Tips for Starting a Diaper Cake Business
Make and Sell These Baby Shower Centerpieces for Fun and Profit
Jul 19, 2009
Diaper cakes are a hot item that make a beautiful and useful gift for parents and are a hit as baby shower centerpieces. They've evolved from the simple designs of the past, which simply used stacks of diapers, grouped into tiers like a cake and tied with ribbon with small baby care items tucked in. Today's versions use modern graphics, ribbon and decorations, plus a wide variety of classic and trendy themes.
It's easy to learn how to make a diaper cake and it doesn't take much time to assemble one. The production process can be done in small quantities, so busy parents can work for short periods of time while the children are sleeping or playing.
A diaper cake business is an especially good business idea for a parent of an infant in small size diapers. Since the diapers used to make the cake are the biggest inventory expense, it's less of a risky investment since any unsold inventory can be used.
Getting Started in the Diaper Cake Business: Product Assembly and Design Ideas
The first step is learning how to make a diaper cake. There are different methods for making them, but all involve the general concept of rolling up diapers to form cake tiers. See "How to Make a Diaper Cake" for detailed instructions. Many use bottles or baby products like baby lotion as the core of the cake. A sturdier and lighter option is a mailing tube or paper towel roll, with a cake board on the bottom for additional support.
Next, decide on some designs and themes. Some popular themes are classics like Winnie the Pooh diaper cakes or bright graphics like polka dots. Scrapbook embellishments, stuffed animals, rubber ducks, board books, and regular cake decorations can also be used to create a theme.
Reusing Baby Care Items and Finding Bulk Resources
One approach to starting small is to use unused baby gifts as decorations for the cake. Instead of using all the gifts they receive, parents can store some away - like stuffed animals and baby care items - in the original packaging or in Ziploc bags. These items can then be used as toppers or decorations on the cake, with coordinating ribbons, artificial flowers, and decorations. Cake decorating supply companies are a good source for inexpensive decorations in bulk. Craft and dollar stores are a good source for flowers and ribbon.
To grow a diaper cake business, find suppliers of stuffed animals and decorations in bulk. A tax ID is usually required to find quality wholesale items, but it's possible to find limited items in bulk from other sources. Nearby retail outlet stores are one resource. Another is online stores that sell in bulk to the public, like Overstock and Dollar Days. Packs of items like receiving blankets, socks and washcloths can be purchased at regular retail department stores like Amazon, and broken up to use single items on each diaper cake.
The diapers used to make the cake will be one of the biggest cost components, so it's important to find them inexpensively. Store brand diapers are usually much cheaper, but may be a turn-off for some customers. Some sellers use store brands by default, and charge an additional fee for replacing them with name brands. Offering cloth diaper cakes is another alternative.
Brand name diapers can be purchased inexpensively in bulk through a membership in a warehouse store like Sam's, Costco or BJ's. Do research first to make sure they carry the brands and sizes of diapers needed. To recoup the cost of membership fees, they should also provide items that can be used in a household or business. Remember to work the cost of the membership into the overall production costs when setting prices for the products.
Pricing, Shipping and Selling
To determine pricing, use a spreadsheet or ledger to compute the costs of each cake. Add a reasonable rate for labor to determine a price, Look around at other diaper cake suppliers to see if the price is similar. Don't go too low with the price - not only could this cause a loss of potential profit, but the items may be perceived as lower quality.
Shipping can be a challenge. Diaper cakes with multiple tiers are tall, and may incur additional charges for over-sized boxes; it's also difficult to find the right size boxes. Moving boxes from moving companies or stores like Home Depot are one option. Include the price of specialty boxes, as well as shipping, when deciding on pricing.
Places to sell the product include local baby boutiques, consignment stores, hospital gift shops and other gift shops. They can also be sold online at sites like Etsy and eBay, but keep in mind that competition is tight online. A company website is a good way to let customers find out more the business, even if it doesn't include sales through a storefront.
Differentiating from the Competition
It’s important to find a niche or specialty to set the diaper cake business apart from the competition. Some ideas include one of a kind graphics, cloth diaper cakes, and Do-It-Yourself kits. Expand the product line by offering related items, like baby shower favors and invitations, diaper wreaths and cupcakes, and baby care items. Some products can be sold through an affiliate program so that an investment in inventory is not required.
A diaper cake business has many advantages. It's a relatively easy way to bring in some extra income without making a huge investment in inventory. It allows business owners to express their creativity in coming up with ideas and arranging decorations. Besides all that, it's a great way to reuse stuffed animals and other baby care items that may otherwise end up in the trash.
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