Katie’s Cupcakes, a gourmet cupcake shop in Fairhaven, plans to celebrate an upcoming milestone: 150,000 cupcakes sold in its first two years.

Katie’s Cupcakes opened on March 17, 2009 and expects to reach the 150,000 milestone in early March.

“The response to Katie’s Cupcakes, especially during some tough economic times, has been more than I could have imagined,” owner Katie Swanson said in a press release. “To show appreciation for our great customers, the person buying our 150,000th cupcake will receive a free gourmet cupcake each week for one year.”

In addition to a year’s worth of free cupcakes, the customer can also designate a local nonprofit organization to receive a free cupcake each week for a year or the financial equivalent as a donation from Katie’s Cupcakes. The winner and nonprofit organization may “combine” weeks in order to receive one dozen or more cupcakes at a time.

As appreciation to her loyal customers, Swanson will hand out 200 mini-cupcakes for free on March 17.

The business sold more than 60,000 cupcakes in its first year. It has achieved a production increase of approximately 50 percent in its second year, Swanson said.

“People are seeing our cupcakes as affordable indulgences,” she saidm. “Also, brides increasingly like to offer a variety of cupcakes at their wedding receptions as a tasty and cost-effective alternative to multi-tier cakes.”

Katie’s Cupcakes is located at 1005 Harris Ave., next to Rebecca’s Flower Shoppe in the Fairhaven. Hours are 10 a.m. to 5 p.m. Tuesday through Saturday and 11 a.m. to 4 p.m. on Sundays. For more information, call (360) 393-4632 or visit www.katiescupcake.com.