If you’ve been in business for a while, you may feel the time is right to raise your prices. However, you may be worried about what your existing customers will think, or are concerned you’re going to have to justify your reasons for raising them.
In order to raise your prices, you first need to convince yourself that you’re doing the right thing. The tips below will not only help you convince your clients, they’ll also boost your confidence. These tips will serve as a handy checklist of how to raise your prices and they’ll remind you of the value you’re bringing to each of your clients!
Tip #1: Start with the value you’re already offering
The best way to start any conversation about money with your clients, is to remind them of the value you’ve already bought to the table. How have you helped move their business grow and move forward? What has your assistance enabled them to do or have, that they weren’t previously able to have – and what do you provide, that they’re unable to do themselves?
Tip #2: Explain your reasons for the increase in prices
Now’s the time to explain your intent to raise your prices, along with the reasons why. Make sure you’re doing this in a confident, but non-defensive way and let them know how your increased pricing is going to better serve them.
Maybe you’re looking to limit your clients, so you can really focus in and offer them individually tailored services? Are you expanding your team to enable you to turn around work faster? Have you been guilty of consistently overdelivering, so you’re raising your prices to better reflect your experience and quality of work? Whatever your reasons, be honest and clear over your need to increase your prices.
Tip #3: Give them a bonus
All client like to feel appreciated, so why not give them a bonus? This could be an updated version of a package they’re already on or an additional bonus, but it serves to help your clients see the benefits they’ll be getting out of your price rise.
Tip #4: Give them notice
When it comes to letting your clients know of your intent, please give them some notice and make sure you put it in writing! I’d recommend at least a month, to give them time to get used to the price increase. This also helps to prompt those who are potential customers who are still on the fence, as well as those customers who are thinking of increasing their hours with you, to get in, before the price increase.
Tip #5: Give them reassurance
Finally, make sure you remind your customers of how grateful you are to be working with them, and that you’re looking forward to continuing to grow that relationship. But also give them an opportunity to voice their concerns and let you know, if they’re not happy about the price increase. You can do this by letting them know that, if they’re not comfortable with your increase in prices, you’d be happy to help them find someone who’s better suited or priced for their needs.
Raising your prices doesn’t have to be daunting. If you follow the tips above, you have a rough template on how to do it with ease and grace – whilst also alleviating your customer’s (and your own) concerns!
How do you feel about raising your prices? Is it something you’ve previously avoided and, if so, have these tips helped? Why not share your pricing increase experiences and tips, in the comments box below?
Image courtesy of clivia/DepositPhotos.com