competition prices or be on the same price scale as
>close to him.

Why? If you do that... then you are just one of many other sheep. I would be more comfortable tripling my price than trying to match or beat others around me. At least I would have everyone asking my what I was thinking. And, I would then have the opportunity to explain it to them. If you try to match or beat those around you... you will usually end up walking around the show complaining about how terrible the show is... with all of the other salesmen.



>Now day people aren't concern about the quality
>(in they should be) but they are more concerned about the
>prices.

True for some customers... but those who you say "aren't concerned with quality.. but they are more concerned with price"... are the people who only buy on price. Quality DOES matter to people who have money and are accustomed to getting quality. Cathy is making a really good, great tasting cookie. She isn't making an average one. Those who buy quality will still buy form her.

Here's an example... I have friends who have lost their jobs, others who have had their hours cut way back... and they are all complaining about the economy. Why? Because I have a great product and I don't sell on price. And, the funny thing about all of this is... my friends who have had their hours cut, ask me all the time, "Do you ever work?" I was just asked that two days ago. They ask that because they always see me working one or two weeks a month. What they don't see is all of the behind the scenes work that goes into that week or two that I am actually out painting.

I really hope that you don't take my response to your comments as being attacks. they weren't meant to be. But, I just vehemently disagree.

I hope this helps.



Jeff S.
Night Sky Murals
Award Winning Murals

Check us out on the FINE LIVING network...
http://www.youtube.com/watch?v=eUhRFIL2A38

www.NightSkyMurals.com (Product)
www.DarkSkyMurals.biz (Business Opportunity)

Featured in...

* The Robb Report's "Luxury Homes" magazine -
* Angies List
* in Affluent
* HGTV's show - "I Want That"
*

Nicely put, Jeff. I'm glad someone had the energy to disect that post in detail (because I didn't!). Engaging in a pricing war with a product based around quality will eventually eliminate your profit margin, along with everything your product stands for (quality, not low price!). For the "little guy," trying to have the lowest price is usually not feasible (or possible), as larger companies often have economies of scale on their side.

Hook your customers on the quality of your product, not the low price. Once you raise it, your customers (most of whom are buying your product because of price) will find a lower priced substitute.

ps - Jeff, I enjoyed the video on your product. Keep it up!

Matt
www.dmerch.com
Raising diabetes awareness