A consistent income for your cake business….what an absolute dream that would be for all cake makers, eh?
It is definitely possible to achieve a consistent income, and this is something that we work on together in my Boss Your Cake Business programme.
The principle of Sanity Products v Vanity Products is what underpins my teaching when it comes to creating a consistent income and stopping yourself from going insane in your cake business with a rollercoaster income and workload!
So, what are sanity products and how do they help you attain a consistent income in your cake business?
When I talk about Sanity Products I talk about them being the foundations of your business upon which you can then build your customer base, baseline income, and ultimately, longevity for your cake business.
- Help you to create a consistent income for your cake business
- Provide a baseline wage
- Create an excellent customer base
- Are often low priced and high volume products – by low price I do not mean that you under charge for these products as the effort required from you is relative to the price meaning that they are often products that are quick and easy to produce.
- Can easily be produced in large quantities
- Are regular work
- Are not bespoke orders
- Are easy for the customer to order – you can produce menus to make the order process super straight forward
- Allow you to know in advance what work you’ve got coming in
- Give customers an opportunity to “try before you buy” – they can try you out with a lower priced product before moving on to ord er something more expensive
Examples of the type of work that could fall into Sanity Products are:
- Supplying to Cafes/Bars/Delis/Sandwich Shops etc
- Bake off Buffet
- Cupcake Friday
- Fat Friday (popular with office workers!)
- Lockdown Treats
- Family Film Night
- Saturday Night Cake Away
- Seasonal Baking – if you want to learn more about how seasonal baking can help your cake business, you might enjoy this blog
So that’s the basis of Sanity Products, and suggestions of what might be your Sanity Products but how can they help you achieve a consistent income for your cake business?
When looking at consistent income, it is first of all important to know what you want/need your income to be. This might be an easy question to answer if you are looking to either replace a full time wage from a JOB or, if you are looking to reduce your working hours to part time to work more on your business. If not, then it is important to think about what you would like your income from your cake business to be because after all, we all enjoy making cake however running a business takes up our time and energy therefore it is important to earn a decent income from it. Once you have an income figure in mind, then you can consider how many of each of your Sanity Products you need to make per week/month to achieve your desired level of income. Remember, when working this out, you need to be looking at the income that you receive from your sanity products (i.e what is left once you have deducted your expenses from your turnover)
So, what are vanity products and where do they fit in?
Vanity Products are what I like to think of as the icing on the cake! Once you have your baseline wage from your Sanity products, your Vanity Products provide a top up, and if you like, bonus income!
- Tend to be bespoke orders
- Are great for photos
- Tend to be produced in a lower volume, at a higher price
- Are more time consuming
- Are produced to a high standard
- Show off your sugarcraft skills
- Are often purchased by customers who have already purchased a Sanity Product from you
- Are great for testimonials
However, they can be:
- Seasonal in terms of the time of year that they are ordered (eg; wedding cakes)
Examples of the type of products that are Vanity Products are:
- Celebration Cakes
- Wedding Cakes
So where should you start in your business?
I recommend starting by getting your Sanity Products in place. When doing this remember to:
- Keep it simple
- Make it easy for people to buy from you
- Spend time looking at how much you want/need to earn and what you need to produce to get there
Then once you have established your Sanity Products and have them ticking over nicely, you can build on the foundations already laid, and wow everyone with your Vanity Products. Chances are you already know what your Vanity Products are going to be – I think that this is where everyone starts when they think of starting a cake business!
I hope that this has been helpful to you. If you enjoyed this blog then you may also enjoy: “You’ll Never Make Money Out of Cake”