You already suspect you're undercharging. This shows you what one cake actually costs once ingredients, labour, overheads and profit are included — then compares that number with what you've been charging.
Orders coming in tell you there is demand. They do not tell you whether the price attached to those orders properly covers the work and the business behind them.
I know I'm probably undercharging. I just don't know what the right number is.
Look at another baker. Remember what you charged last time. Pick a number that feels safe enough to send.
Ingredients + materials + labour + overheads + profit. Now the price has a reason behind it.
Choose a normal cake you sell regularly and use the same order throughout the whole challenge.
Ingredients, fillings, boards, boxes, dowels, colours, packaging and the little things that quietly add up.
Messages, shopping, preparation, baking, decorating, cleaning, packaging and handover.
Power, software, insurance, accounting, equipment and the other overheads sitting behind every order.
Labour pays you for doing the work. Profit is what remains for owning and building the business.
Compare the calculated selling price with what you've actually been charging.
You are not repricing your whole business tonight. You are getting one real cake through the process properly.
This is the illustrative example used inside the challenge.
I'm Clare McRae. I built Miss Naked Cakes from my home kitchen into a commercial cake business in a 500sqm warehouse with an amazing team, a drive-thru, a wholesale division… you name it. I ran it for 17 years before selling it to my manager in November 2025.
One thing I learnt in business is that a talented cake decorator can be busy, bringing in revenue and working huge hours — while still having very little money left at the end of the day.
There are five short lessons. Each lesson is around ten minutes, plus the time needed to enter your own cake numbers.
Choose something you sell regularly. Not your smallest cupcake order and not the seven-tier wedding cake that nearly ended your will to live. A normal middle-of-the-road cake is ideal.
No. Use the best numbers you have now and tighten them later.
No. The Price It Right Challenge is a one-time payment of $27 USD.
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No. The challenge teaches a clear pricing method. Your actual business results depend on your costs, market, pricing decisions, customers and implementation.
Because this is a digital product and access is provided after purchase, change-of-mind refunds are not ordinarily offered. This does not affect rights available under applicable consumer law.
Start with one real order, work through the five lessons and see what is actually happening underneath your pricing.
Start the challenge for $27 →