What is a Selling Model and Why Does it Matter?
Knowing your selling model is extremely important because it is one more area where you can add clarity and intention. And when you add clarity and intention, your ability to talk about what you sell and, thus, market what you sell becomes so much easier. At the end of the day, we need to know WHAT we sell, WHY we sell it, and HOW we are selling it. So let’s dig into this a little further.
The Two Main Selling Models for Home Bakers
When it comes to home bakeries, there are two main selling models. The first is the Custom Item Model and the second is the Menu Item Model. Each come with their own benefits and some bakers even choose to implement both into their business, which is completely acceptable so long as you know and are clear on the why behind your selling marketing strategy. Below are the pros and cons of each.
Custom Item Model: This home baker provides custom made items to customers upon request. The baker typically sells cakes, cupcakes, or cookies but other items are also a possibility. The baker may take custom order inquiries via their website and/or social media but may also attend farmer’s markets or pop-ups with samples or smaller versions of their items to reach more customers and increase word of mouth. Customers are able to secure their event date based on calendar slots the baker has predetermined. Customers typically fill out a form indicating what items they are requesting and also provides a description of their theme or aesthetic or even inspirational photos to assist the baker with their vision. Regarding payment, most bakers require a deposit to secure a date with full payment required on delivery day. Marketing for the Custom Item Model generally consists of the baker sharing images and videos of custom items they’ve made and custom orders they’ve fulfilled. They also often announce on social media when their calendar is open for custom orders as well as when their calendar is full/closed. Customers and social media followers typically enjoy seeing all of the delicious and beautiful items which further encourages them to place an order.
Pros to this model:
- Baked goods are typically priced at a higher price point because they are custom made
- The baker is able to base their calendar availability around what works for them, providing more flexibility for work/life balance
- Loyal returning customers are common with this model
- Clearly defined niche
- The baker must “wait” for an order to come in which is sometimes challenging in the beginning
- The baker may live in an area in which the time involved in creating a custom made item does not match the price point of the general public in the area which may pose a challenge
- The baker may have more creative freedom
- The baker is able to set their schedule and secure multiple orders at once
- The time involved for specific baked items is typically less than with custom made items
- Pre-orders can be a deterrent to customers who prefer on-demand ordering
- Set weekly pick-up times, etc., may provide less calendar flexibility for the baker
- Creative freedom is higher but can commonly lead to difficulty identifying a niche which can cause confusion for customers