Coping with Gas Prices and delivering Cakes??

[tracymes3]

Since the gas prices are continuing to rise, how are we pricing delivery charges? I really hate to lose customers because of the additional charge, but can't make a profit if I do not include this. How much should I charge or should I add this into my quoted cake? Sorry, I hope this isn't a dumb question, but gas prices are rising it seems every hour and I don't think I can quote a price one hour then have to quote a different price the next hour... Any advice???
Thanks Tracy

[cakebaker]

I have a delivery fee for anything over 10 miles and it's $25 up to 20 miles, $35 for up to 50 miles. I use to not charge for anything under 25 miles, but no more.

That's enough to cover my gas and time even if prices continue to rise. It takes a few increases in price before it will become significant enough to justify another price increase for me.

I don't think you'll lose customers over this. We're consumers too and while I don't like seeing my prices go up, I understand why they are and I still purchase those items. Our customers are no different.

[tracymes3]

Originally Posted by cakebaker

I have a delivery fee for anything over 10 miles and it's $25 up to 20 miles, $35 for up to 50 miles. I use to not charge for anything under 25 miles, but no more.

That's enough to cover my gas and time even if prices continue to rise. It takes a few increases in price before it will become significant enough to justify another price increase for me.

I don't think you'll lose customers over this. We're consumers too and while I don't like seeing my prices go up, I understand why they are and I still purchase those items. Our customers are no different.

Thank you Cakebaker,

I totally agree and I will use this information. I was just wondering how I should go about doing this and your reply was on key. Thanks a bunch

[cakebaker]

You're welcome!


Keep in mind, those numbers and limits might change depending on what it's like where you live. I live in a very rural area and driving long distances is just accepted here. I drive 15 miles if I want to pick up a gallon of milk. If you live in a urban area, that probably sounds insane, but here it's normal. The fact that I no longer deliver for free under 25 miles was a huge increase in price and practice, but it just had to be done.

[puzzlegut]

Gas prices are terrible :(

[tracymes3]

GAS PRICESneed i say more

[2sdae]

Originally Posted by cakebaker

I have a delivery fee for anything over 10 miles and it's $25 up to 20 miles, $35 for up to 50 miles. I use to not charge for anything under 25 miles, but no more.

That's enough to cover my gas and time even if prices continue to rise. It takes a few increases in price before it will become significant enough to justify another price increase for me.

I don't think you'll lose customers over this. We're consumers too and while I don't like seeing my prices go up, I understand why they are and I still purchase those items. Our customers are no different.

This is the law of the land these days...we have no choice.

[likitiki]

Most people are really understanding. Heck, I just charged my MIL for gas to meet her an hour away. She understood too.

[JaclynJ326]

I HATE GAS!!!! Too bad Hybrids are so expensive and such a terrible re sale value!!!!!

[tracymes3]

Originally Posted by JaclynJ326

I HATE GAS!!!! Too bad Hybrids are so expensive and such a terrible re sale value!!!!!

I feel the same way!!! I wished there was a way to deliver cakes on a bicycle, I am so ready to trade in my luxury car for a bicycle or a horse