Pricing your dishes correctly is key to running a successful food business. Set your prices too low, and you’ll struggle to make a profit. Too high, and customers might look elsewhere. So how do you find the sweet spot? Follow these simple tips to price your dishes in a way that keeps both your wallet and your customers happy.
1. Know Your Costs
Before setting a price, you need to understand how much it costs to make each dish. Consider:
✔ Ingredient costs – Sum up everything that goes into your dish, from spices to main ingredients.
✔ Packaging – Boxes, containers, and cutlery add up!
✔ Your time – Your cooking time and effort have value, too!
💡 Example: If your dish costs $5 to make, charging $6 won’t be enough to cover all expenses and make a profit.
‍‍
2. Add a Profitable Markup
A common rule of thumb is to multiply your ingredient cost by 2.5 to 3 times. This ensures you cover your costs and make a good profit.
💡 Example: If your dish costs $5 to make, pricing it between $12–$15 allows for profit after other expenses.
3. Use Psychological Pricing
Prices ending in ".99" or rounded to simple numbers often feel more appealing to customers. For example, $14.99 may be perceived as cheaper than $15, even though the difference is small.
.png)
4. Price for Volume, Not Just Per Dish
Instead of pricing a single dish too high and getting fewer orders, consider a price that encourages repeat purchases and bulk orders. A steady flow of customers ordering frequently can generate more revenue over time than just a few high-priced sales. Lowering prices slightly while maintaining quality can build a loyal customer base and drive long-term profits.
‍
5. Offer Combo Deals
Bundling dishes into meal combos can encourage larger purchases while keeping customers happy with variety and value.
‍
6. Check Competitor Prices
Look at what similar dishes are selling for on Keeor Food. If your pricing is way off, customers may hesitate. If your dish is higher priced, highlight its quality, portion size, or special ingredients.
💡 Example: If others sell Jollof Rice for $15 but yours is $20, explain why—bigger portion? Better ingredients? A unique twist?
7. Offer Different Portion Sizes
Not everyone wants the same serving size. Offer small, medium, and large portions so customers can choose what fits their budget.
đź’ˇ Example: Small Tray - $30 | Medium Tray - $55 | Large Tray - $90
8. Offer Tiered Pricing for More Value
Giving foodies the option to choose portion sizes—small, medium, or large—helps attract different types of customers. But to encourage larger orders, the price per portion should be more advantageous as the size increases. For example, instead of simply doubling the price for a larger portion, offer a better value so customers feel they’re getting more for their money. This strategy increases your average order value while ensuring customers see the benefit of upgrading to a bigger size.
💡 Example: If a small portion of Jollof Rice with Chicken costs $10, instead of pricing a large portion at $20, you could set it at $18. This small discount encourages customers to order larger sizes, increasing your total sales while making them feel like they’re getting a better value.
.png)
‍
9. Run Limited-Time Promotions
Use promotions wisely to attract new customers and encourage repeat orders. Offer discounts on large orders or first-time customers. Just make sure you’re still profitable!
💡 Example: “Order for $40 and more, get 10% off” keeps customers happy without hurting your profits.
10. Test and Adjust as Needed
If a dish isn’t selling well, your pricing might be the issue. Try small adjustments and see what works best. Also, keep an eye on ingredient costs—if they rise, you may need to adjust prices accordingly.
đź’ˇ Example: If your best-seller sells out quickly, consider raising the price slightly while keeping it competitive.
Final Thought: Price Smart, Profit More!
Pricing your dishes profitably doesn’t have to be complicated. Cover your costs, apply a reasonable markup, check competitor prices, and adjust based on demand. A well-priced dish ensures you make money while keeping your customers coming back for more!
For more details on how to calculate the price of a dish, check out the article How to Price Your Dish Like a Pro: A Concrete Example and Step-by-Step Approach.
🚀 Start pricing smarter today and watch your profits grow!
